Download the Latest Maryland-Real-Estate-Salesperson Dumps - 2026 Maryland-Real-Estate-Salesperson Exam Questions
Latest Real Estate Maryland-Real-Estate-Salesperson Certification Practice Test Questions
NEW QUESTION # 26
Renae showed a property to Shannon, a buyer client, then to another client later that week. The second client made an offer and the seller accepted. The next day, Shannon called Renae to make an offer on the property and was angry that Renae showed it to another buyer. Did Shannon have a case?
- A. No. Agency law only requires that the first buyer be given one day to make an offer before showing a property to another client.
- B. Yes. Renae should've asked Shannon if she wanted to make an offer before showing the property to another client.
- C. No. Renae hasn't violated agency law by showing the same property to two separate buyer clients.
- D. Yes. Agency law prohibits Renae from showing the same property to two buyer clients.
Answer: C
Explanation:
Maryland agency law requires fiduciary duties to each client-loyalty, confidentiality, disclosure, obedience, reasonable care-but it does not prohibit a licensee from showing the same property to multiple buyer clients. A licensee must avoid disclosing one client's confidential information (e.g., willingness to pay more) and provide fair, diligent service to each, but there is no exclusivity right entitling a buyer to first refusal unless contractually agreed. Therefore, no violation occurred when Renae showed the property to more than one client.
References: Maryland 60-Hour Principles and Practices of Real Estate - Maryland Agency Law: fiduciary duties to buyer clients; permissibility of working with multiple buyers on the same property; confidentiality and fair dealing obligations.
NEW QUESTION # 27
What items go into the seller's credit column and the buyer's debit column when calculating prorations?
- A. Home inspection fees
- B. Unpaid property taxes
- C. The buyer's loan amount
- D. Prepaid property taxes
Answer: D
Explanation:
In settlement prorations, prepaid items (e.g., prepaid property taxes or HOA dues) are credited to the seller and debited to the buyer, because the seller has paid for a period that extends beyond the closing date
, and the buyer reimburses the seller for the buyer's post-closing share. Conversely, accrued but unpaid items (e.g., the current year's unpaid property taxes) are debited to the seller and credited to the buyer.
The Maryland course teaches these conventions in the Closing and Math sections.
References:
Maryland 60-Hour Principles & Practices Course - Closing the Real Estate Transaction (settlement statements, prorations) and Math for Real Estate modules.
NEW QUESTION # 28
What regulation or regulatory authority identifies sites that have hazardous substances, and requires the responsible parties to clean them up?
- A. The National Environmental Policy Act
- B. Comprehensive Environmental Response, Compensation, and Liability Act
- C. Department of Housing and Urban Development
- D. State Department of Environmental Quality
Answer: B
Explanation:
The Comprehensive Environmental Response, Compensation, and Liability Act (CERCLA), enacted in 1980 and commonly known as "Superfund," authorizes the Environmental Protection Agency (EPA) to identify and clean up sites contaminated with hazardous substances.
CERCLA also establishes liability for potentially responsible parties (PRPs)-including current and past owners, operators, and those who arranged for disposal of hazardous substances.
Maryland's pre-licensing course covers CERCLA as a federal regulation that affects real estate transactions involving contaminated properties, as buyers and sellers must be aware of any cleanup responsibilities before transfer.
Reference:
Maryland 60-Hour Principles and Practices of Real Estate Pre-Licensing Course - "Environmental Issues and Disclosures" Module Comprehensive Environmental Response, Compensation, and Liability Act of 1980 (42 U.S.C. 9601 et seq.).
NEW QUESTION # 29
Shelly buys Mark's house, which is still in an option period with Monique. Monique decides to exercise her option after Shelly moves in. What will happen?
- A. Shelly and Mark must form a new option agreement.
- B. Mark will have to refund Monique's option fee.
- C. Shelly will have to sell the house to Monique.
- D. Nothing will happen, as long as Shelly has a fully executed sales contract with Mark.
Answer: C
Explanation:
Comprehensive and Detailed Explanation From Exact Extract of Maryland 60-Hour Principles and Practices of Real Estate Pre-Licensing Course:
An option contract gives the optionee (Monique) the exclusive right to purchase a property within a specified period and under specific terms, but not the obligation to do so.
