2024 Edition

Pennsylvania Real Estate Practice Exam

Take this free practice test to get an idea of what is on the Pennsylvania Real Estate Salesperson exam administered by the Pennsylvania Real Estate Commission. The actual exam consists of a 80 question National Exam and a 40 question Pennsylvania state-specific exam. Up to ten pretest questions are also included. Three and half hours is given to complete both parts of the exam.

To prepare for the actual exam, check out our 135 Question Pennsylvania Real Estate Salesperson Practice Exam with the same number of questions as the actual exam plus 350 bonus core real estate questions.

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Pennsylvania Real Estate Commission

1.	Which of the following agencies is given authority to issue and administer regulations under the Real Estate Licensing and Registration Act in Pennsylvania?
		a. Bureau of Professional Affairs
		b. Governor's Office
		c. Real Estate Commission
		d. Department of State
The Real Estate Commission is given the authority to issue regulations that govern the practice of real estate sales in Pennsylvania and to administer the law under the Real Estate Licensing and Registration Act. 63 Pa.Stat. 404. Incorrect answer. Please choose another answer.

2.	The Pennsylvania Real Estate Commission may only suspend or revoke a broker or salesperson's license after a complaint is filed with the commission and after the commission:
		a. Levies fines on the licensee.
		b. Holds a hearing on the matter.
		c. Gives the licensee a warning.
		d. Charges the licensee in a competent jurisdiction.
The Pennsylvania Real Estate Licensing and Registration Act (RELRA) gives the Real Estate Commission the authority to suspend and revoke real estate licenses. After getting a complaint, the Commission will ascertain the facts of the matter, and, if warranted, hold a hearing to suspend or revoke a license. The Commission may suspend or revoke a license if the licensee if found guilty by the Commission at the hearing. RELRA, Chapter 6, 604(a). Incorrect answer. Please choose another answer.

3.	When an aggrieved person obtains a final judgment in a court of competent jurisdiction against a licensee for an order of payment out of the Pennsylvania Real Estate Recovery Fund, the aggrieved person shall be required to show___________.
		a. That he or she is not a spouse of the debtor.
		b. That a final judgement has been obtained upon grounds of fraud, misrepresentation or deceit.
		c. That the application for payment is made within one year from the exhaustion of appeals.
		d. All the above
When a claimant can establish the above listed items, an application may be made for payment from the Pennsylvania Real Estate Recovery Fund. The commission can pay the application, with court approval. It is important to note that the grounds for payment from the Recovery Fund must be the fraud, misrepresentation or deceit of the licensee, which caused the loss to the claimant. Incorrect answer. Please choose another answer.

4.	Brian, a licensed real estate salesperson in Pennsylvania, advertises a condominium rental he owns in Pittsburgh. The advertisement reads: Rental - 2 bedroom, 2 bath apartment in nice downtown condo building in Shadyside. Near public transportation. $1,500 a month. Call (412) 666-1100. What information must be included in this ad to have it comply with Pennsylvania license law?
		a. Whether utilities are included.
		b. The term of the lease offered.
		c. That Brian is a real estate licensee.
		d. Brian's real estate company.
License law in Pennsylvania requires real estate licensees to disclose that they are licensees in any advertisement in which they offer to sell or lease real estate that they own. 49 PaCode. 35.304. This rule does not apply if the real estate is listed by a real estate company. Licensees who sell or rent their own real estate must disclose their license status before the other party enters into the agreement. 49 PaCode 35.288. Incorrect answer. Please choose another answer.

Pennsylvania Real Estate Licensure

5.	Which of the following statements is true about a reciprocal real estate license in Pennsylvania?
		a. A reciprocal license holder is licensed by another state.
		b. Standard and reciprocal licenses are the same in Pennsylvania.
		c. Pennsylvania has reciprocity with all other states.
		d. A reciprocal license holder can only be a broker, not a salesperson.
A reciprocal real estate license in Pennsylvania is a license issued to an out-of-state real estate broker or salesperson from states that have a reciprocal agreement with the Pennsylvania Real Estate Commission. 63 Pa.Stat 602 (Chapter 6). To enter into a reciprocity agreement, a state needs to have qualifications for licensure that are substantially similar to Pennsylvania's real estate standards. Currently, there are five states with reciprocal agreements with Pennsylvania: Arkansas, Georgia, Louisiana, Maryland and Massachusetts. A standard license is issued when a candidate first goes through the license process in Pennsylvania. Incorrect answer. Please choose another answer.

