__________________________ Flashcards
(117 cards)
1
Q
Specializing in a particular neighborhood or type of property that a licensee focuses on is called ______________
A
FARMING
(farm area or target market)
2
Q
A Real Estate Professional must be qualified in ____________ ____________, _______________ and _________________.
A
Property Transfer, Valuation and Marketing
3
Q
3 Types of Construction and Development (Building)
A
CUSTOM - SPECULATIVE - TRACT
4
Q
What is Tract Building?
A
When a developer buys large tracts of land and builds subdivisions that generally offer a choice of several models
5
Q
Planning & Zoning , Building Moratoriums, Property Taxes - Building & Health Codes are overseen by the _______________
A
Local Level Government
6
Q
A ________________ is a legal temporary delay for a building project imposed by the local government, in such case, building permits will not be issued until certain environmental and/or infrastructure conditions have been met.
A
Moratorium
7
Q
License Category: ______________ is the initial RE license
A
Sales Associate
8
Q
Broker License Qualifications
A
Active Licensed Associate for 2 years within the past 5 years with a broker (not with owner developer) - taken 72 hr pre-license course with a 70% passing grade - passed the state exam with at least 75% - 60 hour post prior to 1st renewal
9
Q
Someone who has their broker license but choses to work for another broker allowing themselves to work only at the capacity of a sales associate
A
Broker Associate
10
Q
Qualifications to become Real Estate Licensed (4)
A
Must have a SSN - 18 Y or older - HS or equivalent - Must be honest, truthful and have trustworthy reputation for fair dealing (do not: have to be a FL resident or US Citizen- ex. Mutual Recognition)
11
Q
When answering Background Questions must you disclose all FELONIES & MISDEMEANORS including DUI, regardless of adjudication ?
A
YES
12
Q
If the DBPR denies your application what happens
A
they must notify you in writing with reason in writing, also stating that the applicant has 21 days to request formal hearing that will be held before an administrative law judge
13
Q
An associate can be employed under ________ Broker(s) in Florida at a time.
A
One
14
Q
Who is the ONLY one that can pay the Associate?
A
their Employing Broker (one lic, one broker)
15
Q
Are Brokers licensed and registered?
A
Yes
16
Q
A(n)__________ _____________________ is an individual who buys, owns and develops real estate.
A
Owner-Developer
17
Q
Can licensees perform real estate services for compensation?
A
Yes
18
Q
When active under an Owner Developer, can an Associate perform services outside of that Owner Developer?
A
No
19
Q
Must Owner-Developers be registered with the DBPR and licensed?
A
No; they must be registered, not licensed
20
Q
What must a licensee complete prior to first renewal?
A
a 45hr post-licensing course
21
Q
There is NO grace period, so what happens if the licensee fails to complete 45hr post?
A
License becomes null and void. They must repeat the 63hr Sales Associate Course, then a new license number is assigned
22
Q
If the Continuing Education (CE) is not completed by the renewal date then the license status changes to___________. It can remain in this status for __ years before becoming ________.
A
Involuntary Inactive
2 years
Null and Void
23
Q
Continuing Education (CE) must be taken in each license cycle or the license will become ____________ _________________.
A
Involuntary Inactive
24
Q
Another name for “power of attorney”
A
Attorney-in-fact
25
Must you have a license to be a salaried employee of an owner-developer, registered broker, or onsite rental office doing leasing?
No, only if receiving commissions.
26
Is the DBPR responsible for licensing and regulating of the real estate profession?
Yes
27
The additional duties of the ___________ are to issue cease and desist orders, subpoenas, administer oaths, depositions and adopt rules.
DBPR
SEEK court injunction - DBPR cannot ISSUE injunction, must go through courts
28
Powers of the Commission: Under the Executive Powers of the FREC the chair person may act ________.
alone
29
Who has the authority to reprimand, administrative fines up to $5,000 per offense, probation, license suspension up to 10 years, revocation(permanent)?
The Commission
30
Subsequent renewals are every ____ years
2
31
Failure to renew before expiration date, the license automatically reverts to _____________ __________.
Involuntary Inactive
32
How long can a license status remain in involuntary inactive for?
UP to 2 years
33
When a license is in involuntary inactive status can the licensee practice real estate?
No
34
Is a Sales Associate effected if the employing Brokers license is suspended, revoked, void or ineffective?
Yes, all licenses employed by that Broker automatically become inactive
35
If a Brokerage Corporation, Partnership, etc. has no active Broker, what happens to all licensees under them they automatically become ___________.
Inactive
36
If a licensee returns their license to the DBPR the license is ____________.
Cancelled
37
An Owner-Developer has different subdivisions registered separately under different names, the associate to the Owner-Developer obtaining a ______________ ________________ allows the licensee to sell for any of the subdivisions.
