SC PROPERTY MANAGEMENT LICENSE EXAM| UPDATED 2026 QUESTIONS AND ANSWERS |100% PASS
PM & PMIC licenses need to renewed biennially ✔️June 30th (end of state's fiscal year)
Conversion ✔️to use trust funds for the purpose other than the purpose of which they are held. Unlawful use of funds.
Customer ✔️a buyer, seller, landlord or tenant who uses the services of a real estate licensee but does not establish an agency relationship
through a written agency agreement with the licensee's real estate brokerage firm
The South Carolina Real Estate Commission has the power to: ✔️fine, suspend and revoke licenses
A real estate licensee must: ✔️agree to refrain from discriminatory practices
The SC Real Estate Commission ✔️is authorized to implement and enforce the license law
A real estate BIC or PMIC ✔️must maintain a place of business
Office ✔️the office location where a BIC or a PMIC is licensed to conduct real estate business
Property Manager ✔️An associated licensee who meets educational requirements and passes the examination for a PM license and who will, for
a fee, salary, commission will negotiate or attempt to negotiate, list or offers to list and advertise or represent.
PMIC ✔️a PM who is designated as having the responsibility over the actions of associated licensees and the responsibility and control over and
liability for real estate trust accounts
The Real Estate Commission may ✔️fine licensed violators a min of $500 & a max of $5,000 per violation
The main purpose of a trust account is to ✔️safeguard funds belonging to the tenant
Trust Account ✔️an escrow account or properly designated demand deposit and include the words "trust" or "escrow". Established &
maintained by BIC or PMIC to safeguard funds belonging to parties to a real estate transaction
Trust Funds ✔️funds received on behalf of another person by a licensee in the course of performing a real estate activity
What documents have to be kept in the broker's office for 5 years? ✔️Lease Agreements
Which is true of trust/escrow accounts ✔️They can be interest bearing
The SC Real Estate Commission consists of how many members ✔️10 members appointed in 4 year terms
For how long may a licensed salesperson, broker or PM go on inactive status? ✔️Indefinitely if the renewal fees are paid
What is a specified duty of a BIC or PMIC according to the license law ✔️maintain adequate, reasonable, and regular contact with associated
licensees engaged in real estate transactions
Regarding the management of real estate offices ✔️a BIC or PMIC may be in charge of more than one branch office
After revocation of license, a person may NOT ✔️reapply for three years
What happens if you fail to renew your license on time? ✔️You must cease real estate business operations, but you may renew within six
months of expiration
Before a property manager may become a PMIC, the PM must: ✔️complete seven hours of instruction in PM accounting and record keeping
If you fail to renew or register a license and continue to engage in real estate activities requiring a license, what sanctions may be put upon
you? ✔️Fines up to max $500 and/or imprisonment for not more than six months
BIC & PMIC shall ensure that backup copies are maintained for computerized real estate trust accounts. A backup copy must be maintained on
a data storage medium that is stored in a separate off-site location ✔️
A BIC or PMIC may NOT commingle trust funds of the client with his own money, except that he may maintain a clearly identified amount of the
company's funds in the trust account to cover bank service charges or in order to avoid the closing of the account when no client's trust funds
are on deposit. ✔️
, When should cash/certified funds for a security deposit be deposited in the PMIC's trust account? ✔️Within 48 hours of receipt (excluding Sat-
Sun & bank holiday's)
Trust Funds received by a licensee in connection with a real estate transaction in which the licensee is engaged for the BIC or PMIC must be
delivered to the BIC or PMIC no later than_ ✔️the following business day
When should personal checks be deposited for security deposit? ✔️within 48 hours after the lease is signed by parties to the lease (excluding
Sat/Sun & bank holiday's)
The purpose of the real estate license law is to ✔️Protect the public when involved in real estate transactions
Trust account records must be kept on file for a period of ✔️5 years
A PM received a security deposit from a tenant. The PM placed the deposit in his personal checking account. For this action, the agent was
found guilty of_ ✔️Commingling
If a dispute concerning the entitlement to, disposition of trust funds arises between buyer and seller and not resolved, the deposit must be held
in the trust account until the dispute is resolved by_ ✔️a written agreement (an order), voluntary mediation, interpleader action in court
PM must be how old to apply for license ✔️18
PMIC must be how old to apply for license ✔️21
Antitrust Laws ✔️laws that promote competition in the marketplace (Sherman Antitrust Act)
Sherman Antitrust Act ✔️1890 law banning any trust that restrained interstate trade or commerce
What is the most common form of violation of antitrust laws ✔️Price-Fixing
price fixing ✔️an agreement among firms to charge one price for the same good (this violates the law)
Civil Rights Act of 1866 ✔️All citizens shall have the same right as white citizens to inherit, purchase, lease, sell, hold, and convey real and
personal property (any manner of race or color discrimination in real estate is in violation of this act)
Civil Rights Act of 1968 (aka Fair Housing Act) ✔️Prohibits all racial discrimination, no exceptions (Supreme Court- Jones v. Alfred H Mayer
Company). 7 protected classes now. This includes Advertising.
