NC Real Estate Exam State Portion Flashcards

NC Real Estate Exam State Portion Flashcards Which of the following is INCORRECT in regard to

brokerage advertising?A: Provisional brokers cannot

advertise without broker-in-charge approval and consent.B:

Brokers-in-charge are not required to review and approve

all firm advertising.C: Real estate professionals cannot

create blind advertising.D: All real estate ads must include

the name of the firm or the BIC

B: Brokers-in-charge are not required to review and

approve all firm advertising.Brokers-in-Charge ARE required to supervise all firm advertising.An agent must discuss agency with a prospective buyer or seller at "first substantial contact." This is the moment the consumer begins talking about confidential information, motivation, personals wants, needs and desires or any terms and conditions they would accept regarding purchase of the home. All of the following information is required to be discussed/provided, EXCEPT:A: the agent

must discuss their compensationB: the agent must provide

the Working with Real Estate Agents brochure immediately if the meeting is face to face or within 3 calendar days if the

meeting is over the phone or by emailC: the agent must get

the consumer's signature on the brochure's panel before

proceeding forward in a transactionD: the agent must

disclose, discuss and decide they type of agency relationship the consumer wishes to have with the agent and the agent is to warn the consumer not to say anything the consumer would not want another party to know prior to hiring the agent

C: the agent must get the consumer's signature on the

brochure's panel before proceeding forward in a transactionIt is not required for the consumer to sign the brochure panel, but the agent must indicate that it was provided, date the panel and place it in the real estate transaction folder Under the NC Mechanic's Lien statute an owner of property must designate a mechanic's lien agent (MLA) under which

of the following situations?A: an owner who is making

improvements to public buildingsB: the improvements are

less than $30,0000C: the improvements are to a primary

residenceD :new roof is being placed on a vacation rental

unit that costs $42,000

D :new roof is being placed on a vacation rental unit that

costs $42,000An mechanic's lien agent is designate by the owner of the property to receive notice of the lien. This is not required for improvements to a primary residence or when the improvements are less than $30,000. Because these improvements are not to a primary residence and exceed $30,000 a lien agent must be designated under the statute A real estate broker is working with a buyer client. The broker wants to show a property that is listed with a competing real estate firm. When must the real estate broker, working with the buyer disclose their agency status

to the listing licensee?A: first substantial contact with the

firm when the buyer shows serious interest in the

propertyB: initial contact with the firm when the agent first

calls to show the propertyC: time of offer where the real

estate broker gives confirmation of agency on the offer to

purchase and contractD: time of contract where there is a

meeting of the minds and the brokers confirm their agency status in the contract

B: initial contact with the firm when the agent first calls to

show the property When a broker is delivering 3rd party checks such as the earnest money made payable to a closing attorney and the due diligence fee made payable to the seller. If the contract is accepted and the broker is still in possession of the funds, which of the following is CORRECT:A:the checks

must be delivered within 3 banking daysB: the broker must

always complete delivery of the checks once the offer is

acceptedC: the broker is acting as a courier and until the

checks have been delivered they must follow the directions

of the buyerD: the checks must first be deposited in the

firm's trust account and then disbursed to the appropriate parties out of the account

C: the broker is acting as a courier and until the checks

have been delivered they must follow the directions of the buyer.The broker when acting as a courier must follow the buyer's instructions until delivery of the checks has occurred

Which of the following 3rd party checks may a broker have

in their custody?A: the due diligence fee made payable to

the seller and an earnest money check made payable to a

3rd party escrow agent such as the closing attorneyB: any

fees or monies that the buyer wants delivered so long as

the broker is only acting as a courierC: only fees and

monies that are connected with the purchase of the property, such as the home inspection, home warranty and

other similar chargesD: only the due diligence fee made

payable to a seller

A: the due diligence fee made payable to the seller and an

earnest money check made payable to a 3rd party escrow agent such as the closing attorney.These are the only 3rd party checks that should ever be in the custody of a licensee All of the following statements are correct regarding commission rules, EXCEPT:A: should a broker or provisional broker change their name, address or broker

affiliation, they must notify the NCREC within 30 daysB: a

provisional broker may not be the Broker-in-Charge regardless of the years of experience they may have as a

broker in another stateC: a broker must include the firm or

BIC's name in all advertisingD: should a broker or

provisional broker be convicted of a DWI (driving while impaired) they must report this within 60 days of the conviction

A: should a broker or provisional broker change their name,

address or broker affiliation, they must notify the NCREC within 30 daysAddress changes by any licensee must be reported to the NCREC within 10 days.When a tenant dies who is the sole occupant of the lease the NC Residential Agreements Act provides that:A: This lease is automatically terminated upon the death of the tenant and the security deposit may be retained by the

landlord or property managerB: The owner or property

manager must pursue an eviction against the estate of the

deceasedC: The owner or property manager may file an

Affidavit for Possession and must hold the tenant's

personal property for 90 daysD: The landlord or property

manager may give a 90 day notice to terminate the lease and must account for and return the security deposit to the estate

C: The owner or property manager may file an Affidavit for

Possession and must hold the tenant's personal property for 90 days.This is a special provision in the NC Residential Rental Agreements Act that is different than national real estate principles A provisional broker obtains their NC real estate license on April 15th and joins a real estate firm. In order to remain active, the broker must pay the renewal fee to the NC Real Estate Commission on or before:A: June 30 of the current yearB: June 30 of the following yearC: June 10 of the

current yearD: December 31 of the current year

A: June 30 of the current year

A real estate broker is working with a buyer as a seller's subagent. All of the following are duties that the broker owes to the buyer, EXCEPT:A: confidentialityB: fairnessC:

honestyD: disclosure of material facts

A: confidentialityThe agent is working for the seller. The

licensee owes fiduciary duties to the seller including the duty of confidentiality. No such duty extends to customers which is the role of a buyer when the licensee is working as a subagent of the seller.