REAL ESTATE U SOUTH CAROLINA – FINAL
EXAM VERSION 2 (LATEST 2026/2027
UPDATE) QUESTIONS WITH ANSWERS |
GRADE A | 100% CORRECT
REAL ESTATE U SOUTH CAROLINA
VERSION 2
REAL ESTATE U SOUTH CAROLINA – FINAL EXAM VERSION 2 (200
Questions)
Question 1
Most residential leases are…
Answer: Gross leases
Explanation: A gross lease requires the tenant to pay a fixed rent while the landlord
covers property expenses such as taxes, insurance, and maintenance. This is the most
common type of lease in residential real estate.
Question 2
A mortgage lien is an example of a/an…
Answer: Voluntary lien
Explanation: A voluntary lien is created with the property owner’s consent. A
mortgage lien arises when a borrower voluntarily pledges their property as security for
a loan.
,Question 3
What is a licensee required to do when selling one of their listings to a family
member?
Answer: Provide both parties with full disclosure that they are representing them both
at the same time, and both parties must agree to this arrangement.
Explanation: Dual agency disclosure ensures transparency and prevents conflicts of
interest. Both the family member and the licensee must acknowledge and consent to
this relationship in writing.
Question 4
Are real estate professionals subject to the limitations established by the National Do
Not Call Registry?
Answer: Yes. There are no exceptions to this rule for real estate professionals.
Explanation: The National Do Not Call Registry applies to all telemarketers, including
licensed real estate agents. Violations can result in substantial fines.
Question 5
All offers and counteroffers need to be complete and presented promptly, as well as
always being…
Answer: In writing
Explanation: Written offers ensure there is a clear record of the transaction, prevent
misunderstandings, and satisfy legal requirements for enforceable contracts.
Question 6
Which of the following water sources is not covered by the rules of the Safe Drinking
Water Act (SDWA)?
Answer: Wells serving fewer than 25 people
Explanation: The SDWA primarily regulates public water systems. Small private wells
serving fewer than 25 individuals are not regulated under this law.
,Question 7
The South Carolina Real Estate Commission has a total of 10 members; how many of
them must be in the real estate profession?
Answer: All 10
Explanation: The South Carolina Real Estate Commission is composed entirely of
professionals from the real estate industry to ensure knowledgeable oversight of
licensing and regulatory matters.
Question 8
Who typically forms Multiple Listing Services (MLS)?
Answer: Local real estate boards who are members of the National Association of
REALTORS® (NAR)
Explanation: MLS is a collaborative platform that allows real estate professionals to
share property listings and facilitate cooperation in sales.
Question 9
How do brokers expect their agents to use a code of ethics?
Answer: As a way to help them make complicated decisions on their own
Explanation: The code of ethics provides a framework for professional conduct,
guiding agents in handling difficult situations fairly and legally.
Question 10
Which loan is considered a non-amortizing loan?
Answer: Interest-only loan
Explanation: An interest-only loan requires the borrower to pay only interest for a
specified period, with the principal balance remaining unchanged until a later date.
, Question 11
The lender is also known as the…
Answer: Mortgagee
Explanation: The mortgagee is the party that lends money and holds the mortgage
on the property as security for the loan.
Question 12
In the real estate industry, what is the name for the relationship between a principal
and an agent?
Answer: Agency
Explanation: Agency is a legal relationship where the agent is authorized to act on
behalf of the principal in dealings with third parties.
Question 13
Which of the following forms are brokers required to present to clients before signing a
listing or buyer’s agreement?
Answer: A relationship disclosure form
Explanation: Disclosure of agency relationships ensures that clients understand who
the broker represents and avoids conflicts of interest.
Question 14
One discount point is equal to…
Answer: 1% of the loan amount
Explanation: Discount points are prepaid interest fees paid to the lender to reduce
the loan’s interest rate. One point equals 1% of the total mortgage amount.
Question 15
EXAM VERSION 2 (LATEST 2026/2027
UPDATE) QUESTIONS WITH ANSWERS |
GRADE A | 100% CORRECT
REAL ESTATE U SOUTH CAROLINA
VERSION 2
REAL ESTATE U SOUTH CAROLINA – FINAL EXAM VERSION 2 (200
Questions)
Question 1
Most residential leases are…
Answer: Gross leases
Explanation: A gross lease requires the tenant to pay a fixed rent while the landlord
covers property expenses such as taxes, insurance, and maintenance. This is the most
common type of lease in residential real estate.
Question 2
A mortgage lien is an example of a/an…
Answer: Voluntary lien
Explanation: A voluntary lien is created with the property owner’s consent. A
mortgage lien arises when a borrower voluntarily pledges their property as security for
a loan.
,Question 3
What is a licensee required to do when selling one of their listings to a family
member?
Answer: Provide both parties with full disclosure that they are representing them both
at the same time, and both parties must agree to this arrangement.
Explanation: Dual agency disclosure ensures transparency and prevents conflicts of
interest. Both the family member and the licensee must acknowledge and consent to
this relationship in writing.
Question 4
Are real estate professionals subject to the limitations established by the National Do
Not Call Registry?
Answer: Yes. There are no exceptions to this rule for real estate professionals.
Explanation: The National Do Not Call Registry applies to all telemarketers, including
licensed real estate agents. Violations can result in substantial fines.
Question 5
All offers and counteroffers need to be complete and presented promptly, as well as
always being…
Answer: In writing
Explanation: Written offers ensure there is a clear record of the transaction, prevent
misunderstandings, and satisfy legal requirements for enforceable contracts.
Question 6
Which of the following water sources is not covered by the rules of the Safe Drinking
Water Act (SDWA)?
Answer: Wells serving fewer than 25 people
Explanation: The SDWA primarily regulates public water systems. Small private wells
serving fewer than 25 individuals are not regulated under this law.
,Question 7
The South Carolina Real Estate Commission has a total of 10 members; how many of
them must be in the real estate profession?
Answer: All 10
Explanation: The South Carolina Real Estate Commission is composed entirely of
professionals from the real estate industry to ensure knowledgeable oversight of
licensing and regulatory matters.
Question 8
Who typically forms Multiple Listing Services (MLS)?
Answer: Local real estate boards who are members of the National Association of
REALTORS® (NAR)
Explanation: MLS is a collaborative platform that allows real estate professionals to
share property listings and facilitate cooperation in sales.
Question 9
How do brokers expect their agents to use a code of ethics?
Answer: As a way to help them make complicated decisions on their own
Explanation: The code of ethics provides a framework for professional conduct,
guiding agents in handling difficult situations fairly and legally.
Question 10
Which loan is considered a non-amortizing loan?
Answer: Interest-only loan
Explanation: An interest-only loan requires the borrower to pay only interest for a
specified period, with the principal balance remaining unchanged until a later date.
, Question 11
The lender is also known as the…
Answer: Mortgagee
Explanation: The mortgagee is the party that lends money and holds the mortgage
on the property as security for the loan.
Question 12
In the real estate industry, what is the name for the relationship between a principal
and an agent?
Answer: Agency
Explanation: Agency is a legal relationship where the agent is authorized to act on
behalf of the principal in dealings with third parties.
Question 13
Which of the following forms are brokers required to present to clients before signing a
listing or buyer’s agreement?
Answer: A relationship disclosure form
Explanation: Disclosure of agency relationships ensures that clients understand who
the broker represents and avoids conflicts of interest.
Question 14
One discount point is equal to…
Answer: 1% of the loan amount
Explanation: Discount points are prepaid interest fees paid to the lender to reduce
the loan’s interest rate. One point equals 1% of the total mortgage amount.
Question 15
