Exam Prep | Latest Update 2026 | Graded A+
1. If two real estate brokers agree to set their commission rates at 5% for all
transactions, what legal issue could arise from this agreement?
Improper handling of security deposits
Violation of antitrust laws
Breach of lease agreements
Compliance with fair housing regulations
2. What is the primary legal consideration regarding alterations made by tenants with
disabilities?
Tenants with disabilities are entitled to make necessary alterations.
Tenants must seek permission from the landlord for any alterations.
Tenants can only make alterations if they pay for them.
Tenants cannot make any alterations under any circumstances.
3. The seller of a listed property instructs the broker not to show the property to a
member of a particular religious group. The broker should:
Refuse or revoke the listing
Obey the instructions
Obey only if in writing
Accommodate the seller's request if the religious group is not a corporation
,4. Tenants and buyers of homes built before what year must be given a leadbased
paint disclosure?
1972
1978
1990
1964
5. If the owner continues to refuse rental applications from married couples and
elderly individuals, what legal actions could be taken against him?
He would receive a warning from the local housing authority.
He would be required to attend a mediation session with the applicants.
He could be fined for not following federal guidelines only.
He could face a lawsuit for discrimination under the Illinois Human Rights Act.
6. What is the basis for discrimination complaints under the Civil Rights Act of 1866?
Race
Gender
Age
Religion
7. If a landlord refuses to rent to a tenant solely because of their race, which federal
law would the tenant invoke to file a complaint?
Equal Credit Opportunity Act
, Civil Rights Act of 1866
Fair Housing Act
Americans with Disabilities Act
8. Describe the implications of a tenant subletting their premises according to the
lease agreement.
The landlord can change the terms of the original lease.
If the lease does not prohibit subletting, the original lease remains intact.
The tenant must inform the landlord of any subletting.
Subletting automatically voids the original lease.
9. If an agent accepts a personal check from a landlord instead of following proper
protocol, what potential consequences could arise?
Increased commission rates.
Legal repercussions and loss of license.
No consequences if the landlord is satisfied.
Positive feedback from clients.
10. Why is it important for brokers to refuse listings that involve discriminatory
practices based on religion?
It is important because it may upset the seller.
It is important because such practices violate fair housing laws that prohibit
discrimination.
It is important because it could lead to financial loss for the broker.
It is important because it could lead to a faster sale.
, 11. Describe the implications of the Do Not Call Registry for telemarketers.
Telemarketers must refrain from calling numbers that are listed on the Do Not
Call Registry to avoid legal penalties.
Telemarketers can only call numbers on the registry during business hours.
Telemarketers can call any number as long as they identify themselves.
Telemarketers are allowed to call numbers on the registry if they offer free
services.
12. Which statement is true?
Previously cleaned up mold problems older than one year do not need to be
disclosed.
If a mold problem is discovered, licensees should recommend an immediate
course of action.
Mold does not need to be disclosed if it can be spot-cleaned.
Mold is a material defect that must be disclosed.
13. What year must a building be constructed before for a lead-based paint disclosure
to be required?
1978
1985
1990
2000
14. A property owner of a 10 building apartment complex has told the property
management company that he wants the building by the playground to be rented
only to families. The buildings by the parking lots to be singles or couples without