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NEW QUESTION # 30
Which of the following is a REQUIRED general duty of a licensee?

A. Accept liability and responsibility for acts of the consumer.
B. Independently verify the accuracy of any representation on a property condition disclosure statement.
C. Provide assistance with document preparation.
D. Conduct an independent inspection of the property.

Answer: B

Explanation:
Under68 Pa. C.S. §§ 7301-7314 (Real Estate Seller Disclosure Law),a licensee has a duty to ensure that the property condition disclosure statement is complete and accurate as provided by the seller.
* While the licensee does not conduct a formal property inspection, they must not ignore material defects that are apparent or known to them.
* If a licensee knows of an issue that contradicts the seller's disclosure, they must disclose this to the buyer to prevent misrepresentation.
* This protects consumers from fraudulent or misleading property conditions.
Why the other answers are incorrect:
* Option A (Independent Inspection):A licensee is not a home inspectorand is not required to perform a physical inspection.
* Option C (Accept Consumer Liability):A licenseeis not responsible for actions taken by a buyer or seller.
* Option D (Document Preparation Assistance):A licenseecan help explain documents but cannot prepare legal contracts without an attorney.
Reference:
68 Pa. C.S. §§ 7301-7314- Real Estate Seller Disclosure Law

NEW QUESTION # 31
A salesperson secures a listing priced at $110,000. A prospective buyer asks the salesperson to write a
$65,000 offer for the property. The salesperson should:

A. Prepare the offer as requested but not waste the seller's time presenting it.
B. Advise the buyer to offer more for the property since the seller is unlikely to accept such a low offer.
C. Prepare the offer as requested and present it to the seller.
D. Suggest that the buyer have another licensee prepare the offer.

Answer: C

Explanation:
Under49 Pa. Code § 35.292 (Duties of Licensees Generally),a real estate licensee is required to present all written offers to the seller, regardless of the amount.
* It is the seller's right to accept, reject, or counter an offer, not the salesperson's decision.
* A salesperson cannot refuse to submit an offer based on personal opinions about the price.
* Presenting all offers ensures fair dealings and upholds fiduciary duty to the seller.
Why the other answers are incorrect:
* Option B (Not Waste the Seller's Time):It is the seller's decision to accept or reject an offer, not the salesperson's.
* Option C (Advise Buyer to Offer More):A licensee must remain neutral and cannot pressure a buyer to increase their offer.
* Option D (Suggest Buyer Use Another Agent):There is no reason to transfer the buyer to another agent. The agent must present the offer.
Reference:
49 Pa. Code § 35.292- Duties of Licensees Generally

NEW QUESTION # 32
The Commission, after obtaining the facts of a verified complaint against a licensee, holding a hearing, and finding that licensee guilty, may:

A. Imprison a licensee for no more than 90 days.
B. Suspend or revoke a license and/or levy a fine of $1,000 or less.
C. Make the licensee take up to 20 hours of ethics training.
D. Levy a fine of $2,000 - $5,000 if this is the licensee's first offense.

Answer: B

Explanation:
Under63 P.S. § 455.305 (Civil Penalty Provisions),the Pennsylvania Real Estate Commission has the authority to suspend or revoke a license and impose fines of up to $1,000 per violation.
* The Commission can impose fines but does not have authority over criminal penalties such as imprisonment.
* Suspension or revocation is a common penalty for severe violations, including fraud, misrepresentation, or mismanagement of client funds.
Why the other answers are incorrect:
* Option A ($2,000 - $5,000 Fine):The fine limit for first offenses is typically $1,000 per violation.
* Option C (20 Hours of Ethics Training):Training may be recommended but is not an official penalty imposed by the Commission.
* Option D (90-Day Imprisonment):The Commission does not have authority to impose jail sentences.

NEW QUESTION # 33
If a client requests to list their home for much more than the comparable market analysis (CMA) recommends, what is the duty of the salesperson?

