1
OACIQ Examination Preparation and Comprehensive Review
Guide (PDF Format)
1. When a seller dies during a brokerage contract, what is the correct procedure to follow regarding
the listing?
A) Immediately cancel the contract and return all documents to the family
B) Complete an AM form to place the immovable off market temporarily until a liquidator is assigned
C) Continue with the sale process using the original seller's signature
D) Transfer the listing to the deceased's spouse automatically
When a seller passes away during an active brokerage contract, you must use an AM form to temporarily
remove the property from the market while the succession process determines who has legal authority to
sell the immovable.
2. Which document must be completed first when preparing a sale file for a property listing?
A) The Brokerage Contract for Sale (BCS)
B) The Declaration of the Seller (DS)
C) The Promise to Purchase (PP)
D) The Certificate of Location
The DS must always be completed first as it contains all the essential property information and seller
declarations that are then annexed to the BCS, ensuring full disclosure before any brokerage contract is
signed.
3. What is the maximum time period for which an emphyteusis lease can be granted according to the
Civil Code of Quebec?
A) 50 years
B) 99 years
C) 100 years
D) Perpetual with no time limit
An emphyteusis is a long-term lease contract granting perpetual enjoyment rights to a property, with a
minimum duration of 10 years and a maximum of 100 years, after which the property reverts to the
original owner.
4. A buyer discovers a major foundation problem three months after taking possession. What is the
maximum time period within which the buyer must file a lawsuit against the seller for latent defects?
A) 6 months from discovery
B) 1 year from discovery
C) 2 years from discovery
D) 3 years from discovery
For latent defects, buyers have up to three years from the date of discovery to initiate legal proceedings
against the seller, provided they can prove the seller knew or should have known about the defect.
5. In a succession with a will and a liquidator appointed with full administration powers, who is
authorized to sign the brokerage contract for the sale of an immovable?
,2
A) All legatees must sign collectively
B) The liquidator with full administration
C) The notary handling the succession
D) Any family member of the deceased
When a succession has a will and a liquidator with full administration powers, the liquidator alone has
the legal authority to sign documents related to the sale of the immovable without requiring
authorization from legatees.
6. What is the correct procedure when a seller asks to reduce the commission to 3% if the listing
broker finds the buyer directly?
A) This arrangement is prohibited by OACIQ regulations
B) Include this condition in Annex RCOM only
C) Include this clause in section 11.1 of the BCS
D) This must be included in the main commission section of the BCS
You can include a commission reduction clause in section 11.1 of the BCS stating that in the event you
find a buyer directly, your commission will be reduced to 3%, but this clause becomes inapplicable in
multiple offer situations.
7. What is the minimum down payment percentage required to avoid CMHC insurance premiums on a
conventional loan?
A) 5%
B) 10%
C) 15%
D) 20%
When a buyer provides a down payment of 20% or more of the purchase price, the loan is considered
conventional and does not require CMHC insurance premiums, saving the buyer significant costs.
8. For a property classified as a cultural property under provincial jurisdiction, what notice period
must be given to the Minister before selling?
A) 30 days
B) 60 days
C) 90 days
D) 120 days
For culturally classified properties, a 60-day notice must be given to the Minister of Cultural,
Communications and Women Rights before the sale can proceed, as the government has the right of
preemption to match any offer received.
9. When completing a Promise to Purchase, what must be verified before the document is signed?
A) The buyer's employment history only
B) The buyer's identity using a government-issued photo ID
C) The buyer's credit score only
D) The buyer's marital status only
Before completing a Promise to Purchase, you must verify the buyer's identity using a government-issued
photo ID through the Identity Verification (IV) form to ensure proper identification of the contracting
party.
10. Which type of hypothec is created by operation of law rather than by contract between parties?
,3
A) Conventional hypothec
B) Mortgage hypothec
C) Legal hypothec
D) Voluntary hypothec
A legal hypothec is created automatically by law for certain debts such as taxes owed to government
authorities or amounts owed to a syndicate of co-owners for condominium fees, without requiring a
formal contract.
11. What document must you verify to confirm ownership of a property when preparing a listing?
A) The property tax bill only
B) The notarized Deed of Sale
C) The municipal assessment notice
D) The certificate of location only
To confirm ownership of a property, you must verify the notarized Deed of Sale, which is the legal
document establishing the chain of title and proving the seller's rightful ownership of the immovable.
12. In a divorce situation, what document should be requested before proceeding with a property
sale?
A) The marriage certificate
B) A copy of the divorce judgment
C) The separation agreement only
D) The child custody order
A copy of the divorce judgment should be requested to verify if there are any specific instructions or
restrictions regarding the sale of the immovable property as part of the divorce settlement.
13. When representing both the buyer and the seller in a transaction, what is the broker's first
obligation?
A) Prioritize the seller's interests
B) Prioritize the buyer's interests
C) Send written Notice of Disclosure to both parties immediately
D) Withdraw from representing both parties
When representing both parties, the broker must immediately send a written Notice of Disclosure to both
buyers and sellers, disclosing the dual representation and ensuring both parties understand the
implications.