When properly executed and supported by consideration (the option fee), the option is a binding contract on the property owner (Mark) and any subsequent owners who take title with constructive notice of the existing option.
Therefore, when Monique exercises her valid option within the option period, Shelly must honor it-the property must be sold to Monique under the agreed terms.
Reference:
Maryland 60-Hour Principles and Practices of Real Estate Pre-Licensing Course - "Real Estate Contracts" Module Maryland Contract Law Principles - Option Contracts and Specific Performance.
NEW QUESTION # 30
Ralph leases 1,000 square feet in a large warehouse. The lease agreement requires him to pay portions of the landlord's taxes, insurance, and maintenance, in addition to the amount he pays to lease the space. What type of lease does Ralph have?
- A. Gross lease
- B. Triple net lease
- C. Percentage lease
- D. Operating stop lease
Answer: B
Explanation:
Comprehensive and Detailed
A triple-net (NNN) lease requires the tenant to pay a proportionate share of the landlord's property taxes, insurance, and maintenance costs, in addition to base rent.
This type of lease is common in commercial and industrial properties like warehouses.
The Maryland course covers lease types in property management, emphasizing the distinctions between gross, net, and percentage leases.
Reference:
Maryland 60-Hour Principles and Practices of Real Estate Pre-Licensing Course - "Leases and Property Management" Module Typical Commercial Lease Structures - NNN Lease Definitions.
NEW QUESTION # 31
Jorge is a dual agent in a single-license dual agency situation. He owes his clients all of the following fiduciary duties EXCEPT.
- A. honesty
- B. undivided loyalty
- C. disclosure
- D. reasonable skill and care
Answer: B
Explanation:
In dual agency (and Maryland's intra-company/dual agency framework), an agent cannot provide undivided loyalty to both clients in the same transaction. Maryland requires written, informed consent and limits the fiduciary duty of loyalty because representing opposing interests precludes undivided advocacy.
The agent still owes honesty, disclosure of material facts, reasonable skill and care, and confidentiality (within statutory limits), but undivided loyalty is expressly curtailed in dual agency.
References: Maryland 60-Hour Course: "Maryland Agency Law" (dual agency and designated/intra- company agency; required consents; modified duties); Business Occupations and Professions Article, Title 17 (agency disclosures and limitations).
NEW QUESTION # 32
What is one drawback of sub-agency from a listing broker's standpoint?
- A. Both parties must agree to dual agency.
- B. There aren't any drawbacks.
- C. The listing broker will have to pay two agents' commissions.
- D. The listing broker and listing agent can be liable for the sub-agent's actions.
Answer: D
Explanation:
Comprehensive and Detailed Explanation From Exact Extract of Maryland 60-Hour Principles and Practices of Real Estate Pre-Licensing Course:
Under sub-agency, a cooperating broker or licensee assists the listing broker in selling the property and represents the seller as a sub-agent of the listing broker.
A key drawback is that the listing broker is legally responsible for the sub-agent's actions because the sub-agent owes fiduciary duties to the same principal (the seller).
Any misrepresentation, negligence, or violation by the sub-agent can expose the listing broker to disciplinary action or civil liability.
This is why many Maryland brokers now prefer buyer agency over sub-agency.
Reference (Maryland Source):
- Maryland 60-Hour Principles and Practices Course, Agency Relationships and Sub-Agency section.
- Business Occupations and Professions Article §17-534.
NEW QUESTION # 33
In what type of agency does a licensee have limited authority to act on behalf of a client buying or selling a property?
- A. A general agent
- B. A designated agent
- C. A universal agent
- D. A special agent
Answer: D
Explanation:
A special agent (also called a limited agent) is authorized to perform a single, specific act or transaction- such as assisting in the purchase or sale of a property.
Real estate brokers and salespersons generally act as special agents, with limited authority defined in the brokerage agreement.
They may not bind their clients to contracts without express permission.
This principle appears in the Law of Agency module and is contrasted with general agents (brokers' affiliated licensees) and universal agents (power-of-attorney representatives).
Reference (Maryland Source):
- Maryland 60-Hour Principles and Practices Course, Law of Agency section.