A. Require the seller to receive an appraisal before listing the property
B. Provide the client financial advice as to how they can invest their assets to earn the amount they would like to receive
C. Advise the client as to the reason it is in their best interest to list the property closer to the comparable market value
D. Refuse the listing because accepting the listing would violate the Pennsylvania Real Estate Licensing and Registration Act

Answer: C

Explanation:
Areal estate licensee has a fiduciary duty to provide honest, professional advice to their clients, including pricing strategies based oncomparative market analysis (CMA).
* Under 49 Pa. Code § 35.292 (Duties of Licensees Generally), a licensee must act in the best interest of the client, which includes providing realistic pricing guidance.
* If a seller insists on listing at an inflated price, the agent should educate them on the risks, such as longer market time and reduced buyer interest.
* While the agent cannot force a seller to list at a lower price, they must ensure that the client makes an informed decision.
Why the other answers are incorrect:
* Option A (Require an Appraisal):CMAs are typically sufficient for pricing; an appraisal is only required in specific cases (e.g., lender requirements).
* Option B (Refuse the Listing):Overpricing is not illegal, so there is no licensing violation in accepting the listing.
* Option D (Providing Investment Advice):Real estate licensees are not financial advisorsand should not offer investment strategies.

NEW QUESTION # 34
If a salesperson representing a buyer gets information from the seller's agent as to the status of the real estate transaction, what is the buyer's agent REQUIRED to do?

A. Advise the listing broker as to the status of the transaction.
B. Advise the buyer as to the status of the transaction.
C. Advise the seller as to the status of the transaction.
D. Advise the loan officer as to the status of the transaction.

Answer: B

Explanation:
Under49 Pa. Code § 35.284(Disclosures of Business Relationships), abuyer's agenthas afiduciary dutyto their client. This means the agent mustact in the buyer's best interestandcommunicate all material informationregarding the transactionto the buyer.
* The buyer's agent's primary responsibility is to the buyer (Option B - Correct).
* The buyer's agent does not have any fiduciary duty to the seller (Option A - Incorrect).
* The buyer's agent is not required to inform the listing broker (Option C - Incorrect).
* The loan officer does not have the same level of involvement in fiduciary duties as the buyer (Option D - Incorrect).
Reference:
49 Pa. Code § 35.284- Disclosure of Business Relationships

NEW QUESTION # 35
According to the Pennsylvania Real Estate Commission, which one of the following actions by a licensee is prohibited conduct?

A. Failure to engage legal counsel to respond to a Commission request for information stemming from a complaint about the licensee
B. Failure to disclose the licensee's use of a third party to acquire property listed by the licensee's office
C. Taking a listing that has a duration of only 2 months
D. Negotiating a commission that seriously undercuts those of other brokerage firms

Answer: B

Explanation:
A real estate licensee in Pennsylvania isprohibited from failing to disclose any personal interestin a transaction. This includesusing a third party to purchase property listed by the licensee's own office.
* 49 Pa. Code § 35.283 (Disclosure of Interest)requires that alicensee must disclose any financial interest they have in a transaction.
* If a licensee arranges for a third party (such as a relative or business associate) to purchase a property without disclosure, this is considered a serious ethical violation.
Why the other answers are incorrect:
* Option A (Short Listing Duration):Listingsdo not have a minimum required time period, so a2- month duration is permissible.
* Option B (Undercutting Commission):Commission feesare negotiable, and the Real Estate Commission does not set a minimum fee.
* Option D (Legal Counsel Not Required):Licenseesare not required to hire legal counselto respond to Commission complaints, but they must respond honestly and fully.

NEW QUESTION # 36
Which of the following activities performed by the manager of a multifamily dwelling REQUIRES a real estate license?

A. Entering into leases
B. Providing information on rental amounts to prospective renters
C. Distributing building rules and regulations
D. Showing apartments to prospective renters

Answer: A

Explanation:
Areal estate license is required to enter into leases on behalf of a landlordbecausethis involves negotiating real estate transactions.
* According to 49 Pa. Code § 35.201 (Definitions), property management activities that include leasing, collecting rent, and negotiating lease terms require a real estate license.
* A property manager who is actively negotiating leases must hold a real estate license unless they are directly employed by the property owner.
Why the other answers are incorrect:
* Option B (Distributing Rules):Thisdoes not require a licensesince it is administrative.
* Option C (Showing Apartments):Showing apartmentsdoes not require a license as long as no negotiations occur.
* Option D (Providing Rental Info):Providing information is not negotiating a lease, so a license is not needed.

