SOUTH CAROLINA REAL ESTATE EXAM
(STATE PORTION ONLY) QUESTIONS WITH
100% COMPLETE SOLUTIONS| LATEST
UPDATE
A(n) _____ is a legal document which serves as an IOU from a borrower to a creditor
(receiver).
A) mortgage
B) earnest money check
C) note
D) deposit - correct answer-C) note
The authorities and responsibilities of the LLR Real Estate Commission fall under which
of the following?
A) Consumer Protection Code
B) Governmental Restructuring
C) Police Power
D) Securities and Exchange Commission - correct answer-C) Police Power
What does LLR stand for? - correct answer-Labor Licensing Regulation
A builder who desires to employ a salesperson to sell houses for him on a commission
basis must _____.
A) have the salesperson obtain a salesperson's license
B) obtain a broker-in-charge license
C) notify the Commission of the contract between the builder and the salesperson
D) pay the salesperson less than the usual commission - correct answer-B) obtain a
broker-in-charge license (NOTE: The BUILDER must obtain the BOC license; not the
salesperson)
If a South Carolina salesman showing property on Sullivan's Island guarantees to a
buyer client that she will surely make a profit upon resale of that property in five years,
the salesman should know that _____.
A) his actions demonstrate the fiduciary responsibility to give the client his judgement
and expertise about properties
B) he must have a Certified Residential Specialist designation
C) he must be a real estate Counselor to give this kind of advice
,D) he cannot do this - correct answer-D) he cannot do this
There are _____ members on the Real Estate Commission, each with a term of _____
years.
A) 9; 4
B) 7; 4
C) 9; 3
D) 10; 4 - correct answer-D) 10; 4
Before any time share units can be marketed and sold, all plans regarding the time
share project must be approved by _____.
A) HUD
B) The South Carolina Time Share Advisory Board
C) The South Carolina Time Share Commission
D) The South Carolina Real Estate Commission - correct answer-D) The South Carolina
Real Estate Commission
Upon revocation or suspension order by the South Carolina Real Estate Commission,
the broker _____.
A) may appeal the decision to an administrative law judge
B) may request a review by the South Carolina Attorney General
C) should know that the Commission's order is final
D) may apply for a salesman's license - correct answer-A) may appeal the decision to
an administrative law judge
The requirements for a non-resident to be eligible to receive a South Carolina license is
that he/she _____.
A) maintain a place of business within South Carolina
B) be licensed with a broker-in-charge who has a South Carolina license
C) reside in a state which offers reciprocity to South Carolina
D) execute a South Carolina extradition writ - correct answer-B) be licensed with a
broker-in-charge who has a South Carolina license
What happens if a broker's license is revoked?
A) The broker reverts back to salesman status
B) It must be revoked for at least one year
C) The broker must reapply for license after one year
D) The broker must demonstrate trustworthiness to the Commission - correct answer-B)
It must be revoked for at least one year
,When a dispute arises between a buyer and a seller concerning the disposition of the
earnest money, the broker must _____.
A) return it to the buyer, as he is the originator of the funds
B) give it to the seller, who is the broker's principal
C) give it to the circuit court (interpleader)
D) hold it in his trust account until such time as its disposition is determined - correct
answer-D) hold it in his trust account until such time as its disposition is determined
Before a dock can be built on the coast of South Carolina, the owner must obtain a
permit from which organization?
A) The Corp of Engineers
B) The Office of Ocean and Coastal Resource Management
C) The Coastal Council
D) The State Development Board - correct answer-B) The Office of Ocean and Coastal
Resource Management
In South Carolina, an aggrieved party could report evidence of racial discrimination
concerning Fair Housing to _____.
A) the US attorney
B) HUD
C) the South Carolina Human Affairs Commission
D) All of the above - correct answer-D) All of the above [NOTE: The South Carolina
Human Affairs Commission is most common, though. Complaint must be filed within
180 days (6 months), whereas HUD gives you 12 months to file]
In order to be licensed as a broker in South Carolina, a salesman should have served
under the instruction and guidance of a licensed real estate broker-in-charge for _____.