6.	A salesperson is employed by which of the following to carry out activities related to real estate sales and leasing??
		a. Salesperson
		b. Associate Broker
		c. Broker
		d. Both b and c.
A salesperson, by definition, is employed by a broker who owns a real estate company, to carry out the activities of the office. An associate broker is a broker who is employed to work for another broker. 65 Pa.Stat 201 (Chapter 2). Incorrect answer. Please choose another answer.

7.	The rules for selling cemetery lots, as a cemetery salesperson, under the Real Estate Licensing and Registration Act (RELRA), would include the sale of the following for the burial of a deceased person, except:
		a. Grave
		b. Mausoleum
		c. Vault
		d. Private family cemetery
Under RELRA, a cemetery lot does not include private family burial grounds. It includes graves, mausoleums, columbarium, vaults and other receptacles of the deceased. RELRA, Chapter 2. Incorrect answer. Please choose another answer.

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8.	The Real Estate Licensing and Registration Act (RELRA) requires candidates for real estate salesperson licensure to have (a/an)______________ in order to safeguard the interests of the ________.
		a. college degree; client
		b. good reputation; public
		c. E&O insurance policy; client
		d. E&O insurance policy; broker
RELRA requires candidates for licensure to have a good reputation for honesty, trustworthiness, integrity and competence to transact the business of real estate as a salesperson to safeguard the interests of the public. 65 PaStat 501 (Chapter 5). The application process has a criminal background check requirement to establish the qualifications of the licensure candidate. Errors & Omissions insurance is not required to be licensed in Pennsylvania. Incorrect answer. Please choose another answer.

9.	Brian decided to leave the business to take a break after the birth of his first child. When his child started 1st grade at the age of 6, Brian decided he wanted to resume activity in the real estate business. What steps must Brian take to get back in the business?
		a. Call an area Broker and let him know he can start on Monday.
		b. Complete 14 continuing education credits and pay a fee to activate his license.
		c. Pass the salesperson license examination.
		d. Retake the 60-hours of prelicensing classes.
Under the Real Estate Licensing and Registration Act (RELRA), any person that remains inactive for a period of five years without renewing his or her license must take and pass the examination pertinent to the license for which he or she is reapplying. RELRA, Chapter 5, 501(b). Incorrect answer. Please choose another answer.

10.	If a salesperson's license is revoked, the license may not be reinstated by the Real Estate Commission for what period of time?
		a. 1 year
		b. 2 years
		c. 5 years
		d. Once revoked, a licensee may never be reinstated.
Under Pennsylvania Real Estate Licensing and Registration Act (RELRA), once a real estate license is revoked, the Real Estate Commission may not reinstate it for 5 years from the date of the revocation. RELRA, Chapter 5, 501(c). Incorrect answer. Please choose another answer.

Regulation of Conduct of Licensees

11.	Salesperson Sarah works for Sam, a Pennsylvania broker. Broker Sam has received complaints that Sarah is responding to inquiries from persons of a certain race that listings are no longer for sale, when they are actually still available for sale. Broker Sam has intended on discussing the problem with Sarah, but scheduling conflicts have made meeting difficult. Sarah subsequently is charged with a Fair Housing violation. For which violation, if any, will Broker Sam also be held liable under state and federal laws?
		a. Fair Housing violation
		b. Failure to Supervise
		c. False advertising
		d. Both a and b
Supervisory brokers must monitor their licensee's behavior and practice. Training and mentoring are also expected activities as part of supervisory duties. If a licensee violates a state or federal law, the supervisory broker can also be culpable, because of the nature of their role as supervisor. Sarah's discrimination is illegal in any professional capacity. Fair Housing laws and the NAR Code of Ethics prohibits discrimination based on the basis of race. Further, Broker Sam may have his license suspended or revoked under the Pennsylvania Real Estate Licensing and Registration Act for failure to adequately supervise his licensee. 63 Pa.Stat 604(a)(16). Incorrect answer. Please choose another answer.