NEW QUESTION # 37
Licensing law in the Commonwealth of Pennsylvania requires that a real estate salesperson be supervised by a licensed real estate broker or a broker-assigned:

A. Salesperson.
B. Transaction coordinator.
C. Associate broker.
D. Team leader.

Answer: C

Explanation:
Under49 Pa. Code § 35.241 (Supervision and Operation of Offices),a licensed real estate salesperson must be supervised by a broker or an associate broker designated by the broker.
* A broker may assign an associate broker (who has passed the broker exam but does not own the brokerage) to oversee salespersons.
* Salespersons cannot work independently; they must work under the direction of a licensed broker or an assigned associate broker.
Why the other answers are incorrect:
* Option A (Team Leader):A team leader is not a formal supervisory position under Pennsylvania law unless they are an associate broker or broker.
* Option B (Salesperson):A salesperson cannot supervise other salespersons.
* Option D (Transaction Coordinator):A transaction coordinator handles paperwork but does not supervise licensees.
Reference:
49 Pa. Code § 35.241- Supervision and Operation of Offices

NEW QUESTION # 38
If known, the listing broker MUST disclose which of the following to a prospective buyer?

A. That the seller's water system is contaminated
B. That the seller has filed for divorce
C. That the seller has accepted a position in another state
D. That the seller's mortgage is assumable

Answer: A

Explanation:
Alicensee must disclose all material defectsrelated to the property,including known issues like a contaminated water system.
* Under 68 P.S. §§ 7303-7304 (Real Estate Seller Disclosure Law), the seller and broker must disclose all material defects affecting the property's value or safety.
* A contaminated water system is considered a health and safety issue and must be disclosed to the buyer.
Why the other answers are incorrect:
* Option A (Assumable Mortgage):This is afinancial issue, not a material defect.
* Option B (Seller's New Job):The seller's personal situationdoes not affect the property's condition.
* Option C (Divorce):Divorce is private informationand does not need to be disclosed.
Reference:
Real Estate Seller Disclosure Law (68 P.S. §§ 7303-7304)

NEW QUESTION # 39
A broker has been hired by a buyer to find an investment property. Upon locating a suitable property listed by another firm, the broker MUST:

A. Recommend a professional inspection of the property.
B. Initiate a title search of the property.
C. Disclose to the listing broker or the seller that they represent the buyer.
D. Disclose their dual representation, in writing, to both buyer and seller.

Answer: C

Explanation:
Under49 Pa. Code § 35.311 (Duties of Buyer's Agent),a buyer's agent must disclose their relationship to the listing broker or seller before providing substantive services.
* This ensures that all parties understand who represents whom in the transaction.
* Failure to disclose agency relationships could result in ethical violations and penalties from the Pennsylvania Real Estate Commission.
Why the other answers are incorrect:
* Option A (Initiate a Title Search):This is typically done by the buyer's attorney or title company,not the real estate broker.
* Option B (Recommend an Inspection):While good practice,it is not legally required under agency law.
* Option C (Disclose Dual Representation):This is incorrect because the broker is not acting as a dual agent in this case.

NEW QUESTION # 40
An owner sells a house through a salesperson who works as an independent contractor for a broker. Before the closing, the owner fires the broker. However, the owner agrees to pay the salesperson a $1,000 fee for services. Which of the following is TRUE?

A. The owner can cancel any part of the sales contract at any time.
B. The salesperson may legally accept the $1,000.
C. The salesperson may only accept the $1,000 with the broker's consent.
D. The salesperson cannot legally accept the $1,000.

