FLORIDA REAL ESTATE LICENSE LAW
PRACTICE EXAM QUESTIONS AND
ANSWERS
Duties of a transaction broker: - ANSWER-A transaction broker has a duty to
account for all phones entrusted to the broker with regard to a real estate
transaction. Loyalty and confidentiality or single agent duties.
8 Real estate services: - ANSWER-Advertising, buying, appraising, renting or
providing rental lists, selling, auctioning, leasing, and exchanging. Mortgaging is
NOT a real estate service
A sales associate disputes the facts and allegations in and administrative complaint
(also known as a formal complaint) What should he do? - ANSWER-The matter must
be heard in a formal hearing before and administrative law judge.
Which type of business entity would obligate all principles as personally liable for
organization incurred debts? - ANSWER-General partnerships. Each partner is
responsible for all the debts incurred in conducting the business
The buyers or sellers signature is required on which brokerage relationship
disclosure before the licensee may continue? - ANSWER-Consent to transition to
transaction broker notice. Must secure the written consent of the seller or buyer
before transitioning to another relationship.
Licensee has been issued an administrative complaint. Licensee has signed the
election of rights indicating that he does not dispute the allegations of fact and that
he requests and informal hearing. How much prior notice of the hearing must be
given to the licensee respondent? - ANSWER-14 days. Licensee responded must be
given 14 days notice of the time, place, nature of the hearing, and include the
statement regarding the legal authority in jurisdiction under which the hearing is
being held
Active broker accompanies her husband when he goes on active military duty in
Ohio for five years. She is not active in real estate in Ohio. She returns to Florida and
wants a current brokers license within six months of her husband's discharge. She
must complete how many hours of continuing education? - ANSWER-She need not
complete any continuing education. A member of the US Armed Forces is exempt
from all renewal requirements while on active duty and for six months thereafter.
When the military duty is out of state exemption also applies to a licensed spouse.
A licensed real estate associate and broker wish to open a new real estate
brokerage firm as general partners. They may: - ANSWER-Not do so. And associate
or broker associate may not be a general partner in a partnership registered as a
real estate broker
, Designated sales associate - ANSWER-Designated sales associates have the duties
of a single agent in non-residential transactions involving a buyer and seller who
each have assets of $1 million or more, the broker at the request of the buyer and
seller may designate sales associates to act as single agents for different customers
in the same transaction. Such designated sales associates have the duties of a
single agent, including disclosure requirements.
A sales associate receives a deposit on Monday morning. Associate gives the
deposit to broker on Monday. By the end of what business day must the broker
deposit the funds into the escrow account? - ANSWER-Thursday. The broker must
deposit the funds by the end of business on the third business day. The three day
period begins on Tuesday. So you have three full business days after the day you
get the check.
Broker did not account properly for escrowed funds. His license was suspended. All
of the licenses of his sales associates are: - ANSWER-Placed in involuntary in active
status. The sales associate is welcome to register with another broker and get his
license back again as soon as employment is secured
Both buyer and seller claim earnest money deposited in escrow account. How much
time after the last claim received does the broker have to notify the FREC in writing?
- ANSWER-15 days. If broker receives conflicting demands on escrow property, he
must notify the FREC in writing within 15 business days of the parties last demand
Buyer and seller dispute a good-faith deposit. Broker must notify the FREC in writing
within 15 days of the last dispute. But howmuch time does he have to implement the
settlement procedure? - ANSWER-Broker must notify FRE see within 15 days in
writing of the dispute, but he has 30 days to implement one of the settlement
procedures
There is a dispute over escrowed funds. Broker notifies FREC and requests and
escrow disbursement order. How are however the FREC declines. What can broker
do? - ANSWER-Broker must use another settlement procedure such as mediation,
arbitration, or litigation. The FREC may choose to NOT issue an escrow
disbursement order, and broker CANNOT petition for an appeal
In the case of a first-time offense of a minor violation on the part of an associate, a
DB PR investigator will: - ANSWER-Issue a notice of noncompliance.
Hey broker has an in active license. Can he sue a customer for a commission? -
ANSWER-No any agreement we had with the customer is invalid because he had no
license. And in active license does not allow broker to do licensed real estate activity
for compensation.
False advertising concerning real estate information incurs what type of penalty? -
ANSWER-Second-degree misdemeanor.
The licensee status that results when a license is not renewed at the end of the
license. Is referred to as: - ANSWER-Involuntary in active.
