Chapter 13

Question 1

RELRA

Answer 1

Real Estate Licensing and Registration Act

started in 1929

Question 2

State Real Estate Commission

Answer 2

• administers RELRA and supervises the activities of licensees in PA
• 11 members
• located in Harrisburgh

Question 3

Broker

Answer 3

an individual or entity who, for another and for a fee, commission, or other valuable consideration, performs one or more of the duties of a broker

Question 4

License Requirements of a broker

Answer 4

• 21
• high school graduate
• 16 credits of education
• salesperson for 3 years
• pass exam within 3 years of application
• submit written application

Question 5

Broker of Record

Answer 5

as the individual broker responsible for the real estate transactions of a partnership, association, or corporation licensed as a broker

Question 6

Associate Broker

Answer 6

an individual who has met the broker license requirements but who is employed by a broker of record

Question 7

Salesperson

Answer 7

an individual who is employed by a licensed broker of record to do one or more of the following:

• sell or offer to sell real estate
• buy of offer to buy real estate
• negotiate the purchase, sale, or exchange real estate

Question 8

Supervised property management activities

Answer 8

licensees are not permitted to independently negotiate the terms of a lease or execute a lease on behalf of the lessor

Question 9

Qualified Association

Answer 9

real estate licensees who work for the same broker are allowed to form qualified associations for the purpose of receiving compensation from their broker

Question 10

Cemetery Broker

Answer 10

an individual or entity who engages in the business in the capacity of a broker, exclusively within the limited field of business that applies to cemetery lots, plots, and a mausoleum spaces or openings

Question 11

Requirements for salesperson

Answer 11

• taking and passing exam
• 18 years old
• 4 credits of education
• application for license within 3 years of passing exam
• sworn statement by broker to supervise and train

Question 12

Requirements for cemetery broker

Answer 12

• take and pass exam
• 21 years old
• cemetery salesperson for 3 years
• 4 credits of education
• application within 3 years of passing exam

Question 13

Cemetery associate broker

Answer 13

an individual cemetery broker who is employed by another cemetery broker or broker

Question 14

Requirements for cemetery salesperson

Answer 14

• 18 years old

* broker who will supervise and train

Question 15

Cemetery salesperson

Answer 15

an individual who is employed by a broker or cemetery broker for the exclusive purpose of engaging in the specialized field of cemetery lot sales

Question 16

Builder-Owner salesperson

Answer 16

an individual who is a full time employee of a builder owner of single-family and multifamily dwellings and who performs the duties of a salesperson

Question 17

Requirements for builder-owner salesperson

Answer 17

• take and pass exam
• 18 years old
• submit license application within 3 years of passing exam
• statement of employment

Question 18

Rental listing referral agent

Answer 18

an individual or entity who owns or manages a business that collects rental information for the purpose of referring prospective tenants to rental units

Question 19

Requirements for rental listing referral agent

Answer 19

• take and pass exam
• 18 years old
• 4 credits of education
• application for license within 3 years of passing exam
• don’t need broker’s affidavit

Question 20

Campground membership salesperson

Answer 20

an individual who, either as an employee or independent contractor, sells campground memberships under the supervision of a broker

Question 21

Requirements of campground membership salesperson

Answer 21

• 18 years old
• 1 credit of education
• 30 days of on-site training
• broker to supervise and train

Question 22

Time-share salesperson

Answer 22

an individual who, either as an employee or independent contractor, sells time-shares under the supervision of a broker

Question 23

Requirements of time-share salesperson

Answer 23

• 18 years old
• 2 credits of education
• 30 days on site training
• broker to actively supervise

Question 24

Exclusions from licensure requirements

Answer 24

1. owners dealing with their own property
2. employees of utility company acting in ordinary course of utility related business
3. employees or corporation whose principal business involving energy or mineral resources
4. attorney-in-fact who acts under the power of attorney of an owner of real estate
5. a trustee in bankruptcy who is acting under the authority of a court order
6. elected officer of banking institution
7. employee of cemetery company who shows lots without compensation
8. cemetery company owner by a religious or fraternal organization
9. auctioneer performing duties at an auction
10. property manager as long as they don’t make decisions for the owner
11. elected officer of banking institution when acting on behalf of company performing appraisals or valuations

Question 25

How long is revocation?

Answer 25

5 years

Question 26

How long do licensees have to keep records after consummation/termination?

Answer 26

3 years

Question 27

How many hours of continuing education must licensees have?

Answer 27

14 hours every 2 years

Question 28

When does a license become inactive?

Answer 28

* when voluntarily relinquished | * when an individual fails to properly renew their license

Question 29

Real Estate Recovery Fund

Answer 29

provides a means for aggrieved persons to collect judgments awarded in civil courts *max $20k per claim, $100k per license

Question 30

What is the deadline for depositing funds in escrow

Answer 30

the end of the next business day