South Carolina real estate Exam Questions and Answers Fully Solved
Board members and team - Answers 10 members of the commission; 8 licensees and 2 members of the
public- the term is for 4 years
Activities that require a license - Answers Acting as a broker, salesman, negotiating, listing, sale,
purchase, exchange, auction
License status - Answers Active- under one BIC at a time
Inactive- can hold indefinitely; must pay renewal biennially and then take mandatory continuing
education
Expired/lapsed- expires June 30 renewed biennially, if not it becomes a lapsed license and you can
reinstate in six months with a $25 a month fee if not then it's expired
Trust fund monies - Answers Earnest money, rent, security deposit, referral fees, bonuses
When must you disclose you are licensed? - Answers When there is a possible transaction
Property disclosures - latent defects - Answers May not knowingly give false information about
condition. Silence is considered giving false information. The agent is not obligated to discover latent or
hidden defects in the property
Stigmatized properties - Answers A psychological problem with the property. It is up to you if you want
to disclose any death or virus except HIV and AIDS cannot be disclosed
Statute of frauds -offers and counter offers - Answers In order for a contract to be enforceable it has to
be in writing
How long to keep all records? - Answers Five years
When must in earnest money deposit be given to a BIC? - Answers Cash or certified funds to be given
immediately within 24 hours
Checks to be given 24 hours from ratification
When most a BIC deposit earnest money ? - Answers Cash or certified funds deposited within 48 hours
of receipt
Checks deposited 48 hours after acceptance of offer
Commingling - Answers Illegal-mixing of people in accounts example -keeping trust funds for
commission
, Conversion - Answers Theft- using trust money for example license renewal
Disputed funds - Answers If no agreement is made on who gets earnest money a written agreement
signed by all parties who wants the money files an interpleader action funds are deposited to the court
until determined
Principal - Answers Someone who is hired you - firm/human
Client - Answers Person who has hired you-Agency agreement
Agent - Answers The company
Subagent - Answers Us as a real estate agent
Power of attorney - Answers A written instrument authorizing a person called an attorney in fact to act
as their agent and sign on their behalf
Dual agency - Answers One real estate company two clients in the same transaction both buyer and
seller- obedience loyalty and disclosure duties become limited
Designated agency - Answers BIC appoints someone in company to one client so both aren't the same
agent
Universal agent - Answers Unlimited power of attorney; can sign for a buyer
Special agent - Answers Company employed by principal ;specific limited function ; a single transaction
General agent - Answers Realtor employed by company
What makes an agency - Answers Hired and licensed
Disclosed principal - Answers A normal transaction everything is disclosed
Undisclosed principal - Answers You know nothing about the client whether it's a human or a
corporation
Partially disclosed - Answers You don't know their name but you know it's a person example Mariah
Carey under an alias
Express agency - Answers Oral or written contract
Implied agency - Answers Assumption created by the common-law agreement between principal and
agent
Fiduciary duties - Answers Obedience loyalty disclosure confidentiality accounting reasonable care in
diligence
Indemnity - Answers Compensation for incurred damages so client isn't in breach
Board members and team - Answers 10 members of the commission; 8 licensees and 2 members of the
public- the term is for 4 years
Activities that require a license - Answers Acting as a broker, salesman, negotiating, listing, sale,
purchase, exchange, auction
License status - Answers Active- under one BIC at a time
Inactive- can hold indefinitely; must pay renewal biennially and then take mandatory continuing
education
Expired/lapsed- expires June 30 renewed biennially, if not it becomes a lapsed license and you can
reinstate in six months with a $25 a month fee if not then it's expired
Trust fund monies - Answers Earnest money, rent, security deposit, referral fees, bonuses
When must you disclose you are licensed? - Answers When there is a possible transaction
Property disclosures - latent defects - Answers May not knowingly give false information about
condition. Silence is considered giving false information. The agent is not obligated to discover latent or
hidden defects in the property
Stigmatized properties - Answers A psychological problem with the property. It is up to you if you want
to disclose any death or virus except HIV and AIDS cannot be disclosed
Statute of frauds -offers and counter offers - Answers In order for a contract to be enforceable it has to
be in writing
How long to keep all records? - Answers Five years
When must in earnest money deposit be given to a BIC? - Answers Cash or certified funds to be given
immediately within 24 hours
Checks to be given 24 hours from ratification
When most a BIC deposit earnest money ? - Answers Cash or certified funds deposited within 48 hours
of receipt
Checks deposited 48 hours after acceptance of offer
Commingling - Answers Illegal-mixing of people in accounts example -keeping trust funds for
commission
, Conversion - Answers Theft- using trust money for example license renewal
Disputed funds - Answers If no agreement is made on who gets earnest money a written agreement
signed by all parties who wants the money files an interpleader action funds are deposited to the court
until determined
Principal - Answers Someone who is hired you - firm/human
Client - Answers Person who has hired you-Agency agreement
Agent - Answers The company
Subagent - Answers Us as a real estate agent
Power of attorney - Answers A written instrument authorizing a person called an attorney in fact to act
as their agent and sign on their behalf
Dual agency - Answers One real estate company two clients in the same transaction both buyer and
seller- obedience loyalty and disclosure duties become limited
Designated agency - Answers BIC appoints someone in company to one client so both aren't the same
agent
Universal agent - Answers Unlimited power of attorney; can sign for a buyer
Special agent - Answers Company employed by principal ;specific limited function ; a single transaction
General agent - Answers Realtor employed by company
What makes an agency - Answers Hired and licensed
Disclosed principal - Answers A normal transaction everything is disclosed
Undisclosed principal - Answers You know nothing about the client whether it's a human or a
corporation
Partially disclosed - Answers You don't know their name but you know it's a person example Mariah
Carey under an alias
Express agency - Answers Oral or written contract
Implied agency - Answers Assumption created by the common-law agreement between principal and
agent
Fiduciary duties - Answers Obedience loyalty disclosure confidentiality accounting reasonable care in
diligence
Indemnity - Answers Compensation for incurred damages so client isn't in breach
