Page |1
Post 301 - Broker Relationships and
Responsibilities Questions and Correct
Answers/ Latest Update / Already Graded
All of the following are true as to what License Law requires a BPO to
contain
Ans: A copy of the assignment request from the person
requesting the BPO.
A description of the subject property and the intended
purpose/use of the BPO.
The broker's name, signature, license number, and the effective
date of the BPO.
NCREC rules regarding BPOs require all of the following:
Ans: A broker must provide at least three comparables.
A broker may perform a BPO for either residential or
commercial properties for sale or lease if they have the
necessary market knowledge and experience to be competent.
All rights reserved © 2025/ 2026 |
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A broker is expected to personally inspect the interior and
exterior of the subject property unless waived in writing by the
person requesting the BPO.
Which of the following statements is FALSE regarding Paragraph 11,
"Earnest Money"?
Ans: The listing company should hold any earnest money paid
in the transaction.
If the earnest money is forfeited to the seller under the Offer to
Purchase and Contract, then the listing company is entitled to
receive 50% of the earnest money or the amount of their listing
fee, whichever is less.
XX If there is a dispute between the listing company and the
seller over the earnest money, the escrow agent may pay the
earnest money to the Clerk of Court under License Law.
The Clerk of Court procedure applies to earnest money disputes
between the buyer and seller.
Which of the following is true when acting as a limited listing agent?
Ans: The Commission's agency rule doesn't apply because the
broker is not offering full service.
All rights reserved © 2025/ 2026 |
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XX The broker must provide and explain the Working with Real
Estate Agents brochure prior to first substantial contact.
The broker and seller may have an oral agreement regarding
the few services the broker will provide.
The broker may disclaim any liability for relying on information
from the seller.
Under which type of listing agreement does the seller retain a right to
compete for the commission?
Ans: Exclusive agency listing agreement.
When representing a seller, the agency agreement with the seller must
be in writing:
Ans: At the outset of the relationship before providing any
brokerage services.
A valid listing agreement with a real estate company may be
terminated for any of the following reasons:
Ans: Sale of the property.
All rights reserved © 2025/ 2026 |
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Agreement of the parties.
Destruction of the property.
The listing company is the escrow agent holding the earnest money
deposit. The buyer fails to close and all agree that the seller is entitled
to the earnest money under the Offer to Purchase and Contract. The
company notifies their seller that they intend to release 50% of the
earnest money to the seller and keep the other 50% for the company
pursuant to the listing agreement. The seller objects and insists on
receiving the entire amount of the earnest money. The listing company
should
Ans: XX Obey the lawful directives of its principal and refund
the entire earnest money to the seller.
Hold the earnest money in its trust account as disputed funds
until the company and principal-client agree how to divide.
Use the disputed funds procedure under License Law and pay
the earnest money to the Clerk of Court.
Deduct the company's 50% under the listing agreement and pay
the other 50% to the seller-client.
All rights reserved © 2025/ 2026 |
Post 301 - Broker Relationships and
Responsibilities Questions and Correct
Answers/ Latest Update / Already Graded
All of the following are true as to what License Law requires a BPO to
contain
Ans: A copy of the assignment request from the person
requesting the BPO.
A description of the subject property and the intended
purpose/use of the BPO.
The broker's name, signature, license number, and the effective
date of the BPO.
NCREC rules regarding BPOs require all of the following:
Ans: A broker must provide at least three comparables.
A broker may perform a BPO for either residential or
commercial properties for sale or lease if they have the
necessary market knowledge and experience to be competent.
All rights reserved © 2025/ 2026 |
, Page |2
A broker is expected to personally inspect the interior and
exterior of the subject property unless waived in writing by the
person requesting the BPO.
Which of the following statements is FALSE regarding Paragraph 11,
"Earnest Money"?
Ans: The listing company should hold any earnest money paid
in the transaction.
If the earnest money is forfeited to the seller under the Offer to
Purchase and Contract, then the listing company is entitled to
receive 50% of the earnest money or the amount of their listing
fee, whichever is less.
XX If there is a dispute between the listing company and the
seller over the earnest money, the escrow agent may pay the
earnest money to the Clerk of Court under License Law.
The Clerk of Court procedure applies to earnest money disputes
between the buyer and seller.
Which of the following is true when acting as a limited listing agent?
Ans: The Commission's agency rule doesn't apply because the
broker is not offering full service.
All rights reserved © 2025/ 2026 |
, Page |3
XX The broker must provide and explain the Working with Real
Estate Agents brochure prior to first substantial contact.
The broker and seller may have an oral agreement regarding
the few services the broker will provide.
The broker may disclaim any liability for relying on information
from the seller.
Under which type of listing agreement does the seller retain a right to
compete for the commission?
Ans: Exclusive agency listing agreement.
When representing a seller, the agency agreement with the seller must
be in writing:
Ans: At the outset of the relationship before providing any
brokerage services.
A valid listing agreement with a real estate company may be
terminated for any of the following reasons:
Ans: Sale of the property.
All rights reserved © 2025/ 2026 |
, Page |4
Agreement of the parties.
Destruction of the property.
The listing company is the escrow agent holding the earnest money
deposit. The buyer fails to close and all agree that the seller is entitled
to the earnest money under the Offer to Purchase and Contract. The
company notifies their seller that they intend to release 50% of the
earnest money to the seller and keep the other 50% for the company
pursuant to the listing agreement. The seller objects and insists on
receiving the entire amount of the earnest money. The listing company
should
Ans: XX Obey the lawful directives of its principal and refund
the entire earnest money to the seller.
Hold the earnest money in its trust account as disputed funds
until the company and principal-client agree how to divide.
Use the disputed funds procedure under License Law and pay
the earnest money to the Clerk of Court.
Deduct the company's 50% under the listing agreement and pay
the other 50% to the seller-client.
All rights reserved © 2025/ 2026 |
