RePA_Sales_S PA Salesperson State Exam Questions and Answers

UnderThe Fair Housing Act (42 U.S.C. § 3604) and The Americans with Disabilities Act (ADA) (42 U.S.C. § 12101),a salesperson must treat a person with a disability the same as any other prospective tenant, without discrimination.

The salesperson should focus on the client’s housing needs, such as apartment size and features, rather than their disability.

Landlords cannot charge an extra security deposit for service animals.

The person is not limited to disability-specific housing; they can rent any unit they qualify for.

Why the other answers are incorrect:

Option A (Search for Pet-Friendly Apartments):Service animals are NOT pets, so pet restrictionsdo not apply.

Option B (Charge Extra Deposit):Thisviolates fair housing laws; extra deposits for service animals are illegal.

Option C (Limit Options to Disability-Specific Housing):Clients with disabilitiesmust be shown all available housing, not just disability-specific units.

Under49 Pa. Code § 35.301 (Changes in Employment Status),a salesperson must notify the Pennsylvania Real Estate Commission within 10 days of switching brokers.

This ensures that the Commission’s records remain up-to-date and that the salesperson is properly licensed under a supervising broker.

Failure to report the change within 10 days can result in disciplinary action.

Why the other answers are incorrect:

Option A (5 Days):The regulation clearly states10 days, not 5.

Option C (15 Days):Thisexceeds the allowed time framefor notification.

Option D (30 Days):Waiting 30 days is too long and would violate Pennsylvania licensing laws.

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).

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.

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.

Under49 Pa. Code § 35.324 (Handling of Deposits and Escrow Money), all earnest money deposits must be promptly transmitted to the employing broker for deposit into an escrow account.

A salesperson cannot hold earnest money or maintain an escrow account on their own.

Brokers are responsible for ensuring that all escrow funds are properly handled and protected from commingling.

Why the other answers are incorrect:

Option A (Salesperson Holding Escrow Funds):Salespersons are prohibited from maintaining independent escrow accounts.

Option C (Holding Funds for 3 Days):Earnest money must be turned over to the broker as soon as possible; salespersons cannot hold it for any period.

Option D (Returning to Buyer for Transmission):Earnest money must go directly to the broker, not back to the buyer.

Under49 Pa. Code § 35.284 (Disclosures of Business Relationships),the Consumer Notice defines five types of permitted relationships between real estate licensees and consumers:

Buyer’s Agent– Represents the buyer and has a fiduciary duty to them.

Seller’s Agent (Listing Agent)– Represents the seller and has a fiduciary duty to them.

Designated Agent– A brokerage firm designates different agents to represent buyers and sellers in the same firm without creating dual agency.

Dual Agent– A licensee represents both the buyer and seller in the same transaction, with mutual consent.

Transaction Licensee– A real estate licensee who provides services but does not represent either party as an agent.

Why the other answers are incorrect:

Option A (Rental Agent):"Rental agent" is not a defined relationship in Pennsylvania law.

Option B (Buyer & Seller Sub-Agent):Sub-agency is no longer common and is not a required disclosure.

Option D (Designated Dual Agent):Dual agency and designated agency are separate concepts.

Under63 P.S. § 455.304 (Exemptions from Licensing Requirements),most individuals selling their own property are exempt from real estate licensing requirements.However, a real estate licensee selling their own real estate must comply with disclosure laws and ethical obligations.

If a real estate licensee sells their own property, they must disclose in all advertising that they are a licensed real estate professionalto avoid misleading the public.

While a non-licensee selling their own property is not covered under real estate licensing laws, a licensed salesperson must adhere to licensing and disclosure laws.

Why the other answers are incorrect:

Option A (Trustee under Court Order):Court-appointed trustees are exempt from real estate licensing requirements.

Option B (Attorney Representing Clients):Attorneys are permitted to handle real estate transactions as part of their legal practice without a real estate license.

Option D (Licensed Auctioneer):Auctioneers selling real estate are regulated under separate auctioneer licensing laws, not real estate licensing laws.

According to49 Pa. Code § 35.305(Business Name on Advertisements), alladvertisements placed by a salesperson must include the broker’s name.

Thebroker's name is missing, which violates Pennsylvania advertising requirements (Option C - Correct).

The property address does not need to be in the ad (Option A - Incorrect).

Salesperson names are allowed but must be accompanied by the broker's name (Option B - Incorrect).

MLS numbers are not a requirement in all advertisements (Option D - Incorrect).

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).

Under49 Pa. Code § 35.332 (Exclusive Listing Agreements), all listing agreements must specify the services provided, the duration of the agreement, and the compensation of the broker. However, there is no requirement to include the broker’s license number.

A listing agreement must clearly state the terms under which the broker will perform services and how they will be compensated.

The duration of the agreement must also be specified to prevent misunderstandings.

Why the other answers are incorrect:

Option A (Description of Services):This is a required component of the listing agreement.

Option B (Duration of Listing):A listing agreement must have a start and end date.

Option D (Broker’s Compensation):Compensation must be clearly stated in the listing agreement.

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.