Free Louisiana Agency Practice Test — LicenseIQ

Question 1

A buyer's agent's brother owns a home that fits the buyer's needs. Before showing it, the agent must:

Accepted Answer

Any personal or financial interest of the agent or family must be disclosed up front so the client can make an informed decision.

Question 2

Which agency receives administrative complaints under the Louisiana Equal Housing Opportunity Act?

Accepted Answer

R.S. 51:2611 directs complaints to the attorney general; the AG's Equal Housing Opportunity Section enforces the Act. The LREC disciplines licensees but isn't the fair housing enforcement agency.

Question 3

A listing where the seller may sell themselves without owing commission, but only the listing broker among agents is protected, is:

Accepted Answer

In an exclusive agency listing, the seller pays no commission on a self-sale, but the listing broker is protected if any broker sells it. (Reclassified to section 6 / CORE.)

Question 4

Without permission, a dual agent may NOT disclose

Accepted Answer

R.S. 9:3897 bars disclosure of the seller's minimum price or the buyer's maximum price without permission. Latent defects and the buyer's financial qualifications must be disclosed.

Question 5

A licensee never signs a buyer agreement but repeatedly gives a buyer negotiating advice and acts on his behalf. An agency relationship may have been created by:

Accepted Answer

Implied agency arises from conduct; the agent then owes full fiduciary duties. Express agency is created by stated agreement, ideally in writing.

Question 6

Which statement about dual agency is correct?

Accepted Answer

Dual agency creates an inherent conflict; with informed written consent, the agent provides limited representation and must keep each party's confidences.

Question 7

Which information can never be treated as confidential under Louisiana agency law?

Accepted Answer

R.S. 9:3891 excludes information concerning the physical condition of the property from confidential information. Reasons for moving and price limits can be confidential.

Question 8

Which situation is NOT dual agency under R.S. 9:3891?

Accepted Answer

The definition excludes situations where the licensee is the owner of the property (or the sole owner of the owning entity). A licensee-owner must instead make ownership disclosures, such as 'licensed real estate agent.'

Question 9

A listing agent receives an offer she believes is far too low. She must

Accepted Answer

R.S. 9:3893 requires licensees to present all offers to and from the client in a timely manner. The seller, not the agent, decides.

Question 10

A seller tells his listing agent the HVAC was replaced last year; the agent repeats this to an unrepresented buyer. It was false, but the agent had no actual knowledge of that. Under R.S. 9:3894, the agent is

Accepted Answer

R.S. 9:3894 says a licensee is not liable to a customer for false information supplied by the client unless the licensee had actual knowledge it was false. The 'should have known' standard applies to customer-supplied information passed to a client (R.S. 9:3893).

Question 11

A prospective buyer refuses to sign the agency disclosure pamphlet. The licensee should

Accepted Answer

LAC 46:LXVII.3703 requires documentation of the refusal and retention for five years. Refusal does not bar continuing to work.

Question 12

An agent advertises a home as having a 'new roof' without verifying it; the roof is actually 18 years old. This is:

Accepted Answer

Stating unverified facts that prove false is negligent misrepresentation; knowingly false statements are fraud. Puffing is opinion, not a verifiable fact.

Question 13

A buyer's agent from another firm receives the earnest money check. The purchase agreement says nothing about who holds the deposit, and the parties have no other written agreement. The funds should go into

Accepted Answer

LAC 46:LXVII.2717 places funds in the appropriate account of the listing or managing broker unless all parties with an interest agree otherwise in writing.

Question 14

Which fiduciary duty continues even after the agency relationship has ended?

Accepted Answer

Most fiduciary duties end with the agency, but the agent must continue to keep the former client's confidential information private.

Question 15

A listing agent knows the seller will accept $20,000 less than list price. A buyer asks, 'Will they take less?' The agent should:

Accepted Answer

The duty of confidentiality bars disclosing information, like the seller's lowest acceptable price, that would harm the client's bargaining position.

Question 16

During a listing walk-through, the agent notices fresh paint on one ceiling area and a musty odor. The agent should:

Accepted Answer

Agents are not inspectors, but must recognize red flags (stains, odors, cracks) and disclose them for further investigation.

