Pennsylvania Real Estate Commission RePA_Sales_S PA Salesperson State Exam Exam Practice Test

UnderThe Fair Housing Act (42 U.S.C. § 3604)andThe Americans with Disabilities Act (ADA) (42 U.S.C. § 12101),both service and emotional support animals must be allowed in rental properties, even in "no pets" buildings.

Service animals (such as guide dogs) and emotional support animals (ESA) are not considered "pets" under federal and state law, so landlords cannot prohibit them.

A landlord cannot charge an additional deposit or pet fee for service/support animals.

The tenant must provide documentation from a licensed medical provider if the disability is not obvious, but there is no requirement for a formal "federal registration" of service animals.

Why the other answers are incorrect:

Option B (Charge Additional Deposit):This is illegal under Fair Housing lawsbecause service animals are not "pets".

Option C (No Pets Rule):A no-pets policydoes not applyto service animals.

Option D (Federally Registered Service Animal):There is no federal registryfor service animals, so this is not a valid requirement.

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.

Under49 Pa. Code § 35.283 (Disclosure of Interest),a real estate licensee must disclose in writing if they have a direct or indirect ownership interest in a property they are selling or purchasing.

This disclosure ensures transparency and prevents conflicts of interest.

Failure to disclose ownership interest could be considered fraudulent and result in disciplinary action by the Pennsylvania Real Estate Commission.

Why the other answers are incorrect:

Option A (Commission Notification Required):TheCommission does not need to be notifiedunless a violation occurs.

Option B (Listing Agreement Disclosure):Disclosure isnot required in the listing agreementbut must be made to all parties.

Option D (Percentage of Ownership on Contract):The specificpercentage of ownership is not required to be on the contract; general disclosure is sufficient.

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.

In Pennsylvania, a real estate licenseemust complete 14 hours of continuing education (CE) coursesduring each renewal period. Additionally,if the Pennsylvania Real Estate Commission mandates a specific CE course during the licensing cycle, licensees are required to take that course.

49 Pa. Code § 35.382 (Continuing Education Requirements)states that alicensee must complete the specific courses required by the Commission for each licensing cycle.

Some renewal periods require specific courses, such as ethics or law updates, to ensure that licensees remain compliant with changing regulations.

Why the other answers are incorrect:

Option A (14 Hours Specifically Mandated):Whilesomecourses may be mandatory, licensees can choose others from anapproved list.

Option B (Any Combination of 14 Hours):Somespecific courses are required, meaning licenseescannot just pick any course.

Option D (Carrying Over CE Hours):Continuing education hours do not carry overfrom one licensing period to another.

Under49 Pa. Code § 35.201 (Definitions), property management activities that include leasing, collecting rent, and negotiating lease terms require a real estate license unless the individual is directly employed by the property owner.

If a property manager is conducting leasing or rental activities for multiple property owners, they must be licensed and supervised by a broker.

The law ensures that individuals managing properties for others operate under proper ethical and legal guidelines.

Why the other answers are incorrect:

Option A (Certification for Property Management):No separate property management certification is required under Pennsylvania law.

Option B (Separate Exam for Property Management):A separate exam for property management is not required.

Option C (Ongoing Property Management Courses):Continuing education is required for license renewal, but specific property management courses are not mandatory.

Under49 Pa. Code § 35.285 (Disclosure of Real Estate Affiliations),a licensee selling their own property MUST disclose that they are a real estate licensee in all advertisements and communications.

The disclosure must be made in a clear and conspicuous mannerto inform potential buyers that the seller has professional real estate expertise.

This rule prevents deception and ensures fair dealings in real estate transactions.

Why the other answers are incorrect:

Option A (List Property with Firm):Licenseesare NOT required to list their own propertywith their firm.

Option C (Offer Commission to Brokers):There isno requirement to offer compensationto other brokers.

Option D (Have an Active License):A licensee can still sell their own property even if their license is inactive,but they must disclose their license status.

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 § 35.301 (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.

UnderThe Fair Housing Act (42 U.S.C. § 3604)andThe Americans with Disabilities Act (ADA) (42 U.S.C. § 12101),both service and emotional support animals must be allowed in rental properties, even in "no pets" buildings.

Service animals (such as guide dogs) and emotional support animals (ESA) are not considered "pets" under federal and state law, so landlords cannot prohibit them.

A landlord cannot charge an additional deposit or pet fee for service/support animals.

The tenant must provide documentation from a licensed medical provider if the disability is not obvious, but there is no requirement for a formal "federal registration" of service animals.

Why the other answers are incorrect:

Option B (Charge Additional Deposit):This is illegal under Fair Housing lawsbecause service animals are not "pets".

Option C (No Pets Rule):A no-pets policydoes not applyto service animals.

Option D (Federally Registered Service Animal):There is no federal registryfor service animals, so this is not a valid requirement.

In Pennsylvania,any person engaging in brokerage activities (such as negotiating sales or leases for compensation) must hold a real estate licenseunless specifically exempted.

49 Pa. Code § 35.201 (Definitions) & 63 P.S. § 455.304 (Exemptions)allow attorneys to practice real estate without a license ONLY IF the services are incidental to their legal practice.

If an attorney advertises as a real estate broker or regularly engages in real estate transactions beyond legal services, they must obtain a real estate license.

Why the other answers are incorrect:

Option B (Home Builder Selling New Houses):Buildersare exemptwhen selling their ownnewly constructed homes.

Option C (Banks Selling Foreclosures):Banks areexemptunder63 P.S. § 455.304 (a)(5)since they arenot in the business of selling real estate for profit.

Option D (Selling Five Unimproved Lots):Individuals selling their own propertydo not need a license, even for multiple lots.

Under49 Pa. Code § 35.283 (Compensation and Commission), asalesperson may only receive compensation through their employing broker.All commissions, bonuses, or referral fees must be paid by the broker and not directly to or from another licensee.

A real estate salesperson cannot accept direct payment from clients, buyers, or sellers.

Any bonus or commission earned must first go to the broker, who then distributes the appropriate amount to the salesperson.

Why the other answers are incorrect:

Option A (Direct Commission from Buyer & Seller):Salespersonscannot accept direct payments from clients; all payments must go through their broker.

Option B (Pay Referral Fee to Another Salesperson):Only brokers can pay referral fees.A salespersoncannotpay another licensee.

Option D (Split Commission Directly with Another Licensee):Commissionsmust be handled by the broker, not between individual agents.

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.

Before advertising, showing, or offering any property, areal estate licensee must obtain written authorization from the property owner. This is a legal requirement to ensure that the licensee has the right to represent the property.

49 Pa. Code § 35.331 (Written Agreements Generally)states that a real estate licenseemusthave a written agreement with the property ownerbefore performing any real estate services, including advertising and showing the property.

49 Pa. Code § 35.332 (Exclusive Listing Agreements)further clarifies that exclusive agreementsmust be in writingand signed by both the owner and broker.

Without the owner's written consent, a licensee could be subject to penalties or disciplinary action from the Pennsylvania Real Estate Commission.

Why the other answers are incorrect:

Option A (Preliminary Appraisal):Licensees are not required to conduct appraisals unless they are certified appraisers.

Option C (List of Clients):There is no requirement to provide a history of past transactions before listing or advertising a property.

Option D (Comparative Market Analysis - CMA):A CMA is useful for pricing but isnot required before advertising or showing a property.