CE Shop (Alabama) Final Exam Review
A buyer client is preparing an offer on a property. He wants to make sure his offer
stands out above all others and is accepted, so he discusses waiving the
inspection contingency. What should the agent do? - ANS - Encourage the buyer
to get an inspection, and if he still wants to waive it, put it in writing that you
advised against waiving the inspection and have him sign.
\A licensee has several tasks to perform for seller clients. What's one of those
tasks? - ANS - Communicate all offers and counter-offers to the sellers.
\Adrian, an Alabama real estate salesperson, lives in a remote part of town. He
jokes around that he lives so far out in the country, sometimes even his cows get
lost. Can he work from a home office? - ANS - No, because he is a salesperson
and not a broker.
\After an investigation and hearing, Jeremy was found guilty of violating license
law. Against which entity would he submit an appeal? - ANS - The Alabama Real
Estate Commission
\Agent Jeff has just received an offer for his seller client Maggie. He goes over the
terms of the offer with her and explains what some of the contract-specific
language means. What else, if anything, does he have to do to avoid breaking
Alabama license law? - ANS - He must explain that Maggie will have to pay
closing costs.
\Alabama broker Jim is acting as a limited consensual dual agent for seller
Christine and buyer Blake. Which of the following is required for Jim to act in this
capacity? - ANS - He must get the written, informed, advance consent before
entering into the relationship.
\Alabama broker Mandy has presented the Real Estate Brokerage Services
Disclosure form to consumer Kyla and asked Kyla to sign it. What's the purpose
of Kyla's signature on this form? - ANS - To acknowledge that Mandy's presented
her with this form
\Alabama licensee Frank has just met with consumer Emily, who's in the market
for a house. Which of the following is true of this situation? - ANS - Frank isn't
required to present the consumer information booklet to Emily at any time, but he
may do so if he'd like.
\Are Alabama salespersons allowed to work from a home office? - ANS - No, only
brokers are allowed to work from a home office.
\AREC has just asked Newman for a large number of his transactional records.
What is Newman required to do now? - ANS - He must provide these records to
AREC within a reasonable timeframe.
, \Ben, a managing broker, is holding transaction money in a trust account. The
transaction doesn't close, and both the buyer and seller claim that the money in
the account is theirs. Two weeks later, both parties come to Ben's office and say
they've reached an agreement, and that Ben should give the money to the seller.
Ben says, "I can't disburse these funds until I get your signed permission." When
both parties sign, Ben disburses the money to the seller. What, if anything, did
Ben do wrong? - ANS - Ben disbursed this money correctly.
\Brynn, a licensee from another state, wants to obtain a reciprocal license in
Alabama. Which of the following statements is true? - ANS - She must provide her
licensing history to the commission within 120 days before the commission
issues the license.
\Buyer Brenda has just met and started talking to licensee Lydia. They haven't
signed any brokerage agreements at this point. In what capacity is Brenda acting
for Lydia? - ANS - A transaction broker
\Candi, an Alabama licensee, knows that her seller client's new roof leaks. When
speaking about this roof, she only tells potential buyers, "This roof is just a few
years old!" What license law violation, if any, has Candi committed? - ANS -
Behaving in an untrustworthy or dishonest manner
\Cheryl, the aggrieved claimant on a complaint against a licensee, has just won
her claim. She demonstrated that the licensee was responsible for her losing
$60,000. She also paid for a lawyer, which was another $5,000. With other fees
and incidentals, her total damages are $67,000. What is the amount she'll receive?
- ANS - $25,000
\Closing day is finally here! As an Alabama qualifying broker, how much time
does Amanda have to disburse all funds held in trust for the transaction? - ANS -
Seven days
\D'Wayne is acting as the buyer's agent for Alabama resident Rocky in a real
estate transaction. In this transaction, what is D'Wayne's role? - ANS - A single
agent
\Daniel has several properties listed around town. He receives a call from a
prospective buyer who is very interested in one of the properties and wants to
schedule a showing. What should Daniel do? - ANS - Disclose his agency
relationship with the seller to the prospective buyer.
\Danielle doesn't live in Alabama. She's entered into a written agreement with an
Alabama broker that says that they agree to work together on a particular
transaction. The written agreement gives details about the property in question,
and Danielle now has to file the written agreement with AREC. What kind of
agreement is this? - ANS - Co-brokerage
\Danny is 19 years old. He has a GED and has been working in real estate for the
last 18 months. He's completed 60 hours of approved broker pre-licensing
A buyer client is preparing an offer on a property. He wants to make sure his offer
stands out above all others and is accepted, so he discusses waiving the
inspection contingency. What should the agent do? - ANS - Encourage the buyer
to get an inspection, and if he still wants to waive it, put it in writing that you
advised against waiving the inspection and have him sign.