Group License
38
Who does a Group License apply to?
Sales & Broker Associates
39
Who does a Multiple License apply to?
Brokers
40
A ________ ______________ is applied for when a Broker owns more than one unrelated brokerage, as it is necessary for legitimate business reasons.
Multiple License
41
Agents work for client/employers called ______________.
Principles
42
A Special Agent performs a _______ ___________.
single act
43
Acting on a continuing basis (limited authority) for a specific trade or business is a ____________ ______________.
General Agent (in real estate a licensee is a general agent of their broker)
44
An Agent acting on behalf of another agent is a ______________.
Subagent (licensee automatically becomes a subagent of the brokers principals)
45
Arms Length Transaction (relationship)
the opposite fiduciary relationship, each party looking out for own interests
46
In Dual Agency the Broker represents both parties as a ___________.
Fiduciary
47
Fiduciary relationship
like your attorney, looking out for your best interest
48
__________ ______________ has full representation, its a fiduciary relationship, principal can only rep buyer or seller and must present ALL offers
Single Agent
49
__________________ _____________ has limited representation, must present all offers, customer can represent buyer and seller
Transaction Broker
50
In a _____ ____________ _________________ there is no confidentiality, no representation, and no offers are required to be presented
No Brokerage Relationship
51
A __________ is the party (buyer/seller) with whom the licensee has entered into a single agent relationship
Principle
52
A _____________ ________________ must be disclosed verbally and provides limited representation to a buyer, a seller, or both in a real estate transaction and must present all offers and counteroffers but does not represent as a fiduciary.
transaction broker
53
A ____ _____________ relationship has no representation, no confidentiality, and is not required to present all offers
No brokerage
54
Must a transaction broker present an offer if there is no binder deposit?
Yes, binder deposit or not you must present all offers, written and oral
55
A Broker must present all offers in a timely manner unless directed otherwise in ______________.
writing
56
In a single agent relationship, the employer/client is called the _______________ and the broker is the ______________. The agent then owes the employer/client ________________ duties. As it must be disclosed in writing, the principal authorized the broker to perform certain services.
principal
agent
fiduciary
57
Under single agent relationship, can you represent both the buyer and selling in the same transaction?
No, that is dual agency and that is illegal
Cannot represent both sides with fiduciary duties as
58
FL is a " ____________ __ ________________" state, meaning a broker finds a buyer who is ready, willing and meets the sellers requirements, then the buyer makes an offer agreeing to the terms of the listing contract. From this, the broker is owed commission whether the sale is consummated (closed) or not.
"find a purchaser"
59
In reference to referral fees and the Real Estate Settlement Procedures Act (RESPA), can a licensee from another state or country refer a client and receive compensation?
Yes, as long as they don't actually participate in the transaction in any way
60
Is a disclosure of a referral fee required?
No
61
Compensation includes, gifts, expenses, _______________________.
anything of value
62
In reference to referral fees, can a licensee share compensation to the parties to the transaction with full disclosure to all interested parties?
Yes
63
FL Brokers may share a portion of their compensation with sellers and/or buyers with full disclosure to all interested parties. T/F
True
64
FL Brokers may not share compensation with ___________ individuals
unlicensed
65
A ______________ ____________ must have an enclosed room, fixed and stationary construction; no wheels.
Brokerage Office
66
Brokerage Offices must maintain files for at least ____________.
5 years
67
If zoning permits, can a Brokerage office be a home office?
Yes
68
Office Registration: ___________ office is the main office where business is conducted.
Principle
69
Office Registration: ____________ office; are additional offices where business is conducted
Branch
70
Is registration transferrable on a Principle or Branch office?
Principle
71
A Principle Office can be moved by filing a ________________________ form.
Change of address
72
Brokers may have additional offices of the same firm; these are known as ___________ offices.
Branch
73
Branch offices allow the same firm to operate from multiple locations: is this the same as having multiple licenses.
No
74
Temporary shelters need not be registered as branch offices. T/F
True
75
If a branch office is closed but later is reopened at the same location, a new registration must be completed but _______ would be required.
no fee
76
Branch office registrations are not transferrable--when a branch office is moved, the broker must complete a new registration for the new location. T/F
True
77
All advertising, regardless of media being used, must be done in the name of _________________________________________________.
the brokerage entity for which you work
78
For personal transactions, must you disclose your licensee status prior to signing a contract in serious negotiations?
Yes
79
ALL real estate advertising must include the name of the ________________________.
Employing Firm
80
If an associate's name appears in the advertisement it must include _______________________ as registered with FREC.
associates last name
81
_______________ Ad: defined as any ad that does not contain the name of the firm.
Blind
82
Must licensees disclose their license status to members of the public when entering serious negotiations on personal real estate transactions?
