Download North Carolina Real Estate Law, Rules, and Legal Concepts: Questions and Answers and more Quizzes Commercial Law in PDF only on Docsity!
Post License 303--NC Law, Rules and Legal
Concepts questions and 100% correct answers
"Status of QB - CORRECT ANSWER=> - Does not have to be BIC. Business has to have both, but does
not have to be same person
- No qualifying experience
- QB not responsible for PBs"
"Features of a Limited Non-Resident Commercial RE Broker License - CORRECT ANSWER=> 1-Individual
brokers only 2-Active license in their state 3-No amount of real estate experience is required 4-Must have a cooperation & affiliation agreement with a NC Broker"
"Requirements of a firm license - CORRECT ANSWER=> 1-Renewed every year
2-Renewed between May 15 and June 30 3-Must have QB 4-Must have authority from NC Secretary of State to engage in business in NC"
"When must agents be listed as "dual Affiliation" on agency agreements - CORRECT ANSWER=> When
they are associated with two entities in a transaction and both entities must be listed as agents on all agency agreements."
"Definition of a subdivision - CORRECT ANSWER=> One partial split into two or more lots for sale or
development and the dedication of a new/existing road (does not have to be a public road)" "Collect commission after leaving a firm and going to another in the middle of a listing transaction? -
CORRECT ANSWER=> yes"
"Is a modular home on a permanent foundation treated as real property? - CORRECT ANSWER=> yes"
"Is a manufactured home placed on a lot real property? - CORRECT ANSWER=> no"
"Features of a commercial broker lien - CORRECT ANSWER=> 1-can only be filed by listing firm
2-Is not superior to a mechanics lien 3-for commercial properties in the transaction 4-only be filed after a contract is formed for the commercial transaction"
"What is a commercial percentage lease - CORRECT ANSWER=> Fixed base rent plus percentage of
tenants gross/net income"
"Activities that require a NC broker license - CORRECT ANSWER=> 1-lease or sell properties for others
for compensation 2-receive compensation for referrals"
"Exemptions from NC Real Estate License - CORRECT ANSWER=> 1-Person who acts under POA
2-Property owner 3-Attorney in the practice of law 4-Person acting under a court order (trustee)"
"When may a provisional broker lawfully engage in brokerage activities? - CORRECT ANSWER=> When
actively supervised by designated BIC"
"BIC requirements - CORRECT ANSWER=> 1-Non-Provisional Broker
2-2 years of experience (full-time brokerage) in the last 5 years. 3-Complete 12-hour BIC course within 120 days after or 1 year before declaring BIC status"
"In what situation may a firm not compensate an agent on their listing that closes - CORRECT
ANSWER=> License has expired and keep providing real estate services as an agent."
"For a property manager to be compensated for using a service of a company, they need what? -
CORRECT ANSWER=> written permission from property owners"
"Can an out-of-area broker be compensated? - CORRECT ANSWER=> Yes. Must verify they have an
active NC Brokers license."
"Can a full broker be affiliated with two different real estate firms at the same time? - CORRECT
ANSWER=> Yes. Need permission of the BIC of both firms."
"What does a "letter of inquiry" from the Real Estate Commission mean? - CORRECT ANSWER=>
Received a written complaint about you."
"What is a major difference between a Townhome and a Condominium? - CORRECT ANSWER=>
Townhome includes land beneath unit. Condo does not."
"Does a person selling time shares in North Carolina need a license? - CORRECT ANSWER=> Yes"
"In a vacation rental property, how much notice is necessary before starting eviction process? -
CORRECT ANSWER=> 4 hours"
"Can a NC married couple take title to property other an Tenants by the Entirety? - CORRECT
ANSWER=> Yes. Must request."
"Is a buyer's agent required to disclose to the seller (seller's agent) that their buyer cannot get financing?
- CORRECT ANSWER=> Yes. Material fact."
"Does a broker have any responsibility for having knowledge of a zoning ordinance or restrictive
covenants affecting a lot? - CORRECT ANSWER=> Yes."
"Who enforces the State Fair Housing Act in North Carolina? - CORRECT ANSWER=> NC Human
Relations Commission"
"Useable Area - CORRECT ANSWER=> floor plate - core"
"floor plate - CORRECT ANSWER=> area measured around the exterior walls"
"Core - CORRECT ANSWER=> area of building that includes building functions including lobbies,
elevators, stairs, restrooms, HVAC"
"Core Factor - CORRECT ANSWER=> Percentage of the overall building footage that the core covers"
“Absorption Study - CORRECT ANSWER=> How much space is used for the number of sales in a given
period of time"
"Terms associated with commercial office space - CORRECT ANSWER=> Floor plate, core area, usable
area and rentable area"
"Residential Rental Agreement Act responsibilities - CORRECT ANSWER=> 1-Property must be
habitable at the time of possession 2-Habitability cannot be waived by the lease agreement 3-tenant cannot withhold rent even if the property is not habitable 4-At the beginning of the tenancy, landlord to replace the batteries in the smoke detector and carbon monoxide detector"
"Broker-in-Charge duties - CORRECT ANSWER=> 1-Retain all ads used to market listings
2-Supervise PBs 3-Make sure all brokers get required CE and annually renew license 4-Keep trust account records"
"Permitted assistant duties - CORRECT ANSWER=> 1-Show rental units
2-Fill in blanks on rental agreement 3-Collect and deposit monies 4-Keep books and records"
"Forbidden assistant duties - CORRECT ANSWER=> 1-Show listings
2-Conduct open houses 3-Write ads for listings 4-Negotiate rent amounts or lease terms"
"What happens if a Provisional Broker does not fulfill their required 90 hours of post licensing in 3 years -
CORRECT ANSWER=> Status changes to inactive"
"Qualifying Broker title for a business license - CORRECT ANSWER=> Corporation--Officer
LLC--Manager Partnership--General/Full Partner"