- Business Occupations and Professions Article 17-530 - 17-534.
NEW QUESTION # 34
Earnest money is sometimes referred to as a "down payment on the ______."
- A. Transfer tax
- B. Mortgage insurance
- C. Down payment
- D. Seller's proceeds
Answer: C
Explanation:
Earnest money (good-faith deposit) demonstrates buyer commitment and is typically credited to the buyer at closing, most commonly applied toward the buyer's down payment or closing costs. Hence some materials describe it informally as a "down payment on the down payment." Handling, escrow, and timely deposit of earnest money are covered under Maryland brokerage procedures.
References: Maryland 60-Hour Course - Real Estate Brokerage Operations (trust/escrow handling, timing, disposition of deposits); Closing the Transaction (application of deposits at settlement).
NEW QUESTION # 35
Why are legal descriptions required in real estate contracts?
- A. To calculate the exact property taxes owed by the new owner
- B. To guarantee the buyer is receiving the exact property they believe they are purchasing
- C. To ensure the piece of property can be clearly identified from all other properties
- D. To establish the legal boundaries for future construction on the property
Answer: C
Explanation:
A legal description uniquely identifies a parcel of real estate so it can be distinguished from every other property.
In Maryland, contracts and deeds must contain a valid legal description, such as:
Metes and bounds,
Lot and block, or
Rectangular survey (government survey).This ensures the transfer is legally enforceable and leaves no ambiguity about what property is being conveyed.Without a legal description, a real estate contract or deed may be deemed invalid or unenforceable in court.
Reference:
Maryland 60-Hour Principles and Practices of Real Estate Pre-Licensing Course - "Real Property and the Law" Module Maryland Real Property Article 3-101 - Formal Requisites of Instruments of Conveyance.
NEW QUESTION # 36
Which term is used to define a search of public records going back at least 60 years to establish a property's title history?
- A. Title report
- B. Correction deed
- C. Title examination
- D. Limited search
Answer: C
Explanation:
A title examination (title search) is a review of public records to establish the chain of title, identify liens, encumbrances, or defects, and confirm the seller's ability to convey marketable title-customarily extending
60 years or more. A title report is the product issued after the examination; a correction deed cures a specific deed error; a limited search covers a shorter period or scope.
References: Maryland 60-Hour Principles & Practices Course - Transfer of Title and Closing the Real Estate Transaction (chain of title, title search/examination vs. title report/commitment).
NEW QUESTION # 37
Sandra enters a contract to sell her home to Paul. Under the statute of frauds, the written contract must name the contracting parties, identify the subject matter of the contract, and ________.
- A. Achieve a result that is fair to all parties
- B. Be signed by two or more attorneys
- C. Present the essential terms and conditions of the contract
- D. Be handwritten
Answer: C
Explanation:
Comprehensive and Detailed
The Statute of Frauds requires that certain contracts-including those for the sale or transfer of real property-be in writing and include:
The names of the parties,
Identification of the property, and
The essential terms and conditions (such as price and contingencies).This ensures the agreement is legally enforceable in court.
Reference:
Maryland 60-Hour Principles and Practices of Real Estate Pre-Licensing Course - "Real Estate Contracts" Module Maryland Courts and Judicial Proceedings Article §5-901 - Statute of Frauds (Real Property).
NEW QUESTION # 38
Which type of antitrust violation involves two or more businesses conspiring against another business?
- A. Market allocation
- B. Group boycotting
- C. Tie-in arrangement
- D. Price fixing
Answer: B
Explanation:
Comprehensive and Detailed Explanation From Exact Extract of Maryland 60-Hour Principles and Practices of Real Estate Pre-Licensing Course:
A group boycott occurs when two or more competitors conspire to refuse to deal with another firm or individual, thereby attempting to eliminate competition.
This is a violation of the Sherman Antitrust Act and the Clayton Act, both covered in the "Ethics and Antitrust" section of the Maryland pre-licensing course.
Examples include two brokerages agreeing not to cooperate with a third brokerage or to exclude another licensee from access to listings.
Maryland law and the National Association of REALTORS® Code of Ethics prohibit any conduct that restricts trade or limits consumer choice.
