Real Estate RePA_Sales_S - PA Salesperson State Exam

Under49 Pa. Code § 35.241 (Supervision and Operation of Offices),a licensed real estate salesperson must be supervised by a broker or an associate broker designated by the broker.

A broker may assign an associate broker (who has passed the broker exam but does not own the brokerage) to oversee salespersons.

Salespersons cannot work independently; they must work under the direction of a licensed broker or an assigned associate broker.

Why the other answers are incorrect:

Option A (Team Leader):A team leader is not a formal supervisory position under Pennsylvania law unless they are an associate broker or broker.

Option B (Salesperson):A salesperson cannot supervise other salespersons.

Option D (Transaction Coordinator):A transaction coordinator handles paperwork but does not supervise licensees.

Under49 Pa. Code § 35.305 (Business Name on Advertisements),any advertisement placed by a real estate salesperson must include the name and phone number of their employing broker.

This ensures that the public knows which brokerage is responsible for the property listing and avoids misleading or unverified advertisements.

A salesperson cannot advertise properties without clearly identifying their broker to ensure compliance with advertising regulations.

Why the other answers are incorrect:

Option A (Municipality):While useful,this is not required in every ad.

Option B (Legal Description):A legal property descriptionis not requiredfor advertisements.

Option D (Name of the Principal):The seller's name does not need to be included in advertisements.

Allexclusive listing agreements in Pennsylvania MUST specify their duration in writing.

49 Pa. Code § 35.332 (Exclusive Listing Agreements)states thatall exclusive listings must have a definite start and end date.

Listings without an expiration date are considered illegaland unenforceable in Pennsylvania.

Why the other answers are incorrect:

Option A (Cancellation in 24 Hours):There is no legal requirement for a 24-hour cancellation clause.

Option B (Financing Arrangements):Financing provisionsare not a required part of a listing agreement.

Option C (Signed by Cooperating Broker):A cooperating broker’s signatureis not required. Only the listing broker and seller need to sign the agreement.

Under63 P.S. § 455.305 (Civil Penalty Provisions),the Pennsylvania Real Estate Commission has the authority to suspend or revoke a license and impose fines of up to $1,000 per violation.

The Commission can impose fines but does not have authority over criminal penalties such as imprisonment.

Suspension or revocation is a common penalty for severe violations, including fraud, misrepresentation, or mismanagement of client funds.

Why the other answers are incorrect:

Option A ($2,000 - $5,000 Fine):The fine limit for first offenses is typically $1,000 per violation.

Option C (20 Hours of Ethics Training):Training may be recommended but is not an official penalty imposed by the Commission.

Option D (90-Day Imprisonment):The Commission does not have authority to impose jail sentences.

ThePennsylvania Real Estate Commission (PREC)has the authority toregulate real estate licenses but does not certify real estate appraisers.

Real estate appraisers in Pennsylvania are regulated by the State Board of Certified Real Estate Appraisers, not the Real Estate Commission.

The Commission’s powers include:

Suspending or revoking licensesfor violations.

Imposing finesfor disciplinary actions.

Auditing escrow accountsto ensure compliance with regulations.

Why the other answers are incorrect:

Option A (Suspend or Revoke Licenses):TheCommission has the authority to discipline licensees.

Option B (Impose Fines):TheCommission can fine violators for misconduct.

Option C (Review Escrow Accounts):TheCommission can audit escrow accounts to protect client funds.