MRES - Massachusetts Real Estate Salesperson Exam

Question 21: A salesperson fills in the blanks of a standard, attorney-prepared offer form. The buyer then asks the salesperson to draft a special legal clause from scratch. What should the salesperson do?

Draft the clause to help the buyer

Refuse to fill in any blanks

Sign the contract for the buyer

Refer the buyer to an attorney

Question 22: A study guide explains that in Massachusetts a residential real estate closing requires the substantive participation of a particular professional to handle the deed, mortgage, and transfer of funds. Who is that professional?

A licensed home inspector

A real estate salesperson

An attorney

A certified appraiser

Question 23: A listing broker receives several written offers on a seller's home, including some below the asking price. Under Massachusetts rules, what must the broker do with these offers?

Convey all offers promptly to the seller

Present only the highest offer

Screen out the low offers first

Hold the offers until the deadline

Question 24: A Massachusetts tenant rents an apartment under only an oral arrangement, with no written lease and no fixed end date. By operation of law, what kind of tenancy does this create?

An estate for years

A tenancy at sufferance

A life estate

A tenancy at will

Question 25: A residential tenant pays a fixed monthly rent, and the landlord covers the property taxes, insurance, and maintenance out of that rent. Which type of lease is this?

A net lease

A gross lease

A percentage lease

A ground lease

Question 26: A shopping mall charges a retail tenant a base rent plus a percentage of the store's gross sales. Which type of lease uses this structure?

A gross lease

A net lease

A percentage lease

A ground lease

Question 27: A tenant signs a lease that also gives her the right to buy the property at a set price during the lease term if she chooses. Which arrangement does this describe?

A lease with an option to purchase

A net listing

A right of first refusal

An installment land contract

Question 28: In an agency relationship, one party hires a broker to act on her behalf and in her interest. The party who hires and authorizes the agent is known by which term?

The customer

The subagent

The facilitator

The principal

Question 29: An agency relationship is built on trust and requires the agent to act with loyalty and good faith, placing the client's interests first. A relationship demanding this high standard of trust is described as what?

An adversarial relationship

An arm's length relationship

A fiduciary relationship

A customer relationship

Question 30: An instructor groups agents into one for a single task, one for ongoing matters, and one with broad authority over all affairs. These categories classify agents according to what?

By their fiduciary duties

By their scope of authority

By their commission rate

By their license type

Question 31: A seller hires a broker for the limited purpose of finding a buyer for one specific property in a single transaction. The broker has authority only for that task. Which kind of agent is the broker?

A special agent

A general agent

A universal agent

A gratuitous agent

Question 32: An owner hires a property manager to handle ongoing leasing, rent collection, and maintenance for an apartment building over an extended period. Given this continuing authority, which kind of agent is the manager?

A special agent

A universal agent

A general agent

A facilitator

Question 33: A homeowner never signs a representation agreement, yet she treats a broker as her agent and he acts for her with her knowledge. A court finds an agency arose from their conduct. How was it created?

By express written agreement

By ratification after the fact

By estoppel against a third party

By implication from conduct

Question 34: A seller signs an agreement employing a broker to market her home and represent her in finding a buyer, setting the term and the commission. What is this agreement called?

A listing agreement

A purchase and sale agreement

A promissory note

A deed of trust

Question 35: Under one listing arrangement, the listing broker earns a commission no matter who finds the buyer, even if the owner sells the property herself during the term. Which listing type is this?

An open listing

An exclusive right to sell listing

An exclusive agency listing

A net listing

Question 36: Under another listing, only the named broker may market the property, but the owner keeps the right to sell it herself without owing any commission. Which listing type is this?

An exclusive right to sell listing

An open listing

An exclusive agency listing

A net listing

Question 37: An owner gives selling rights to several brokers at once and agrees to pay only the broker who produces the buyer, while keeping the right to sell on her own. Which listing type is this?