Answer: D

Explanation:
According to49 Pa. Code § 35.283(Compensation and Commission), asalesperson may not accept compensation from anyone other than their employing broker.
* A salesperson cannot accept direct payments from an owner or buyer (Option A - Correct).
* The owner cannot cancel the sales contract unilaterally (Option B - Incorrect).
* The salesperson may only be compensated through the broker, even if the owner agrees to direct payment (Option C & D - Incorrect).
Reference:
49 Pa. Code § 35.283- Compensation and Commission

NEW QUESTION # 41
What MUST a salesperson licensee convicted of a felony do?

A. Provide the Real Estate Commission with information about the conviction
B. Discuss the matter with the employing broker to decide what to do
C. Terminate all real estate activities
D. Immediately turn in the real estate license to the Real Estate Commission

Answer: A

Explanation:
According to49 Pa. Code § 35.288under"Reporting of Crimes and Disciplinary Actions", all licensees in Pennsylvania arerequired to notifythePennsylvania Real Estate Commissioninwritingwithin30 daysof any felony or misdemeanor conviction.
* A licensee doesnotautomatically lose their license upon conviction, but theCommission will reviewthe case and may takedisciplinary actionsuch as suspension or revocation of the license.
* Failing to reportthe conviction within the required time mayresult in additional penalties.
* Immediate license surrender (Option A)isnotrequired.
* Discussing with the broker (Option B)is not a sufficient step since theofficial duty is to inform the Commission.
* Terminating all activities (Option D)is not an automatic requirement unless theCommission suspends or revokes the license.

NEW QUESTION # 42
Which entities are authorized to investigate charges against real estate licensees concerning illegal discrimination in the sale or rental of housing?

A. The Pennsylvania Human Relations Commission and the Pennsylvania State Legislature
B. The Pennsylvania Real Estate Commission and the Better Business Bureau
C. The Pennsylvania State Legislature and the Pennsylvania Real Estate Commission
D. The Pennsylvania Real Estate Commission and the Pennsylvania Human Relations Commission

Answer: D

Explanation:
Both thePennsylvania Real Estate Commission (PREC)and thePennsylvania Human Relations Commission (PHRC)haveauthority to investigate illegal discriminationin real estate transactions.
* The Pennsylvania Human Relations Commission (PHRC)is responsible for enforcingthe Pennsylvania Human Relations Act (PHRA), which prohibits discrimination in housing based on race, color, religion, ancestry, age, sex, national origin, disability, and familial status.
* The Pennsylvania Real Estate Commission (PREC)investigates complaints againstlicensed real estate professionalswho violate fair housing laws, including violations of theReal Estate Licensing and Registration Act (RELRA).
Why the other answers are incorrect:
* Option A (Pennsylvania State Legislature and PREC):The Legislaturemakes lawsbutdoes not enforcethem or conduct investigations.
* Option B (PREC and Better Business Bureau):TheBetter Business Bureau (BBB) is a private organizationand doesnot have legal enforcement authority.
* Option C (PHRC and Legislature):The Legislature doesnot investigate complaints, but the PHRC does.

NEW QUESTION # 43
Interest earned on an escrow account is:

A. Equally divided between the listing and selling brokers.
B. Payable to the broker holding the deposit.
C. Equally divided between the buyer and seller.
D. Payable subject to an agreement between the parties.

Answer: D

Explanation:
Under49 Pa. Code § 35.326 (Escrow Accounts and Interest),interest earned on escrow accounts belongs to the party or parties as determined by the terms of the contract or agreement.
* A broker cannot personally benefit from interest earned on escrow funds unless the contract explicitly allows it.
* The purchase agreement must specify how the interest is handled, whether it is payable to the buyer, seller, or split between parties.
Why the other answers are incorrect:
* Option A (Payable to the Broker):A broker cannot keep interest from an escrow account unless agreed upon in writing.
* Option B (Equally Divided Between Buyer and Seller):Interest division is not automatic; it must be outlined in the contract.
* Option C (Equally Divided Between Brokers):Brokers do not have rights to escrow interest unless explicitly agreed upon.
Reference:
49 Pa. Code § 35.326- Escrow Accounts and Interest

NEW QUESTION # 44
According to the Pennsylvania Real Estate Commission, which one of the following actions by a licensee is prohibited conduct?