What are the seven protected classes ✔️race, color, religion, national origin, sex, familial status (adults w/ children), disability (handicap)
Who is exempt from protected classes ✔️owner occupied buildings (4 units or less), single-family housing sold or rented without using a real
estate agent, and housing that is owned or operated by organizations and private clubs that limit occupancy to members
Blockbusting ✔️Encouraging owners to sell their properties because minorities are moving into a neighborhood (illegal)(panic selling)
Steering ✔️Channeling prospective buyers or tenants to particular neighborhoods based upon their race, religion, national origin, or ancestry.
Advertising should describe the property, NOT ✔️other tenants and the landlord
HUD fair housing poster ✔️requires that an equal opportunity poster be displayed at real estate brokerage offices, mortgage lender's offices,
model home sites and other related locations.(shows all 7 protected classes)
Americans with Disabilities Act (ADA) ✔️Legislation passed in 1990 that prohibits discrimination against people with disabilities. Under this Act,
discrimination against a disabled person is illegal in employment, transportation, public accommodations, communications and government
activities.
Reasonable Accommodation ✔️Modifications or adjustments to a job or job application process that accommodate persons with disabilities but
do not impose a disproportionate or undue burden on the employer.
SC Fair Housing Law (1989) ✔️SC's own fair housing law
SCHAC - SC Human Affairs Commission has initial enforcement authority
180 days to file a complaint (6 months). If more than 180 days complaint goes to HUD
PM & PMIC licenses need to renewed biennially ✔️June 30th (end of state's fiscal year)
Conversion ✔️to use trust funds for the purpose other than the purpose of which they are held. Unlawful use of funds.
Customer ✔️a buyer, seller, landlord or tenant who uses the services of a real estate licensee but does not establish an agency relationship
through a written agency agreement with the licensee's real estate brokerage firm
The South Carolina Real Estate Commission has the power to: ✔️fine, suspend and revoke licenses
A real estate licensee must: ✔️agree to refrain from discriminatory practices
The SC Real Estate Commission ✔️is authorized to implement and enforce the license law
A real estate BIC or PMIC ✔️must maintain a place of business
Office ✔️the office location where a BIC or a PMIC is licensed to conduct real estate business
Property Manager ✔️An associated licensee who meets educational requirements and passes the examination for a PM license and who will, for
a fee, salary, commission will negotiate or attempt to negotiate, list or offers to list and advertise or represent.
