WorksheetsFlorida Real Estate Review Unit 4 and 5
Total questions: 30
Worksheet time: 8hrs 30mins
The brokerage relationship disclosure requirement in Chapter 475, F.S., apply to the
sale of a 20 unit apartment complex
sale of a condominium unit.
residential lease agreement in a duplex.
sale of a bookstore business and real property
Which statement BEST describes the duty of loyalty in a single agent relationship
The broker must act in the best interest of the principal
The broker must disclose all latent defects to prospective buyers.
The broker is held to a standard of care that requires knowledge concerning the land and physical characteristics of the property.
The broker must be able to account for all funds received on behalf of the principal.
A real estate broker who works in a limited capacity for both the buyer and the seller in the same transaction is
a dual agent
a transaction broker
bound to fiduciary duties to both the buyer and the seller
a single agent of both the buyer and the seller
A licensee of ABC Realty must give the no brokerage relationship notice to
A buyer who has a single agent relationship with XYZ Realty
Every prospective buyer and prospective seller in all cases.
A for-sale-by-owner (FSBO) seller before showing the FSBO home to a buyer customer of ABC Realty.
>very prospective buyer who walks through an open house listed by ABC Realty.
A transaction broker has all the duties listed following EXCEPT
limited confidentiality.
to use skill, care, and diligence.
to disclose all known facts that materially affect the value of residential real property and are not readily observable to the buyer.
obedience.
In the common public relationship that exists in a typical real estate transaction, buyers and sellers are said to be dealing
in a fiduciary capacity
at arm's length with each other
in an agency status with each other
under the doctrine of ethical confidentiality.
If a principal fives the broker instructions that will result in loss or harm to the principal, the broker
is justified in not carrying out such instructions.
should carry out such instructions without question.
should carry out only that portion of the instructions that will not cause loss or harm to the principal.
should inform the principal of possible, harm inherent in the instructions, and then either do as instructed or withdraw from the relationship.
A broker's obligations to consumers with whom the brokerage firm has no brokerage relationship include the duty of
full disclosure.
accounting for all funds.
loyalty.
limited confidentiality.
Designated sales associates are BEST described as
single agents for the buyer and the seller in nonresidential transactions where the buyer and the seller meet certain asset thresholds
the sales associates designated to represent the buyer and the seller in a transaction broker relationship.
undisclosed dual agents.
the sales associates in charge of the required brokerage disclosure forms for the brokerage office.
Which relationship is a general agency relationship?
Brokerage company employed under a listing contract.
Relationship between the employing broker and a broker associate.
Sales associate working with a prospective buyer.
Relationship between a sales associate and the seller who has listed property with the brokerage.
Which action will terminate a single agent relationship with the principal who has listed property with the brokerage
Death of a customer interested in the listing
Buyer's offer not accepted by the seller
Decision of sales associate who acquired the listing for the brokerage to leave the company
Destruction of the listed property by a large sinkhole.
A real estate broker (and the broker's associates) are obligated to which duty in all three brokerage relationships?
loyalty
Full disclosure
Deal honestly and fairly
Perform additional duties that are mutually agreed to.
John Anderson is a licensed real estate sales associate. Under which name may he register and be licensed?
Complete Real Estate Sales Services
John Anderson Brokerage
John Anderson, LLC
John Anderson and Partners
A sales associate receive a binder deposit from a buyer on Monday. By the end of the business on what day of the week must the broker deposit the funds in the escrow account?
Tuesday
Wednesday
Thursday
Friday
Real estate sales associates who receive checks payable to them as deposits on the purchase of real property must
endorse the checks, deposit them in their employers' accounts, and maintain good records.
endorse the checks and immediately turn them over to their employers.
deposits the checks immediately in their own accounts and notify their employers of the transactions.
deposit the checks immediately and give their employers the equivalent amounts in the form of checks or cash.
Which statement is FALSE regarding escrow account?
The escrow account may be either interest-bearing or non-interest-beearing.
A broker may choose to have an attorney or a Florida title company maintain the escrow account.
It is illegal for the broker to keep any earned interest even if the buyer and the seller give written permission.
A broker must get written authorization from the buyer and the seller before placing escrow funds in an interest-bearing escrow account.