A) six months
B) three years
C) four years
D) five years - correct answer-B) three years
The purpose of continuing education is to _____.
A) train more licensees
B) bring in more revenue for the LLR Real Estate Commission
C) protect the public
D) enhance the professionalism of licensees - correct answer-C) protect the public
If a salesperson receives an earnest money CHECK, what must he/she do with it?
A) Deposit it within 48 hours of receipt
B) Give it to the broker-in-charge to deposit within 48 hours
, C) Give it to the broker-in-charge within 48 hours of acceptance of the offer
D) Give it to the broker in charge after the contract has been ratified - correct answer-D)
Give it to the broker in charge after the contract has been ratified (NOTE: To then be
deposited within 48 hours of ratification)
A licensee is commingling trust funds by depositing _____.
A) earnest money received from a client's properties in the agency's business account
B) earnest money and rent received from a client's various properties in the same
escrow/trust account
C) rent received from the licensee's own properties in a personal trust account
D) tenant's security deposits received from various client' properties in the same
escrow/trust account - correct answer-A) earnest money received from a client's
properties in the agency's business account
If the South Carolina Property Disclosure form is provided to the buyer, it _____.
A) allows the buyer to terminate the sales contract
B) is a valid reason to delay or interfere with the closing process
C) creates a defect in title
D) does not void the agreement, create a defect in title, or present a valid reason to
interfere with the closing process - correct answer-D) does not void the agreement,
create a defect in title, or present a valid reason to interfere with the closing process
The creditor should ascertain the preference of the _____ as to legal counsel relating to
closing the loan and insurance agent.
A) lender
B) seller
C) real estate agent
D) borrower - correct answer-D) borrower
The assumption fee when assuming a loan in SC may not exceed _____.
A) 1% of the loan or $400, whichever is greater
B) 1/2% of the loan
C) $500
D) 1% of the loan or $400, whichever is less - correct answer-D) 1% of the loan or $400,
whichever is less
Loans that can be prepaid without penalty are those which are _____.
A) $150,000 or less
B) Residential mortgage loans of $150,000 or less
C) Investment mortgage loans of $150,000 or less
(STATE PORTION ONLY) QUESTIONS WITH
100% COMPLETE SOLUTIONS| LATEST
UPDATE
A(n) _____ is a legal document which serves as an IOU from a borrower to a creditor
(receiver).
A) mortgage
B) earnest money check
C) note
D) deposit - correct answer-C) note
The authorities and responsibilities of the LLR Real Estate Commission fall under which
of the following?
A) Consumer Protection Code
B) Governmental Restructuring
C) Police Power
D) Securities and Exchange Commission - correct answer-C) Police Power
What does LLR stand for? - correct answer-Labor Licensing Regulation
A builder who desires to employ a salesperson to sell houses for him on a commission
basis must _____.
A) have the salesperson obtain a salesperson's license
B) obtain a broker-in-charge license
C) notify the Commission of the contract between the builder and the salesperson
D) pay the salesperson less than the usual commission - correct answer-B) obtain a
broker-in-charge license (NOTE: The BUILDER must obtain the BOC license; not the
salesperson)
If a South Carolina salesman showing property on Sullivan's Island guarantees to a
buyer client that she will surely make a profit upon resale of that property in five years,
the salesman should know that _____.
A) his actions demonstrate the fiduciary responsibility to give the client his judgement
and expertise about properties
B) he must have a Certified Residential Specialist designation
C) he must be a real estate Counselor to give this kind of advice
,D) he cannot do this - correct answer-D) he cannot do this
There are _____ members on the Real Estate Commission, each with a term of _____
years.
A) 9; 4
B) 7; 4
C) 9; 3
D) 10; 4 - correct answer-D) 10; 4
Before any time share units can be marketed and sold, all plans regarding the time
share project must be approved by _____.
A) HUD
B) The South Carolina Time Share Advisory Board
C) The South Carolina Time Share Commission
D) The South Carolina Real Estate Commission - correct answer-D) The South Carolina
Real Estate Commission
Upon revocation or suspension order by the South Carolina Real Estate Commission,
the broker _____.