Reference (Maryland Source):
- Maryland 60-Hour Principles and Practices Course, Fair Housing and Ethics / Antitrust section.
- Sherman Antitrust Act (15 U.S.C. §1).
- Clayton Antitrust Act (15 U.S.C. §12-27).
NEW QUESTION # 39
What is typically required for a real estate agent to earn a commission from a client?
- A. The client can make a verbal agreement with you.
- B. The client must make an express, written agreement to pay a commission to your broker.
- C. You must express an interest in representing the client.
- D. The client must be a buyer.
Answer: B
Explanation:
In Maryland, a real estate licensee may only perform brokerage services and be entitled to compensation when a written brokerage agreement exists between the client and the broker.
This agreement must clearly state the broker's duties, compensation terms, and representation type (buyer, seller, or dual).
Verbal agreements are insufficient to establish an enforceable right to a commission.
Reference: Maryland 60-Hour Principles and Practices - "Real Estate Brokerage Operations"; Maryland Real Estate Brokers Act 17-532 - Brokerage Agreements.
NEW QUESTION # 40
In a real estate transaction, what's a real estate licensee's responsibility regarding household lead hazards for homes built before 1978?
- A. To remind the sellers to disclose the possible presence of lead-based paint to a buyer
- B. To disclose to buyers that there's lead-based paint in a home
- C. To instruct the seller to remediate the lead-based paint
- D. To make sure all lead is removed by a licensed professional
Answer: A
Explanation:
Under the federal Residential Lead-Based Paint Hazard Reduction Act of 1992 (Title X) and the Maryland Lead Poisoning Prevention Program, sellers and landlords of housing built before 1978 must:
Provide the EPA-approved pamphlet on lead hazards.
Disclose known lead-based paint or hazards and supply any available records.
Allow buyers a 10-day inspection period (unless waived).
A licensee's duty is to ensure that the sellers comply with these disclosure requirements and to remind them to deliver the proper forms and pamphlet.
The licensee is not responsible for testing or remediation but must ensure all disclosures are completed prior to ratification of the contract.
Reference (Maryland Source):
- Maryland 60-Hour Principles and Practices of Real Estate Pre-Licensing Course, Environmental Issues and Disclosures section.
- 42 U.S.C. 4852d (Residential Lead-Based Paint Hazard Reduction Act).
- COMAR 26.16.02 (Maryland Lead Poisoning Prevention Program).
NEW QUESTION # 41
What does PITI stand for?
- A. Principal, insurance, title, and interest
- B. Property, interest, title, and insurance
- C. Property, insurance, taxes, and interest
- D. Principal, interest, taxes, and insurance
Answer: D
Explanation:
PITI is the standard mortgage-payment acronym: Principal (loan balance reduction), Interest (finance charge), Taxes (property taxes, typically escrowed), and Insurance (homeowner's and, when applicable, mortgage insurance). Lenders use PITI to calculate housing ratios and total debt-to-income requirements during underwriting-core content in the financing section of Maryland's pre-licensing course.
References: Maryland 60-Hour Principles & Practices Course - Real Estate Financing and Math for Real Estate modules; Conventional/FHA/VA underwriting concepts included in curriculum standards.
NEW QUESTION # 42
If a consumer wants to file a deceptive ad complaint, which entity should be contacted?
- A. The FBI
- B. The local police department
- C. The Department of Justice
- D. The BBB
Answer: D
Explanation:
The Better Business Bureau (BBB) accepts complaints related to false, misleading, or deceptive advertising practices and can investigate, mediate, or forward concerns to regulatory agencies.
The Maryland pre-licensing course advises licensees that maintaining truthful and transparent advertising is an ethical and legal requirement under both Maryland Real Estate Commission regulations and the Federal Trade Commission (FTC) rules.
Consumers may also contact the Maryland Real Estate Commission (MREC) for license law violations, but general deceptive ad complaints typically begin with the BBB.
Reference (Maryland Source):
- Maryland 60-Hour Principles and Practices Course, Ethical Advertising and Consumer Protection section.
- COMAR 09.11.02.01 - Ethical Standards of Advertising.
- Federal Trade Commission Act, 15 U.S.C. 45.
NEW QUESTION # 43
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