Yes
83
Are licensees are required to disclose license status in advertising personally-owned real estate.
No
84
Postdated checks are considered to be ___________________ __________ and can be accepted as earnest money ONLY with the seller's permission.
promissory notes
85
Associates must deliver any deposit to their Broker (immediately); before the ____________________.
end of the next business day
86
Typically, the deposit is intended to become a ______________ ____________of the purchase price at closing.
partial payment
87
A broker is not responsible for the payment of any check or draft accepted as a deposit on real property. T/F
True
88
A broker who accepts a personal check as an earnest money deposit
would not be held responsible if the check is returned due to insufficient funds, as long as the broker deposits the escrowed funds ________________.
immediately
89
Only the ___________ may hold post-dated checks.
Broker
90
Post-dated checks require ___________________________.
Seller's approval
91
___________ Account must be located in a Florida...
* Commercial bank
* Savings Association
* Credit union
* Title company with trust powers
Escrow
92
Broker is not allowed to ________________ personal funds with escrow funds.
commingle
93
Brokers may have up to $________ of personal or business funds in their sales escrow account (to keep the account open and offset bank charges). For property management escrow accounts, brokers are allowed to keep up to $_________ of personal or business funds and it is not considered to be commingling.
$1,000
$5,000
94
Broker must deposit escrow funds by _________________ after original receipt.
end of 3rd business day
95
_____________ cannot be held in a stock or bond brokerage house.
Escrow
96
When both parties to a failing transaction each request the deposit the result is called a(n) ___________________. If the transaction fails and no one claims the deposit is called _____________________. In each case, the first step the broker holding the escrow must take is _______________ WITHIN ___________________ from the date of the last demand.
Escrow Dispute
Good Faith Doubt
Notify the FREC
15 Business Days
97
A __________ is a suit in court (court action) can be used to resolve the escrow dispute
Litigation
98
The broker would file a ___________________________ if they do not claim any rights to the deposit under dispute. The escrowed funds would be turned over to the registry of the court, pending a ________________
Bill of Interpleader
settlement
99
During an escrow dispute the parties may choose _________________ (have the court settle the dispute). The broker may file for a __________________ and turn the escrowed funds over to the court to be disbursed without making a claim for the brokerage.
Litigation
Bill of Interpleader
100
Licensee who does not receive compensation due, they can sue ______________ only.
their employing broker
101
If there is a change of brokerage or personal mailing address licensee must notify the ________ within __________.
FREC
10 days
102
If there is a change of residency (outside of FL) licensee must notify ________ within _____________.
FREC
60 days
103
_________________________ buy and sell for their own account. 475 F.S. does not address this activity.
Real Estate Companies
104
_______________________ Companies do both, buy and sell for their own account, and broker transaction between Buyers and Sellers. 475 F.S. requires real estate companies to be registered with the DBPR to do brokerage activities.
Real Estate Brokerage
105
When a sales contract is subject to financing that cannot be obtained, the broker has _______________ to notify___________. The contract sets the agreement and there would be no dispute over the escrow because of the __________________.
no obligation
the FREC
financing contingency
106
Business Formations:
* Corporations
* Limited Partnerships
* General Partnerships
* Sole Proprietorships
* Limited Liability Companies
* Limited Liability Partnership
Each of these entities could be formed as real estate companies and then registered with the ________ to become real estate _____________ companies.
DBPR
Brokerage
107
A _____________________ owns, buys and sells its own real estate. A ______________________ may own, buy and sell its own real estate and also provide real estate services to the public.
real estate corporation
real estate brokerage corporation
108
Rules Pertaining to Brokerage Entities:
Associates may be in control of brokerage entities. (T/F)
False, associates may NOT be in control of brokerage entities.
109
Rules Pertaining to Brokerage Entities:
Those people in control of brokerage entities must be ___________, active or inactive, and unlicensed, ___________ persons.
brokers
registered
110
Rules Pertaining to Brokerage Entities:
Each brokerage entity must have at least _________________ in control.
one active broker
111
Rules Pertaining to Brokerage Entities:
Anyone in control who wishes to be active in sales must be a(n) _________________.
active broker
112
Rules Pertaining to Brokerage Entities:
Any business that uses the word "company" in its name is legally formed as a ______________________.
corporation for profit
113
Can a Cooperative Association or Unincorporated Association register under the DBPR?
No
114
A sole proprietorship brokerage and a limited partnership brokerage _______ register under the DBPR.
May
115
A business trust (ex. syndicate), cooperative association or corporation sole (ex. church) (may/may not) register to broker real estate.
not
116
A joint venture is a temporary business venture that (can/cannot) register as a real estate brokerage.
cannot
117
A ____________ contract can no longer be enforced.
Void