PRACTICE EXAM QUESTIONS AND
ANSWERS
Duties of a transaction broker: - ANSWER-A transaction broker has a duty to
account for all phones entrusted to the broker with regard to a real estate
transaction. Loyalty and confidentiality or single agent duties.
8 Real estate services: - ANSWER-Advertising, buying, appraising, renting or
providing rental lists, selling, auctioning, leasing, and exchanging. Mortgaging is
NOT a real estate service
A sales associate disputes the facts and allegations in and administrative complaint
(also known as a formal complaint) What should he do? - ANSWER-The matter must
be heard in a formal hearing before and administrative law judge.
Which type of business entity would obligate all principles as personally liable for
organization incurred debts? - ANSWER-General partnerships. Each partner is
responsible for all the debts incurred in conducting the business
The buyers or sellers signature is required on which brokerage relationship
disclosure before the licensee may continue? - ANSWER-Consent to transition to
transaction broker notice. Must secure the written consent of the seller or buyer
before transitioning to another relationship.
Licensee has been issued an administrative complaint. Licensee has signed the
election of rights indicating that he does not dispute the allegations of fact and that
he requests and informal hearing. How much prior notice of the hearing must be
given to the licensee respondent? - ANSWER-14 days. Licensee responded must be
given 14 days notice of the time, place, nature of the hearing, and include the
statement regarding the legal authority in jurisdiction under which the hearing is
being held
Active broker accompanies her husband when he goes on active military duty in
Ohio for five years. She is not active in real estate in Ohio. She returns to Florida and
wants a current brokers license within six months of her husband's discharge. She
must complete how many hours of continuing education? - ANSWER-She need not
complete any continuing education. A member of the US Armed Forces is exempt
from all renewal requirements while on active duty and for six months thereafter.
When the military duty is out of state exemption also applies to a licensed spouse.
A licensed real estate associate and broker wish to open a new real estate
brokerage firm as general partners. They may: - ANSWER-Not do so. And associate
or broker associate may not be a general partner in a partnership registered as a
real estate broker
, Designated sales associate - ANSWER-Designated sales associates have the duties
of a single agent in non-residential transactions involving a buyer and seller who
each have assets of $1 million or more, the broker at the request of the buyer and
seller may designate sales associates to act as single agents for different customers
in the same transaction. Such designated sales associates have the duties of a
single agent, including disclosure requirements.
A sales associate receives a deposit on Monday morning. Associate gives the
deposit to broker on Monday. By the end of what business day must the broker
deposit the funds into the escrow account? - ANSWER-Thursday. The broker must
deposit the funds by the end of business on the third business day. The three day
period begins on Tuesday. So you have three full business days after the day you
get the check.
Broker did not account properly for escrowed funds. His license was suspended. All
of the licenses of his sales associates are: - ANSWER-Placed in involuntary in active
status. The sales associate is welcome to register with another broker and get his
license back again as soon as employment is secured
Both buyer and seller claim earnest money deposited in escrow account. How much
time after the last claim received does the broker have to notify the FREC in writing?
- ANSWER-15 days. If broker receives conflicting demands on escrow property, he
must notify the FREC in writing within 15 business days of the parties last demand
Buyer and seller dispute a good-faith deposit. Broker must notify the FREC in writing
within 15 days of the last dispute. But howmuch time does he have to implement the
settlement procedure? - ANSWER-Broker must notify FRE see within 15 days in
writing of the dispute, but he has 30 days to implement one of the settlement
procedures
There is a dispute over escrowed funds. Broker notifies FREC and requests and
escrow disbursement order. How are however the FREC declines. What can broker
do? - ANSWER-Broker must use another settlement procedure such as mediation,
arbitration, or litigation. The FREC may choose to NOT issue an escrow
disbursement order, and broker CANNOT petition for an appeal
In the case of a first-time offense of a minor violation on the part of an associate, a
DB PR investigator will: - ANSWER-Issue a notice of noncompliance.
Hey broker has an in active license. Can he sue a customer for a commission? -
ANSWER-No any agreement we had with the customer is invalid because he had no
license. And in active license does not allow broker to do licensed real estate activity
for compensation.
False advertising concerning real estate information incurs what type of penalty? -
ANSWER-Second-degree misdemeanor.
The licensee status that results when a license is not renewed at the end of the
license. Is referred to as: - ANSWER-Involuntary in active.