12.	A salesperson who represents a seller and closes on a sale with a buyer represented by a broker, will receive their commission from:
		a. The buyer's broker
		b. The seller
		c. The salesperson's broker
		d. The Title Company
A salesperson can only receive compensation from the broker for whom he or she works. 63 Pa.Stat. 604(a)(12). It is a prohibited act for a broker to pay a salesperson employed by another broker. 63 Pa.Stat 604(a)(19). Incorrect answer. Please choose another answer.

13.	Assuming a salesperson has earned a commission on a sale of real estate under an exclusive listing agreement, which of the following is required for the salesperson to be entitled to be paid under Pennsylvania license law?
		a. To be the procuring cause of the sale
		b. A memorandum stating the terms of an oral agreement
		c. A signed agreement stating the services to be provided and the fee to be charged
		d. A Consumer Notice with the signed acknowledged receipt by the consumer.
The Pennsylvania Real Estate Licensing and Registration Act requires there to be in place a signed agreement between the licensee and the consumer setting forth the nature of the services to be provided and the fee to be charged (be it a fee, commission or other valuable consideration) in order for the licensee to be entitled to payment. 63 Pa.Stat 606.1(b)(1). There are other provisions which must be in the agreement as well. See 63 Pa.Stat. 608.1. The signed agreement does not need to be in place before the services are provided, but the licensee is not entitled to payment until there is a signed agreement. Incorrect answer. Please choose another answer.

14.	A Pennsylvania real estate broker has a written property management contract with an apartment complex owner. After entering into the written agreement, the broker and the owner have an oral discussion where they agree the cleaning service that the broker owns with his brother will clean the common areas of the complex for a certain cost. The broker includes the cleaning cost in his property management invoice each month. Does the building owner have to pay for the cleaning cost under Pennsylvania license law?
		a. Yes, since the broker and owner orally agreed to the cleaning cost.
		b. Yes, since the parties have a written property management agreement.
		c. Yes, but only at reasonable industry established rates.
		d. No.
Under Pennsylvania license law, the ownership interest the broker has in the cleaning company would constitute a conflict of interest with his role as property manager. A broker, working as a property manager, can provide such extra services, however, Commission regulations require the broker to have the owner's written agreement to be paid for expenditures on the owner's behalf which will profit the broker. 49 Pa.Code 35-283(c). The oral agreement would not be sufficient under Pennsylvania license law. Incorrect answer. Please choose another answer.

15.	Which of the following must be provided to a potential purchaser of a time share by the real estate agent under Pennsylvania Real Estate Commission regulations at the initial interview?
		a. Information on Financing Rates
		b. Seller's Disclosure
		c. Consumer Notice
		d. All of the above.
Commission regulations require real estate agents to provide a consumer notice at the initial interview with persons considering buying a time share. 49 Pa.Code 35-284(c). The Consumer Notice is a particular form that discloses to the consumer the role the agent plays, as the owner, employee of the owner or as an agent of the owner pursuant to a property management or leasing or selling agreement. 49 Pa.Code 35-338. It must be signed by the consumer and the consumer must be given a copy of the notice. 49 Pa.Code 35-338; 35-284(d). Incorrect answer. Please choose another answer.

Quality starts with who wrote the material.

Our practice exam writer

Lisa Risco

Lisa is a licensed real estate broker from Pennsylvania who teaches real estate classes at the Polley Associates School of Real Estate. She has worked with Re/Max and Century 21 in Philadelphia. Lisa received her MBA degree from Eastern University.

Our material is specific to the Pennsylvania Real Estate Salesperson Exam, covering both the National and State sections with these content areas:

Legal Descriptions
Property Use
Forms of Ownership
Recording of Title
Property Appraisal
Contracts
Agency
Financing
Transfer of Property
Disclosures
Settlment
Real Estate Practice
and more..

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