A dispute arises between the buyer and the seller as to which one is entitled to escrowed property. The broker should first
mediate the matter.
arbitrate the matter with the consent of both parties.
notify the FREC in writing, unless exempted from the notice requirements.
submit the matter to a court of law for adjudication.
When a deposit is placed with a title company, what information regarding the title company must be included on the purchase and sale agreement?
Telephone number
Name of the title company
Address of the title company
All of these
A sales associate employs an unlicensed personal assistant to help with real estate property management. The unlicensed assistant may NOT
collect rent payment from tenants
deposit rent payments from tenants
place For Rent signs on properties
show a rental property to a potential tenant.
Which statement is TRUE regarding a lien filed by broker under the Commercial Real Estate Sales Commission Lien Act?
The lien applies to commision only and does not include other fees the owner agrees
The lien is filed against the real property covered in the brokerage agreement.
The lien takes priority as of the date of the brokerage agreement.
The broker must disclose to the owner at the time of signing, or before the owner signs the brokerage agreement, that Chapter 475, Part III, creates lien rights for commission earned by the broker.
One difference between a general partnership and limited partnership is that
only a general partnership may be registered as a real estate broker.
limited partners must take a cash or property investment.
while both have general partners, there must be two or more general partners in a limited partnership.
limited partners must be licensed as either active or inactive sales associated
Which business entity may be registered a real estate broker?
Corporation sole
Cooperative association
Limited partnership
Business trust.
A broker is preparing to open Sunnyside Realty as a sole proprietorship and is placing in an order to have an entrance sign made. Which wording does NOT need to be included on the sign?
Sunnyside Realty
The broker's legal name
License real estate broker
1000 Sunset Blvd
A licensed real estate broker and an attorney who specializes in contract law form a joint venture for the purpose of locating and selling to investors raw land that is suitable for commercial development. Which statement is TRUE regarding this arrangement?
The attorney is exempt from the requirement to hold a broker's license because she is attorney.
They have formed an illegal ostensible partnership.
Because they are performing real estate services for compensation, both must be licensed real estate brokers.
A joint venture is not required to register with the DBPR; therefore, there is no need for both parties to hold real estate licenses.
A broker receives conflicting demands concerning a roof inspection report. Both the buyer and the seller claim the earnest money deposit. The broker must
provide written notification to the FREC within 10 business days.
follow the written instructions of the broker's buyer or seller
institute one of the statutory settlement procedures within 30 business days from the time the broker received conflicting demands.
request an escrow disbursement order from the DBPR.
The sales commission rates applicable to the various types of property sold in Florida are determined by
FREC rules and regulations
agreement between each broker and buyer or seller
the local board of REALTORS
agreement between each seller and buyer.
A real estate brokerage has one active broker who resigns unexpectedly due to a cancer diagnosis. Which statement regarding the vacancy of the only active broker is FALSE?
The vacancy must be filled within 14 calendar days
A temporary broker may be registered with the DBPR for up to 90 days without the need to comply with the Secretary of State registration requirements.
New brokerage business may not be performed by a sales associate registered with the brokerage until a new active or temporary broker is registered with the DBPR.
Failure to appoint another active or temporary broker within the required deadline will cause the automatic cancellation of the brokerage entity's registration.
In Florida, listings obtained and any commissions paid by the buyer or the seller are
legally the sales associate's property
jointly owned by the sales associate and the sales associate's employer.
legally classified as the property of the employing property owner.
legally the property of the sales associate's employer.
Which statement is FALSE concerning the payment of an unearned fee or kickback?
A real estate license may be paid a fee for referring buyers to a title company, provided the buyer is informed in advance of the facts concerning the fee.
A real estate license may share part of the commission with the buyer or the seller in a real estate transaction.
A real estate licensee must also be licensed as a mortgage loan originator to be legally paid a fee for referring buyers to a mortgage lender.
The payment of a kickback must not violate RESPA.
Two brokers from different brokerage agree to work with one another to market a prestigious marina in Naples, Florida. One broker is particularly knowledgeable regarding marinas and the other is an expert on the Naples real estate market, so they decide to combine their expertise on this particular listing. This business arrangement is called
an ostensible partnership
a general partnership
a joint venture
a limited partnership.