14. How is the welcome tax calculated for a property sold at $300,000?
A) A flat rate of 1% applies to the entire amount
B) Only amounts above $500,000 are taxed
C) Progressive rates apply to different portions of the value
D) The rate depends only on the municipal assessment
Welcome tax uses progressive rates: 0.5% on the first $50,000, 1% from $50,000 to $250,000, and 1.5%
from $250,000 to $500,000, calculated on whichever is higher between municipal assessment and sale
price.
15. What is the time limit for a buyer to provide written notice to the seller regarding a latent defect
discovered after purchase?
A) Immediate notice required within 24 hours
B) Within 6 months of discovery
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C) Within 1 year of discovery
D) Within 2 years of discovery
Buyers must send written notice to the seller within 6 months of discovering a latent defect, though they
may have up to one year or longer for seasonal problems, and a maximum of three years to sue from the
date of discovery.
16. Which matrimonial regime requires both spouses to sign a brokerage contract for a property
acquired during the marriage?
A) Separation as to property
B) Community of property before July 1970 for private property
C) Partnership of acquests for property acquired during marriage
D) All matrimonial regimes require both signatures
Under the Partnership of Acquests regime, which applies to marriages after July 1, 1970, both spouses
must sign for property acquired during the marriage, as these are considered family assets requiring joint
consent.
17. What is the minimum duration for a buyer to obtain financing as a condition in a Promise to
Purchase?
A) 5 days
B) 10 days
C) 15 days
D) 30 days
A minimum of 15 days should be allowed for financing conditions: 10 days for the buyer to obtain
mortgage approval and 5 additional days for the seller to review and acknowledge receipt of the
notification.
18. What is the correct way to handle a verbal offer made by a buyer?
A) Record it on a CP form
B) Record it on an AM form
C) Do not record verbal offers as they are not binding
D) Use the standard Promise to Purchase form
Verbal offers should be recorded using an AM (Amendment) form, as using a CP form would reopen
negotiations to all terms rather than simply documenting the verbal offer for the record.
19. Who chooses the notary for a real estate transaction in Quebec?
A) The buyer always chooses the notary
B) The seller chooses the notary, unless the buyer assumes an existing hypothec
C) The broker chooses the notary
D) Both parties must agree on a notary
The seller generally chooses the notary for the transaction, but if the buyer assumes an existing hypothec
or provides the balance of the sale price, the buyer's notary may handle the file instead.
20. For a property sale without a will and no liquidator appointed, who has the authority to sign the
brokerage contract?
A) Only the spouse of the deceased
B) The notary handling the succession
C) All legal heirs collectively
D) Any adult child of the deceased
OACIQ Examination Preparation and Comprehensive Review
Guide (PDF Format)
1. When a seller dies during a brokerage contract, what is the correct procedure to follow regarding
the listing?
A) Immediately cancel the contract and return all documents to the family
B) Complete an AM form to place the immovable off market temporarily until a liquidator is assigned
C) Continue with the sale process using the original seller's signature
D) Transfer the listing to the deceased's spouse automatically
When a seller passes away during an active brokerage contract, you must use an AM form to temporarily
remove the property from the market while the succession process determines who has legal authority to
sell the immovable.
2. Which document must be completed first when preparing a sale file for a property listing?
A) The Brokerage Contract for Sale (BCS)
B) The Declaration of the Seller (DS)
C) The Promise to Purchase (PP)
D) The Certificate of Location
The DS must always be completed first as it contains all the essential property information and seller
declarations that are then annexed to the BCS, ensuring full disclosure before any brokerage contract is
signed.
3. What is the maximum time period for which an emphyteusis lease can be granted according to the
Civil Code of Quebec?
A) 50 years
B) 99 years
C) 100 years
D) Perpetual with no time limit
An emphyteusis is a long-term lease contract granting perpetual enjoyment rights to a property, with a
minimum duration of 10 years and a maximum of 100 years, after which the property reverts to the
original owner.
4. A buyer discovers a major foundation problem three months after taking possession. What is the
maximum time period within which the buyer must file a lawsuit against the seller for latent defects?
A) 6 months from discovery
B) 1 year from discovery
C) 2 years from discovery
D) 3 years from discovery
For latent defects, buyers have up to three years from the date of discovery to initiate legal proceedings
against the seller, provided they can prove the seller knew or should have known about the defect.
5. In a succession with a will and a liquidator appointed with full administration powers, who is
authorized to sign the brokerage contract for the sale of an immovable?
,2
A) All legatees must sign collectively
B) The liquidator with full administration
C) The notary handling the succession
D) Any family member of the deceased
When a succession has a will and a liquidator with full administration powers, the liquidator alone has
the legal authority to sign documents related to the sale of the immovable without requiring
authorization from legatees.
6. What is the correct procedure when a seller asks to reduce the commission to 3% if the listing
broker finds the buyer directly?
A) This arrangement is prohibited by OACIQ regulations
B) Include this condition in Annex RCOM only
C) Include this clause in section 11.1 of the BCS
D) This must be included in the main commission section of the BCS
You can include a commission reduction clause in section 11.1 of the BCS stating that in the event you
find a buyer directly, your commission will be reduced to 3%, but this clause becomes inapplicable in
multiple offer situations.