\A licensee has several tasks to perform for seller clients. What's one of those
tasks? - ANS - Communicate all offers and counter-offers to the sellers.
\Adrian, an Alabama real estate salesperson, lives in a remote part of town. He
jokes around that he lives so far out in the country, sometimes even his cows get
lost. Can he work from a home office? - ANS - No, because he is a salesperson
and not a broker.
\After an investigation and hearing, Jeremy was found guilty of violating license
law. Against which entity would he submit an appeal? - ANS - The Alabama Real
Estate Commission
\Agent Jeff has just received an offer for his seller client Maggie. He goes over the
terms of the offer with her and explains what some of the contract-specific
language means. What else, if anything, does he have to do to avoid breaking
Alabama license law? - ANS - He must explain that Maggie will have to pay
closing costs.
\Alabama broker Jim is acting as a limited consensual dual agent for seller
Christine and buyer Blake. Which of the following is required for Jim to act in this
capacity? - ANS - He must get the written, informed, advance consent before
entering into the relationship.
\Alabama broker Mandy has presented the Real Estate Brokerage Services
Disclosure form to consumer Kyla and asked Kyla to sign it. What's the purpose
of Kyla's signature on this form? - ANS - To acknowledge that Mandy's presented
her with this form
\Alabama licensee Frank has just met with consumer Emily, who's in the market
for a house. Which of the following is true of this situation? - ANS - Frank isn't
required to present the consumer information booklet to Emily at any time, but he
may do so if he'd like.
\Are Alabama salespersons allowed to work from a home office? - ANS - No, only
brokers are allowed to work from a home office.
\AREC has just asked Newman for a large number of his transactional records.
What is Newman required to do now? - ANS - He must provide these records to
AREC within a reasonable timeframe.
, \Ben, a managing broker, is holding transaction money in a trust account. The
transaction doesn't close, and both the buyer and seller claim that the money in
the account is theirs. Two weeks later, both parties come to Ben's office and say
they've reached an agreement, and that Ben should give the money to the seller.
Ben says, "I can't disburse these funds until I get your signed permission." When
both parties sign, Ben disburses the money to the seller. What, if anything, did
Ben do wrong? - ANS - Ben disbursed this money correctly.
\Brynn, a licensee from another state, wants to obtain a reciprocal license in
Alabama. Which of the following statements is true? - ANS - She must provide her
licensing history to the commission within 120 days before the commission
issues the license.
\Buyer Brenda has just met and started talking to licensee Lydia. They haven't
signed any brokerage agreements at this point. In what capacity is Brenda acting
for Lydia? - ANS - A transaction broker
\Candi, an Alabama licensee, knows that her seller client's new roof leaks. When
speaking about this roof, she only tells potential buyers, "This roof is just a few
years old!" What license law violation, if any, has Candi committed? - ANS -
Behaving in an untrustworthy or dishonest manner
\Cheryl, the aggrieved claimant on a complaint against a licensee, has just won
her claim. She demonstrated that the licensee was responsible for her losing
$60,000. She also paid for a lawyer, which was another $5,000. With other fees
and incidentals, her total damages are $67,000. What is the amount she'll receive?
- ANS - $25,000
\Closing day is finally here! As an Alabama qualifying broker, how much time
does Amanda have to disburse all funds held in trust for the transaction? - ANS -
Seven days
\D'Wayne is acting as the buyer's agent for Alabama resident Rocky in a real
estate transaction. In this transaction, what is D'Wayne's role? - ANS - A single
agent
\Daniel has several properties listed around town. He receives a call from a
prospective buyer who is very interested in one of the properties and wants to
schedule a showing. What should Daniel do? - ANS - Disclose his agency
relationship with the seller to the prospective buyer.
\Danielle doesn't live in Alabama. She's entered into a written agreement with an
Alabama broker that says that they agree to work together on a particular
transaction. The written agreement gives details about the property in question,
and Danielle now has to file the written agreement with AREC. What kind of
agreement is this? - ANS - Co-brokerage
\Danny is 19 years old. He has a GED and has been working in real estate for the
last 18 months. He's completed 60 hours of approved broker pre-licensing