Question 17

How long must a licensee keep a signed agency disclosure pamphlet or dual agency form?

Accepted Answer

LAC 46:LXVII.3703 and 3705 require five-year retention.

Question 18

A material defect that a seller/agent must disclose is one that:

Accepted Answer

Material defects significantly affect value or would influence a buyer's decision and must be disclosed.

Question 19

A seller has already accepted an offer, and another buyer submits a higher offer. The listing agent should:

Accepted Answer

Listing agents must present all offers through closing, but should not give legal advice about the seller's obligations under the existing contract.

Question 20

The fiduciary duty that requires an agent to safeguard and account for all money and property received on behalf of the client is:

Accepted Answer

The duty of accounting requires the agent to track, report on and properly handle all funds and documents belonging to the client.

Question 21

At an open house, a buyer begins telling the listing agent the most he could pay. The agent should first:

Accepted Answer

Agents must disclose up front whom they represent so customers don't mistakenly share confidential information - anything the agent learns must be shared with the client.

Question 22

Which of the following is a fiduciary duty an agent owes the principal?

Accepted Answer

Fiduciary duties are Confidentiality, Obedience, Accounting, Loyalty and Disclosure (COALD), plus reasonable care.

Question 23

Substantive contact, the trigger for agency disclosure, occurs when

Accepted Answer

R.S. 9:3891 defines substantive contact as the point when confidential or financial information is requested or received, and LAC 46:LXVII.3703 ties pamphlet delivery to it.

Question 24

An agent authorized to perform a single specific act for a principal is a:

Accepted Answer

A special (limited) agent has authority for a specific task, typical of a listing agent. A property manager is usually a general agent.

Question 25

A property manager owes fiduciary duties primarily to the:

Accepted Answer

The property manager is the owner's (general) agent and owes fiduciary duties to the owner, while dealing honestly with tenants.

Louisiana real estate agency practice test

1. A buyer's agent's brother owns a home that fits the buyer's needs. Before showing it, the agent must:

2. Which agency receives administrative complaints under the Louisiana Equal Housing Opportunity Act?

3. A listing where the seller may sell themselves without owing commission, but only the listing broker among agents is protected, is:

4. Without permission, a dual agent may NOT disclose

5. A licensee never signs a buyer agreement but repeatedly gives a buyer negotiating advice and acts on his behalf. An agency relationship may have been created by:

6. Which statement about dual agency is correct?

7. Which information can never be treated as confidential under Louisiana agency law?

8. Which situation is NOT dual agency under R.S. 9:3891?

9. A listing agent receives an offer she believes is far too low. She must

10. A seller tells his listing agent the HVAC was replaced last year; the agent repeats this to an unrepresented buyer. It was false, but the agent had no actual knowledge of that. Under R.S. 9:3894, the agent is

11. A prospective buyer refuses to sign the agency disclosure pamphlet. The licensee should

12. An agent advertises a home as having a 'new roof' without verifying it; the roof is actually 18 years old. This is:

13. A buyer's agent from another firm receives the earnest money check. The purchase agreement says nothing about who holds the deposit, and the parties have no other written agreement. The funds should go into

14. Which fiduciary duty continues even after the agency relationship has ended?

15. A listing agent knows the seller will accept $20,000 less than list price. A buyer asks, 'Will they take less?' The agent should:

16. During a listing walk-through, the agent notices fresh paint on one ceiling area and a musty odor. The agent should:

17. How long must a licensee keep a signed agency disclosure pamphlet or dual agency form?

18. A material defect that a seller/agent must disclose is one that:

19. A seller has already accepted an offer, and another buyer submits a higher offer. The listing agent should:

20. The fiduciary duty that requires an agent to safeguard and account for all money and property received on behalf of the client is:

21. At an open house, a buyer begins telling the listing agent the most he could pay. The agent should first:

22. Which of the following is a fiduciary duty an agent owes the principal?

23. Substantive contact, the trigger for agency disclosure, occurs when

24. An agent authorized to perform a single specific act for a principal is a:

25. A property manager owes fiduciary duties primarily to the:

Sources