7. What is the minimum down payment percentage required to avoid CMHC insurance premiums on a
conventional loan?
A) 5%
B) 10%
C) 15%
D) 20%
When a buyer provides a down payment of 20% or more of the purchase price, the loan is considered
conventional and does not require CMHC insurance premiums, saving the buyer significant costs.
8. For a property classified as a cultural property under provincial jurisdiction, what notice period
must be given to the Minister before selling?
A) 30 days
B) 60 days
C) 90 days
D) 120 days
For culturally classified properties, a 60-day notice must be given to the Minister of Cultural,
Communications and Women Rights before the sale can proceed, as the government has the right of
preemption to match any offer received.
9. When completing a Promise to Purchase, what must be verified before the document is signed?
A) The buyer's employment history only
B) The buyer's identity using a government-issued photo ID
C) The buyer's credit score only
D) The buyer's marital status only
Before completing a Promise to Purchase, you must verify the buyer's identity using a government-issued
photo ID through the Identity Verification (IV) form to ensure proper identification of the contracting
party.
10. Which type of hypothec is created by operation of law rather than by contract between parties?
,3
A) Conventional hypothec
B) Mortgage hypothec
C) Legal hypothec
D) Voluntary hypothec
A legal hypothec is created automatically by law for certain debts such as taxes owed to government
authorities or amounts owed to a syndicate of co-owners for condominium fees, without requiring a
formal contract.
11. What document must you verify to confirm ownership of a property when preparing a listing?
A) The property tax bill only
B) The notarized Deed of Sale
C) The municipal assessment notice
D) The certificate of location only
To confirm ownership of a property, you must verify the notarized Deed of Sale, which is the legal
document establishing the chain of title and proving the seller's rightful ownership of the immovable.
12. In a divorce situation, what document should be requested before proceeding with a property
sale?
A) The marriage certificate
B) A copy of the divorce judgment
C) The separation agreement only
D) The child custody order
A copy of the divorce judgment should be requested to verify if there are any specific instructions or
restrictions regarding the sale of the immovable property as part of the divorce settlement.
13. When representing both the buyer and the seller in a transaction, what is the broker's first
obligation?
A) Prioritize the seller's interests
B) Prioritize the buyer's interests
C) Send written Notice of Disclosure to both parties immediately
D) Withdraw from representing both parties
When representing both parties, the broker must immediately send a written Notice of Disclosure to both
buyers and sellers, disclosing the dual representation and ensuring both parties understand the
implications.
14. How is the welcome tax calculated for a property sold at $300,000?
A) A flat rate of 1% applies to the entire amount
B) Only amounts above $500,000 are taxed
C) Progressive rates apply to different portions of the value
D) The rate depends only on the municipal assessment
Welcome tax uses progressive rates: 0.5% on the first $50,000, 1% from $50,000 to $250,000, and 1.5%
from $250,000 to $500,000, calculated on whichever is higher between municipal assessment and sale
price.
15. What is the time limit for a buyer to provide written notice to the seller regarding a latent defect
discovered after purchase?
A) Immediate notice required within 24 hours
B) Within 6 months of discovery
, 4
C) Within 1 year of discovery
D) Within 2 years of discovery
Buyers must send written notice to the seller within 6 months of discovering a latent defect, though they
may have up to one year or longer for seasonal problems, and a maximum of three years to sue from the
date of discovery.
16. Which matrimonial regime requires both spouses to sign a brokerage contract for a property
acquired during the marriage?
A) Separation as to property
B) Community of property before July 1970 for private property
C) Partnership of acquests for property acquired during marriage
D) All matrimonial regimes require both signatures
Under the Partnership of Acquests regime, which applies to marriages after July 1, 1970, both spouses
must sign for property acquired during the marriage, as these are considered family assets requiring joint
consent.
17. What is the minimum duration for a buyer to obtain financing as a condition in a Promise to
Purchase?
A) 5 days
B) 10 days
C) 15 days
D) 30 days
A minimum of 15 days should be allowed for financing conditions: 10 days for the buyer to obtain
mortgage approval and 5 additional days for the seller to review and acknowledge receipt of the
notification.
18. What is the correct way to handle a verbal offer made by a buyer?
A) Record it on a CP form
B) Record it on an AM form
C) Do not record verbal offers as they are not binding
D) Use the standard Promise to Purchase form
Verbal offers should be recorded using an AM (Amendment) form, as using a CP form would reopen
negotiations to all terms rather than simply documenting the verbal offer for the record.
19. Who chooses the notary for a real estate transaction in Quebec?
A) The buyer always chooses the notary
B) The seller chooses the notary, unless the buyer assumes an existing hypothec
C) The broker chooses the notary
D) Both parties must agree on a notary
The seller generally chooses the notary for the transaction, but if the buyer assumes an existing hypothec
or provides the balance of the sale price, the buyer's notary may handle the file instead.
20. For a property sale without a will and no liquidator appointed, who has the authority to sign the
brokerage contract?
A) Only the spouse of the deceased
B) The notary handling the succession
C) All legal heirs collectively
D) Any adult child of the deceased
