Free Ohio Agency Practice Test — LicenseIQ

Question 1

A buyer's agent's commission is paid by the seller through the listing broker. Whom does the buyer's agent represent?

Accepted Answer

ORC 4735.53(D) states that a payment or promise of payment does not determine whether an agency relationship exists. The buyer's agent remains the buyer's agent.

Question 2

Under Ohio law, before which action must a licensee have a written agency agreement with a purchaser?

Accepted Answer

As amended effective 2024, ORC 4735.55(A) requires a written agency agreement before making an offer on residential property for a purchaser, and before advertising or showing for a seller.

Question 3

In which situation is an Ohio licensee prohibited from acting as a dual agent?

Accepted Answer

ORC 4735.71(C) bars dual agency where the licensee is a party to the transaction, personally or through an entity with an interest in the property or that intends to buy it.

Question 4

Two salespersons at the same Ohio brokerage represent the seller and buyer separately. Who is the dual agent?

Accepted Answer

Under ORC 4735.70, the brokerage representing both parties is a dual agent, as are supervising management-level licensees, while each salesperson represents only their own client.

Question 5

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 6

What is the required title of the document carrying a brokerage's agency policy disclosures in Ohio?

Accepted Answer

OAC 1301:5-6-05 requires the brokerage policy disclosures of ORC 4735.56 to be provided in a document titled Consumer Guide to Agency Relationships. The Agency Disclosure Statement is a separate, transaction-specific form.

Question 7

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 8

Which statement about commissions must appear conspicuously in an Ohio written agency agreement?

Accepted Answer

ORC 4735.55 requires a conspicuous statement that broker fees are not set by law, are fully negotiable, and may be paid by any party or third party or split between brokers.

Question 9

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 10

Which event does NOT require a licensee to have provided a purchaser with the Consumer Guide to Agency Relationships?

Accepted Answer

ORC 4735.56(D) lists triggers including prequalification, requesting financial information, showing property other than at an open house, discussing or submitting an offer, and entering an agency agreement. Open houses are excepted.

Question 11

Which is a statutory duty an Ohio agent owes a client?

Accepted Answer

ORC 4735.62 lists reasonable skill and care, following lawful instructions, loyalty, disclosure, advising expert advice, accounting, and confidentiality, including confidentiality owed to prior clients.

Question 12

At an Ohio real estate auction, how must the auctioneer-licensee disclose agency?

Accepted Answer

ORC 4735.58(B) requires an oral announcement to the audience before the auction begins and delivery of the statement to the winning bidder before the purchase contract is signed.

Question 13

When a broker appoints one salesperson to represent the seller and another salesperson in the same office to represent the buyer, this is:

Accepted Answer

Designated agency assigns separate agents within one brokerage; the broker is still a dual agent and written consent is required.

Question 14

After an owner validly cancels a wholesaler contract under ORC 5301.95, the escrow or closing agent must return earnest money to the owner within how many days?

Accepted Answer

ORC 5301.95 requires the escrow or closing agent to return any earnest money to the owner within thirty days after cancellation.

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

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 17

The client a broker represents is the:

Accepted Answer

The principal is the client to whom the agent owes fiduciary duties; a customer is a party the agent works with but does not represent.

Question 18

A seller instructs her listing agent not to show the home to buyers of a certain national origin. The agent should:

Accepted Answer

Obedience requires following lawful instructions only. Discriminatory instructions violate fair housing laws and must be refused.

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

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 21

An agent tells a buyer he will show homes only if the buyer uses the agent's brother as mortgage broker. This is an illegal:

Accepted Answer

Conditioning one service on the purchase of another is a tying arrangement prohibited by antitrust law.

Question 22

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 23

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 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 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.)

Ohio real estate agency practice test

1. A buyer's agent's commission is paid by the seller through the listing broker. Whom does the buyer's agent represent?

2. Under Ohio law, before which action must a licensee have a written agency agreement with a purchaser?

3. In which situation is an Ohio licensee prohibited from acting as a dual agent?

4. Two salespersons at the same Ohio brokerage represent the seller and buyer separately. Who is the dual agent?

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

6. What is the required title of the document carrying a brokerage's agency policy disclosures in Ohio?

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

8. Which statement about commissions must appear conspicuously in an Ohio written agency agreement?

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

10. Which event does NOT require a licensee to have provided a purchaser with the Consumer Guide to Agency Relationships?

11. Which is a statutory duty an Ohio agent owes a client?

12. At an Ohio real estate auction, how must the auctioneer-licensee disclose agency?

13. When a broker appoints one salesperson to represent the seller and another salesperson in the same office to represent the buyer, this is:

14. After an owner validly cancels a wholesaler contract under ORC 5301.95, the escrow or closing agent must return earnest money to the owner within how many days?

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. 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:

17. The client a broker represents is the:

18. A seller instructs her listing agent not to show the home to buyers of a certain national origin. The agent should:

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

20. Which statement about dual agency is correct?

21. An agent tells a buyer he will show homes only if the buyer uses the agent's brother as mortgage broker. This is an illegal:

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

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

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

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

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