A) may appeal the decision to an administrative law judge
B) may request a review by the South Carolina Attorney General
C) should know that the Commission's order is final
D) may apply for a salesman's license - correct answer-A) may appeal the decision to
an administrative law judge
The requirements for a non-resident to be eligible to receive a South Carolina license is
that he/she _____.
A) maintain a place of business within South Carolina
B) be licensed with a broker-in-charge who has a South Carolina license
C) reside in a state which offers reciprocity to South Carolina
D) execute a South Carolina extradition writ - correct answer-B) be licensed with a
broker-in-charge who has a South Carolina license
What happens if a broker's license is revoked?
A) The broker reverts back to salesman status
B) It must be revoked for at least one year
C) The broker must reapply for license after one year
D) The broker must demonstrate trustworthiness to the Commission - correct answer-B)
It must be revoked for at least one year
,When a dispute arises between a buyer and a seller concerning the disposition of the
earnest money, the broker must _____.
A) return it to the buyer, as he is the originator of the funds
B) give it to the seller, who is the broker's principal
C) give it to the circuit court (interpleader)
D) hold it in his trust account until such time as its disposition is determined - correct
answer-D) hold it in his trust account until such time as its disposition is determined
Before a dock can be built on the coast of South Carolina, the owner must obtain a
permit from which organization?
A) The Corp of Engineers
B) The Office of Ocean and Coastal Resource Management
C) The Coastal Council
D) The State Development Board - correct answer-B) The Office of Ocean and Coastal
Resource Management
In South Carolina, an aggrieved party could report evidence of racial discrimination
concerning Fair Housing to _____.
A) the US attorney
B) HUD
C) the South Carolina Human Affairs Commission
D) All of the above - correct answer-D) All of the above [NOTE: The South Carolina
Human Affairs Commission is most common, though. Complaint must be filed within
180 days (6 months), whereas HUD gives you 12 months to file]
In order to be licensed as a broker in South Carolina, a salesman should have served
under the instruction and guidance of a licensed real estate broker-in-charge for _____.
A) six months
B) three years
C) four years
D) five years - correct answer-B) three years
The purpose of continuing education is to _____.
A) train more licensees
B) bring in more revenue for the LLR Real Estate Commission
C) protect the public
D) enhance the professionalism of licensees - correct answer-C) protect the public
If a salesperson receives an earnest money CHECK, what must he/she do with it?
A) Deposit it within 48 hours of receipt
B) Give it to the broker-in-charge to deposit within 48 hours
, C) Give it to the broker-in-charge within 48 hours of acceptance of the offer
D) Give it to the broker in charge after the contract has been ratified - correct answer-D)
Give it to the broker in charge after the contract has been ratified (NOTE: To then be
deposited within 48 hours of ratification)
A licensee is commingling trust funds by depositing _____.
A) earnest money received from a client's properties in the agency's business account
B) earnest money and rent received from a client's various properties in the same
escrow/trust account
C) rent received from the licensee's own properties in a personal trust account
D) tenant's security deposits received from various client' properties in the same
escrow/trust account - correct answer-A) earnest money received from a client's
properties in the agency's business account
If the South Carolina Property Disclosure form is provided to the buyer, it _____.
A) allows the buyer to terminate the sales contract
B) is a valid reason to delay or interfere with the closing process
C) creates a defect in title
D) does not void the agreement, create a defect in title, or present a valid reason to
interfere with the closing process - correct answer-D) does not void the agreement,
create a defect in title, or present a valid reason to interfere with the closing process
The creditor should ascertain the preference of the _____ as to legal counsel relating to
closing the loan and insurance agent.
A) lender
B) seller
C) real estate agent
D) borrower - correct answer-D) borrower
The assumption fee when assuming a loan in SC may not exceed _____.
A) 1% of the loan or $400, whichever is greater
B) 1/2% of the loan
C) $500
D) 1% of the loan or $400, whichever is less - correct answer-D) 1% of the loan or $400,
whichever is less
Loans that can be prepaid without penalty are those which are _____.
A) $150,000 or less
B) Residential mortgage loans of $150,000 or less
C) Investment mortgage loans of $150,000 or less