A. Failure to engage legal counsel to respond to a Commission request for information stemming from a complaint about the licensee
B. Failure to disclose the licensee's use of a third party to acquire property listed by the licensee's office
C. Taking a listing that has a duration of only 2 months
D. Negotiating a commission that seriously undercuts those of other brokerage firms

Answer: B

NEW QUESTION # 45
A real estate licensee may be disciplined by the Pennsylvania Real Estate Commission for which of the following reasons?

A. Any felony conviction
B. Inability to obtain automobile liability insurance
C. Habitual intoxication or drug addiction
D. Nonpayment of Federal income taxes

Answer: C

Explanation:
Under49 Pa. Code § 35.291(Reporting of Crimes and Disciplinary Actions), a real estate licensee may face disciplinary action for engaging inunethical conduct, fraud, or incompetence. One of the reasons listed is habitual intoxication or drug addiction, as thisimpairsthe licensee's ability toproperly conduct real estate activities.
* A felony conviction (Option D - Incorrect) does not automatically result in disciplinebut is reviewed by the Commission.
* Failure to pay taxes (Option C - Incorrect) is a federal issue, not a licensing violation.
* Car insurance (Option A - Incorrect) is unrelated to a real estate license.
Reference:
49 Pa. Code § 35.291- Reporting of Crimes and Disciplinary Actions

NEW QUESTION # 46
The Pennsylvania Real Estate Commission has received a written complaint that a licensee is engaging in an activity prohibited by the Real Estate Licensing and Registration Act. What action is the Commission empowered to take?

A. Suspend the licensee's license for a period not to exceed 6 months.
B. Transfer the matter to civil authorities in the county in which the alleged activity occurred.
C. Ascertain the facts and, if warranted, hold a hearing.
D. Serve the licensee with a cease and desist order.

Answer: C

Explanation:
ThePennsylvania Real Estate Commission (PREC)has the power toinvestigate complaints, hold hearings, and impose disciplinary actionsunder63 P.S. § 455.404 (Powers of the Commission).
* The Commission will first investigate the complaint to determine if the allegations are valid.
* If warranted, the Commission will hold a formal hearing to decide on appropriate disciplinary action.
* Possible penalties include fines, suspension, or revocation of the license.
Why the other answers are incorrect:
* Option A (Automatic 6-Month Suspension):The Commission does not impose automatic suspensions; each case is reviewed individually.
* Option C (Cease and Desist Order):This is typically used forunlicensed real estate activities, not licensed misconduct.
* Option D (Transfer to Civil Authorities):While some cases (e.g., fraud) may be referred to law enforcement, theCommission itself first investigates.

NEW QUESTION # 47
A person is employed by a real estate owner to manage a multifamily residential property. Which of the following activities is the person permitted to perform without a real estate license?

A. Negotiate terms and conditions of occupancy.
B. Hold money belonging to tenants other than on behalf of the owner.
C. Provide information on rental amounts and building rules and regulations.
D. Enter into leases on behalf of the owner.

Answer: C

Explanation:
Under49 Pa. Code § 35.201 (Definitions), an unlicensed individual who is directly employed by a property owner can perform certain tasks, such as providing rental information and enforcing building rules, but they cannot engage in leasing or negotiation activities.
* Providing information on rental amounts and building rules is considered administrative and does not require a real estate license.
* However, negotiating leases, collecting rents on behalf of third parties, or holding security deposits in a non-owner-controlled account would require a real estate license.
Why the other answers are incorrect:
* Option B (Entering into Leases):Only a licensed real estate broker or a supervised salesperson can legally execute lease agreements on behalf of a landlord.
* Option C (Negotiating Terms):Negotiating lease terms is an activity that requires a real estate license.
* Option D (Holding Tenant Funds Independently):Handling tenant funds outside of the owner's direct control is a brokerage activity and requires a real estate license.

NEW QUESTION # 48
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[Dec-2025] Download Real RePA_Sales_S Exam Dumps for candidates 100% Free Dump Files [Q30-Q48]

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