An exclusive right to sell listing

An exclusive agency listing

A net listing

An open listing

Question 38: An owner offers to let a broker keep, as commission, anything received above a fixed net amount the owner wants from the sale. Under Massachusetts rules, how must the broker treat this arrangement?

Refuse it because net listings are prohibited

Accept it if the seller agrees

Accept it only in writing

Accept it if a buyer is found

Question 39: A buyer signs an agreement hiring a broker to represent the buyer's interests in locating and negotiating the purchase of a home. What is this agreement called?

A listing agreement

A net listing

A buyer representation agreement

A purchase and sale agreement

Question 40: A broker representing a seller must follow lawful instructions, keep the client's information private, account for funds, and put the client's interests first. These obligations are collectively known as what?

Antitrust duties

Fiduciary duties

Disclosure exemptions

Statutory liens

MRES Massachusetts Real Estate Salesperson Exam - Set 3 - Part 2

Question 21: A salesperson fills in the blanks of a standard, attorney-prepared offer form. The buyer then asks the salesperson to draft a special legal clause from scratch. What should the salesperson do?

Question 22: A study guide explains that in Massachusetts a residential real estate closing requires the substantive participation of a particular professional to handle the deed, mortgage, and transfer of funds. Who is that professional?

Question 23: A listing broker receives several written offers on a seller's home, including some below the asking price. Under Massachusetts rules, what must the broker do with these offers?

Question 24: A Massachusetts tenant rents an apartment under only an oral arrangement, with no written lease and no fixed end date. By operation of law, what kind of tenancy does this create?

Question 25: A residential tenant pays a fixed monthly rent, and the landlord covers the property taxes, insurance, and maintenance out of that rent. Which type of lease is this?

Question 26: A shopping mall charges a retail tenant a base rent plus a percentage of the store's gross sales. Which type of lease uses this structure?

Question 27: A tenant signs a lease that also gives her the right to buy the property at a set price during the lease term if she chooses. Which arrangement does this describe?

Question 28: In an agency relationship, one party hires a broker to act on her behalf and in her interest. The party who hires and authorizes the agent is known by which term?

Question 29: An agency relationship is built on trust and requires the agent to act with loyalty and good faith, placing the client's interests first. A relationship demanding this high standard of trust is described as what?

Question 30: An instructor groups agents into one for a single task, one for ongoing matters, and one with broad authority over all affairs. These categories classify agents according to what?

Question 31: A seller hires a broker for the limited purpose of finding a buyer for one specific property in a single transaction. The broker has authority only for that task. Which kind of agent is the broker?

Question 32: An owner hires a property manager to handle ongoing leasing, rent collection, and maintenance for an apartment building over an extended period. Given this continuing authority, which kind of agent is the manager?

Question 33: A homeowner never signs a representation agreement, yet she treats a broker as her agent and he acts for her with her knowledge. A court finds an agency arose from their conduct. How was it created?

Question 34: A seller signs an agreement employing a broker to market her home and represent her in finding a buyer, setting the term and the commission. What is this agreement called?

Question 35: Under one listing arrangement, the listing broker earns a commission no matter who finds the buyer, even if the owner sells the property herself during the term. Which listing type is this?

Question 36: Under another listing, only the named broker may market the property, but the owner keeps the right to sell it herself without owing any commission. Which listing type is this?

Question 37: An owner gives selling rights to several brokers at once and agrees to pay only the broker who produces the buyer, while keeping the right to sell on her own. Which listing type is this?

Question 38: An owner offers to let a broker keep, as commission, anything received above a fixed net amount the owner wants from the sale. Under Massachusetts rules, how must the broker treat this arrangement?

Question 39: A buyer signs an agreement hiring a broker to represent the buyer's interests in locating and negotiating the purchase of a home. What is this agreement called?

Question 40: A broker representing a seller must follow lawful instructions, keep the client's information private, account for funds, and put the client's interests first. These obligations are collectively known as what?

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