PMIC ✔️a PM who is designated as having the responsibility over the actions of associated licensees and the responsibility and control over and
liability for real estate trust accounts
The Real Estate Commission may ✔️fine licensed violators a min of $500 & a max of $5,000 per violation
The main purpose of a trust account is to ✔️safeguard funds belonging to the tenant
Trust Account ✔️an escrow account or properly designated demand deposit and include the words "trust" or "escrow". Established &
maintained by BIC or PMIC to safeguard funds belonging to parties to a real estate transaction
Trust Funds ✔️funds received on behalf of another person by a licensee in the course of performing a real estate activity
What documents have to be kept in the broker's office for 5 years? ✔️Lease Agreements
Which is true of trust/escrow accounts ✔️They can be interest bearing
The SC Real Estate Commission consists of how many members ✔️10 members appointed in 4 year terms
For how long may a licensed salesperson, broker or PM go on inactive status? ✔️Indefinitely if the renewal fees are paid
What is a specified duty of a BIC or PMIC according to the license law ✔️maintain adequate, reasonable, and regular contact with associated
licensees engaged in real estate transactions
Regarding the management of real estate offices ✔️a BIC or PMIC may be in charge of more than one branch office
After revocation of license, a person may NOT ✔️reapply for three years
What happens if you fail to renew your license on time? ✔️You must cease real estate business operations, but you may renew within six
months of expiration
Before a property manager may become a PMIC, the PM must: ✔️complete seven hours of instruction in PM accounting and record keeping
If you fail to renew or register a license and continue to engage in real estate activities requiring a license, what sanctions may be put upon
you? ✔️Fines up to max $500 and/or imprisonment for not more than six months
BIC & PMIC shall ensure that backup copies are maintained for computerized real estate trust accounts. A backup copy must be maintained on
a data storage medium that is stored in a separate off-site location ✔️
A BIC or PMIC may NOT commingle trust funds of the client with his own money, except that he may maintain a clearly identified amount of the
company's funds in the trust account to cover bank service charges or in order to avoid the closing of the account when no client's trust funds
are on deposit. ✔️
, When should cash/certified funds for a security deposit be deposited in the PMIC's trust account? ✔️Within 48 hours of receipt (excluding Sat-
Sun & bank holiday's)
Trust Funds received by a licensee in connection with a real estate transaction in which the licensee is engaged for the BIC or PMIC must be
delivered to the BIC or PMIC no later than_ ✔️the following business day
When should personal checks be deposited for security deposit? ✔️within 48 hours after the lease is signed by parties to the lease (excluding
Sat/Sun & bank holiday's)
The purpose of the real estate license law is to ✔️Protect the public when involved in real estate transactions
Trust account records must be kept on file for a period of ✔️5 years
A PM received a security deposit from a tenant. The PM placed the deposit in his personal checking account. For this action, the agent was
found guilty of_ ✔️Commingling
If a dispute concerning the entitlement to, disposition of trust funds arises between buyer and seller and not resolved, the deposit must be held
in the trust account until the dispute is resolved by_ ✔️a written agreement (an order), voluntary mediation, interpleader action in court
PM must be how old to apply for license ✔️18
PMIC must be how old to apply for license ✔️21
Antitrust Laws ✔️laws that promote competition in the marketplace (Sherman Antitrust Act)
Sherman Antitrust Act ✔️1890 law banning any trust that restrained interstate trade or commerce
What is the most common form of violation of antitrust laws ✔️Price-Fixing
price fixing ✔️an agreement among firms to charge one price for the same good (this violates the law)
Civil Rights Act of 1866 ✔️All citizens shall have the same right as white citizens to inherit, purchase, lease, sell, hold, and convey real and
personal property (any manner of race or color discrimination in real estate is in violation of this act)
Civil Rights Act of 1968 (aka Fair Housing Act) ✔️Prohibits all racial discrimination, no exceptions (Supreme Court- Jones v. Alfred H Mayer
Company). 7 protected classes now. This includes Advertising.
What are the seven protected classes ✔️race, color, religion, national origin, sex, familial status (adults w/ children), disability (handicap)
Who is exempt from protected classes ✔️owner occupied buildings (4 units or less), single-family housing sold or rented without using a real
estate agent, and housing that is owned or operated by organizations and private clubs that limit occupancy to members
Blockbusting ✔️Encouraging owners to sell their properties because minorities are moving into a neighborhood (illegal)(panic selling)
Steering ✔️Channeling prospective buyers or tenants to particular neighborhoods based upon their race, religion, national origin, or ancestry.
Advertising should describe the property, NOT ✔️other tenants and the landlord
HUD fair housing poster ✔️requires that an equal opportunity poster be displayed at real estate brokerage offices, mortgage lender's offices,
model home sites and other related locations.(shows all 7 protected classes)
Americans with Disabilities Act (ADA) ✔️Legislation passed in 1990 that prohibits discrimination against people with disabilities. Under this Act,
discrimination against a disabled person is illegal in employment, transportation, public accommodations, communications and government
activities.
Reasonable Accommodation ✔️Modifications or adjustments to a job or job application process that accommodate persons with disabilities but
do not impose a disproportionate or undue burden on the employer.
SC Fair Housing Law (1989) ✔️SC's own fair housing law
SCHAC - SC Human Affairs Commission has initial enforcement authority
180 days to file a complaint (6 months). If more than 180 days complaint goes to HUD
