Segment 1: Intro to Property Management
UPDATED ACTUAL Exam Questions and
CORRECT Answers
The property manager owes the following affirmative duties to the owner EXCEPT
to use reasonable care and diligence.
to deal honestly and in good faith.
to give legal advice.
to disclose all material facts. - CORRECT ANSWER - to give legal advice.
A property manager is expected to deal honestly and in good faith, disclose material facts known
by the property manager and not apparent or readily ascertainable to the owner, and exercise
reasonable care and diligence. At no point should they give advice on legal matters, as that
becomes the unauthorized practice of law.
Which of the following persons requires a property management license?
An employee of a property manager who negotiates property management agreements with a
property owner
An employee of a property manager who negotiates rental agreements
An employee of a property manager who shows rental units to prospective tenants
An employee of a property manager who coordinates FED actions - CORRECT
ANSWER - An employee of a property manager who negotiates property management
agreements with a property owner
, Negotiating a property management agreement requires the person to be a licensed property
manager.
All of the following activities done on behalf of a property owner are deemed to be property
management activity requiring a real estate license, EXCEPT:
negotiating with prospective tenants while under supervision by a property manager
negotiating a property management agreement with a firm where you have worked part time.
negotiating a property management agreement with an owner.
negotiating and signing property management agreements with multiple owners - CORRECT
ANSWER - negotiating with prospective tenants while under supervision by a property
manager
An unlicensed employee of a property manager or principal broker cannot negotiate and enter
into property management agreements with property owners; only licensees can negotiate
property management agreements with owners.
Which individual is required to hold a property manager license?
Someone who periodically shows empty office space to prospective tenants in the building they
work in that is also owned by their boss.
An individual who enters into a property management contract to manage an apartment complex
for a friend.
An attorney who negotiates a lease of a free-standing fast food space for a client.
UPDATED ACTUAL Exam Questions and
CORRECT Answers
The property manager owes the following affirmative duties to the owner EXCEPT
to use reasonable care and diligence.
to deal honestly and in good faith.
to give legal advice.
to disclose all material facts. - CORRECT ANSWER - to give legal advice.
A property manager is expected to deal honestly and in good faith, disclose material facts known
by the property manager and not apparent or readily ascertainable to the owner, and exercise
reasonable care and diligence. At no point should they give advice on legal matters, as that
becomes the unauthorized practice of law.
Which of the following persons requires a property management license?
An employee of a property manager who negotiates property management agreements with a
property owner
An employee of a property manager who negotiates rental agreements
An employee of a property manager who shows rental units to prospective tenants
An employee of a property manager who coordinates FED actions - CORRECT
ANSWER - An employee of a property manager who negotiates property management
agreements with a property owner
, Negotiating a property management agreement requires the person to be a licensed property
manager.
All of the following activities done on behalf of a property owner are deemed to be property
management activity requiring a real estate license, EXCEPT:
negotiating with prospective tenants while under supervision by a property manager
negotiating a property management agreement with a firm where you have worked part time.
negotiating a property management agreement with an owner.
negotiating and signing property management agreements with multiple owners - CORRECT
ANSWER - negotiating with prospective tenants while under supervision by a property
manager
An unlicensed employee of a property manager or principal broker cannot negotiate and enter
into property management agreements with property owners; only licensees can negotiate
property management agreements with owners.
Which individual is required to hold a property manager license?
Someone who periodically shows empty office space to prospective tenants in the building they
work in that is also owned by their boss.
An individual who enters into a property management contract to manage an apartment complex
for a friend.
An attorney who negotiates a lease of a free-standing fast food space for a client.
