1. A newspaper ad for real estate placed by a salesperson MUST include the
A. name of the employing broker Correct
B. name of the salesperson
C. price of the property
D. Multiple Listing System number of the property
Explanation
Pennsylvania advertising rules require that any ad placed by a salesperson must clearly show the name of the employing broker. This ensures the public understands the salesperson is not operating independently and knows who is responsible for the brokerage. The broker’s name provides accountability and allows consumers to verify licensing and file complaints if needed. Including only the salesperson’s name is not enough and does not satisfy the rule. Stating the price is optional and not required in every advertisement. Including an MLS number is also optional and not mandatory in newspaper ads.
2. Which of the following is a violation of Pennsylvania real estate license law
A. Accepting a bonus from the licensee's broker
B. Requiring the seller to hire an appraiser
C. Advertising a new listing in a real estate magazine
D. Failing to give the escrow funds promptly to the broker Correct
Explanation
Licensees must promptly deliver or deposit escrow funds to the broker according to strict time limits set by regulation. Failing to do so violates trust account handling rules and puts client money at risk. Accepting a bonus or incentive from one’s own broker is permitted as part of compensation arrangements. Requiring a seller to obtain an appraisal when needed for a transaction is normal practice and not a violation. Advertising a listing in a magazine is allowed as long as advertising rules are followed.
3. The Pennsylvania Real Estate Commission is empowered to administer and enforce laws of the Commonwealth of Pennsylvania relating to all of the following activities EXCEPT
A. real estate licensing in Pennsylvania
B. cemeteries and cemetery companies that require registration
C. campground memberships for which licensing is required in Pennsylvania
D. lending institutions for which licensing is required in Pennsylvania Correct
Explanation
The Pennsylvania Real Estate Commission regulates real estate brokers and salespersons, cemetery sales, and campground membership sales when licensing is required. It does not have jurisdiction over lending institutions such as mortgage companies or banks — those are regulated by separate banking and financial regulators. The other three areas are all within the Commission’s authority.
4. A licensed real estate salesperson may, with supervision of the employing broker, do which of the following
A. Assist in the preparation of an appraisal Correct
B. Fill out escrow records
C. Engage in structural inspections
D. Offer financial advice
Explanation
A salesperson can assist in preparing a comparative market analysis or help gather data for an appraisal under direct broker supervision. This is allowed because it stays within the scope of brokerage services. Maintaining escrow records is the broker’s responsibility and cannot be delegated to a salesperson. Performing structural inspections requires a separate home inspector license. Offering financial advice such as loan options or investment strategy usually requires a separate license and is outside the real estate license scope.
5. When a licensed real estate salesperson in Pennsylvania changes employment from one broker to another, the agent is REQUIRED to
A. show proof of completion of at least 14 hours of continuing education in the past year
B. notify the Commission before making the change
C. obtain a signed release from the salesperson's current broker
D. pay the required fee and submit the application to the Commission Correct
Explanation
To legally change brokers, the salesperson must submit a transfer application to the Pennsylvania Real Estate Commission and pay the required fee. This officially updates the license record. Continuing education is required for renewal, not for transferring brokers. Notification to the Commission happens through the application process itself. No release or permission from the previous broker is required under Pennsylvania law.