NY REAL ESTATE LICENSE EXAM
broker - (ANSWER)represents another person in a real estate transaction, intending to receive
compensation or valuable consideration
real estate salesperson - (ANSWER)-employed by a broker, may perform most of the acts of the
broker
-cannot work independently or without consent of his/her broker
-cannot independently enter into listing agreements or other contracts to represent people
-cannot independently conclude a sale, receive a commission, or advertise
Converted-Use Properties - (ANSWER)converted buildings for residential purposes
Manufactured Housing - (ANSWER)mobile homes but attached to foundations / are permanent
Timeshares - (ANSWER)purchase of undivided interest for fixed or variable time period
"blue sky laws" - (ANSWER)to sell securities you need a registered securities broker-dealers
license
Listing Agreement - (ANSWER)written agency contract stating that the broker will be paid a
commission for finding/attempting to find a buyer for the seller's real property
economic base of an area - (ANSWER)main business or industry the area uses to support itself
police power - (ANSWER)constitutional power of state and local governments to enact and
enforce laws that protect the public's health, safety, morals, and general welfare
eminent domain - (ANSWER)police can condemn public use of property as long as they give
just compensation
,fiscal policy - (ANSWER)government spending of taxes / debt management; higher taxes → less
spending by people,more by government (and gov doesn't buy houses)
monetary policy - (ANSWER)government controls supply and cost of money(including interest
rates - higher interest → harder for people to borrow)
reserve requirements - (ANSWER)% of customers' deposits banks are required to keep on
deposit (can't lend to other people); higher → higher interest rates
federal discount rates - (ANSWER)interest rates charged by Fed on loans to banks; higher →
higher interest rates for customers too
open market transactions - (ANSWER)Fed buying/selling government securities - to hit a target
fed funds rate; more securities → higher interest (more $ out of circulation)
moral sussion - (ANSWER)using persuasive influences on the public / fin to perceive credit in a
specific way
secondary mortgage markets - (ANSWER)private investors & government agencies that buy and
sell real estate mortgages (primary - neighborhood banks that make loans directly)
Federal Housing Administration (FHA) - (ANSWER)provides mortgage insurance to help people
who have smaller down payments qualify for home mortgages by insuring lenders against losses
on the mortgage loan
Veteran's Administration (VA) - (ANSWER)guarantees mortgage loans for eligible veterans
Article 12-A - (ANSWER)addresses basics of licensing real estate brokers/salespersons;
requirements and qualifications for licensure, duties of licensees, prohibited acts, penalties, etc.
,NYS Board of Real Estate - (ANSWER)-oversees all activities in New York that would require a
real estate license
-meets at least 3 times a year in Albany, Buffalo, and NYC
ARELLO (Association of Real Estate License Officials) - (ANSWER)promotes uniform
standards and policies of real estate licenses in North America
Apartment Information Vendor - (ANSWER)someone who, for a fee, furnishes information
concerning the location and availability of residential rental property
Apartment Sharing Agent - (ANSWER)someone who, for a fee, coordinates with customer and
the current owner/occupant of legally occupied real property who wishes to share it
Irrevocable Consent - (ANSWER)submission of an out-of-state agent to the jurisdiction of state
courts in which the agent agrees to allow summons or other processes to be served against him
Real Property - (ANSWER)-real estate plus the rights of ownership
-"mind your P's and Q's or I'll DEC you!" possession, quiet enjoyment, disposition, exclusion,
control)
exemptions to needing a real estate license - (ANSWER)-anyone acting under a court order or
under the authority of a will or trust instrument
-administrator, executor, receiver
administrator - (ANSWER)hired by the court to handle estate of someone who died without a
will but no nominated executor
executor - (ANSWER)named in a will to handle estate of someone who died
receiver - (ANSWER)neutral person appointed by a judge to take charge of the property and
business of one of the parties to a lawsuit and receive his/her rents and profits while the right to
the monies has not been finally decided
, Associate Broker - (ANSWER)works under the name and supervision of another licensed broker
Trade Name Broker - (ANSWER)operates as a sole proprietorship under business name not
personal
Partnership Broker - (ANSWER)multiple brokers under one partnership name
Corporate Broker - (ANSWER)conducting business under the name of a corporation
real estate salesperson requirements - (ANSWER)-75 hours of approved education
-18 years of age
real estate broker requirements - (ANSWER)-45 hours of approved education
-20 years of age
broker license signage requirements - (ANSWER)must display his broker's license as well as
sign with name of brokerage and name as it appears on license in a prominent location in the real
estate office
what happens in event of death of a broker who is a sole proprietor? - (ANSWER)legally
appointed administrator or executor can be given the authority for 120 days to complete any
unfinished real estate transactions that were currently in process
commingling - (ANSWER)illegally mixing money held in trust on behalf of a client with
personal funds
conversion - (ANSWER)misappropriation of property or funds belonging to another
escrow - (ANSWER)things of value held on behalf of parties of a transaction by a 3rd party
broker - (ANSWER)represents another person in a real estate transaction, intending to receive
compensation or valuable consideration
real estate salesperson - (ANSWER)-employed by a broker, may perform most of the acts of the
broker
-cannot work independently or without consent of his/her broker
-cannot independently enter into listing agreements or other contracts to represent people
-cannot independently conclude a sale, receive a commission, or advertise
Converted-Use Properties - (ANSWER)converted buildings for residential purposes
Manufactured Housing - (ANSWER)mobile homes but attached to foundations / are permanent
Timeshares - (ANSWER)purchase of undivided interest for fixed or variable time period
"blue sky laws" - (ANSWER)to sell securities you need a registered securities broker-dealers
license
Listing Agreement - (ANSWER)written agency contract stating that the broker will be paid a
commission for finding/attempting to find a buyer for the seller's real property
economic base of an area - (ANSWER)main business or industry the area uses to support itself
police power - (ANSWER)constitutional power of state and local governments to enact and
enforce laws that protect the public's health, safety, morals, and general welfare
eminent domain - (ANSWER)police can condemn public use of property as long as they give
just compensation
,fiscal policy - (ANSWER)government spending of taxes / debt management; higher taxes → less
spending by people,more by government (and gov doesn't buy houses)
monetary policy - (ANSWER)government controls supply and cost of money(including interest
rates - higher interest → harder for people to borrow)
reserve requirements - (ANSWER)% of customers' deposits banks are required to keep on
deposit (can't lend to other people); higher → higher interest rates
federal discount rates - (ANSWER)interest rates charged by Fed on loans to banks; higher →
higher interest rates for customers too
open market transactions - (ANSWER)Fed buying/selling government securities - to hit a target
fed funds rate; more securities → higher interest (more $ out of circulation)
moral sussion - (ANSWER)using persuasive influences on the public / fin to perceive credit in a
specific way
secondary mortgage markets - (ANSWER)private investors & government agencies that buy and
sell real estate mortgages (primary - neighborhood banks that make loans directly)
Federal Housing Administration (FHA) - (ANSWER)provides mortgage insurance to help people
who have smaller down payments qualify for home mortgages by insuring lenders against losses
on the mortgage loan
Veteran's Administration (VA) - (ANSWER)guarantees mortgage loans for eligible veterans
Article 12-A - (ANSWER)addresses basics of licensing real estate brokers/salespersons;
requirements and qualifications for licensure, duties of licensees, prohibited acts, penalties, etc.
,NYS Board of Real Estate - (ANSWER)-oversees all activities in New York that would require a
real estate license
-meets at least 3 times a year in Albany, Buffalo, and NYC
ARELLO (Association of Real Estate License Officials) - (ANSWER)promotes uniform
standards and policies of real estate licenses in North America
Apartment Information Vendor - (ANSWER)someone who, for a fee, furnishes information
concerning the location and availability of residential rental property
Apartment Sharing Agent - (ANSWER)someone who, for a fee, coordinates with customer and
the current owner/occupant of legally occupied real property who wishes to share it
Irrevocable Consent - (ANSWER)submission of an out-of-state agent to the jurisdiction of state
courts in which the agent agrees to allow summons or other processes to be served against him
Real Property - (ANSWER)-real estate plus the rights of ownership
-"mind your P's and Q's or I'll DEC you!" possession, quiet enjoyment, disposition, exclusion,
control)
exemptions to needing a real estate license - (ANSWER)-anyone acting under a court order or
under the authority of a will or trust instrument
-administrator, executor, receiver
administrator - (ANSWER)hired by the court to handle estate of someone who died without a
will but no nominated executor
executor - (ANSWER)named in a will to handle estate of someone who died
receiver - (ANSWER)neutral person appointed by a judge to take charge of the property and
business of one of the parties to a lawsuit and receive his/her rents and profits while the right to
the monies has not been finally decided
, Associate Broker - (ANSWER)works under the name and supervision of another licensed broker
Trade Name Broker - (ANSWER)operates as a sole proprietorship under business name not
personal
Partnership Broker - (ANSWER)multiple brokers under one partnership name
Corporate Broker - (ANSWER)conducting business under the name of a corporation
real estate salesperson requirements - (ANSWER)-75 hours of approved education
-18 years of age
real estate broker requirements - (ANSWER)-45 hours of approved education
-20 years of age
broker license signage requirements - (ANSWER)must display his broker's license as well as
sign with name of brokerage and name as it appears on license in a prominent location in the real
estate office
what happens in event of death of a broker who is a sole proprietor? - (ANSWER)legally
appointed administrator or executor can be given the authority for 120 days to complete any
unfinished real estate transactions that were currently in process
commingling - (ANSWER)illegally mixing money held in trust on behalf of a client with
personal funds
conversion - (ANSWER)misappropriation of property or funds belonging to another
escrow - (ANSWER)things of value held on behalf of parties of a transaction by a 3rd party
