1. A candidate scores 74 on the national portion and 66 on the state portion. What happens?
Answer & explanation
Answer: C. A score of 70 is required on each portion separately; scores are not averaged. Only the failed state portion is retaken, within the one-year limit.
2. How are commissions paid when a team closes a sale?
Answer & explanation
Answer: D. Rule 2.21 says commissions are paid to individual team members. A team leader's single-member LLC may collect money only for shared expenses, and teams cannot keep escrow accounts.
3. A home is assessed at $312,000 with a tax rate of 2.25%. What is the QUARTERLY tax payment?
Answer & explanation
Answer: A. Annual tax = $312,000 x 0.0225 = $7,020; quarterly = $7,020 / 4 = $1,755.
4. How much written notice is required to end a month-to-month tenancy in Rhode Island?
Answer & explanation
Answer: B. Section 34-18-37 requires at least 30 days for month-to-month tenancies; week-to-week tenancies need 10 days.
5. In a mortgage, the borrower who pledges the property as security is the:
Answer & explanation
Answer: C. The mortgagor (borrower) gives the mortgage to the mortgagee (lender) in exchange for the loan.
6. The approach to value most appropriate for an office building or apartment complex is the:
Answer & explanation
Answer: A. Income-producing properties are valued by the income approach: Value = NOI / capitalization rate.
7. For a deed to be valid it must be:
Answer & explanation
Answer: A. Transfer requires a valid deed signed by the grantor and delivered to and accepted by the grantee. Recording gives constructive notice but is not required for validity between the parties.
8. How much does Rhode Island's homestead exemption protect?
Answer & explanation
Answer: A. Section 9-26-4.1 protects up to $500,000 in a principal residence.
9. A legal description reading 'Lot 5, Block 9 of the Lincoln subdivision' uses which method?
Answer & explanation
Answer: D. The lot and block method references a recorded plat map of a subdivision.
10. On a closing statement, the purchase price is a:
Answer & explanation
Answer: B. The seller receives the price (credit); the buyer owes it (debit).
11. When may a buyer write a deposit check payable directly to the seller?
Answer & explanation
Answer: D. Rule 2.18 permits seller-held deposits only when the listing agreement allows it and the buyer is informed in writing that escrow is not required.
12. Under the Code of Ethics, a REALTOR who wants to buy a property listed with his own firm must:
Answer & explanation
Answer: A. REALTORS must disclose in writing their licensed status and any interest when buying or selling property for themselves or family.
13. A seller knows that the basement flooded last spring, but the damage was repaired and is not visible. The seller and listing agent must:
Answer & explanation
Answer: C. Latent (hidden) defects known to the seller or agent must be disclosed; failing to do so can create liability for both.
14. An easement that benefits an adjoining parcel of land is called:
Answer & explanation
Answer: C. An easement appurtenant runs with the land and benefits a dominant tenement (the adjoining parcel). An easement in gross benefits a person or company, not land.
15. A buyer's agent's brother owns a home that fits the buyer's needs. Before showing it, the agent must:
Answer & explanation
Answer: B. Any personal or financial interest of the agent or family must be disclosed up front so the client can make an informed decision.
16. How much written notice must a landlord give before raising rent for a 70-year-old month-to-month tenant?
Answer & explanation
Answer: D. The general rule is 60 days, but month-to-month tenants over 62 must get at least 120 days.
17. The National Do-Not-Call Registry is maintained by the:
Answer & explanation
Answer: D. The FTC maintains the registry; real estate cold calls to registered numbers generally violate the rules.
18. A resale buyer receives the resale certificate on April 8, with closing set for May 15. Until when may the buyer void the contract?
Answer & explanation
Answer: D. The contract is voidable until the certificate is provided and for five days afterward, or until conveyance, whichever comes first: April 8 + 5 = April 13.
19. A title search shows owner A conveyed to B, but the next record shows C as owner with no deed from B. This is an example of:
Answer & explanation
Answer: A. Gaps in the chain or unreleased liens are clouds that must be cleared (e.g., by quitclaim deed or quiet title action) before title is marketable.
20. A licensee may disclose a client's confidential information without consent when:
Answer & explanation
Answer: D. Exceptions are common knowledge or public record, defending the licensee against a client's claim, and disclosure required by law.
21. Which federal law requires disclosure of the true cost of credit, including APR?
Answer & explanation
Answer: B. The Truth in Lending Act (Regulation Z) requires disclosure of finance charges and the APR. RESPA covers settlement costs.
22. A lease of a building to operate an illegal gambling business is:
Answer & explanation
Answer: D. A contract without legal purpose is void - it has no legal effect from the beginning.
23. When a seller changes a term of the buyer's offer and returns it, this creates a:
Answer & explanation
Answer: C. Altering any term rejects the original offer and creates a counteroffer, which the buyer may accept or reject.
24. A unit owner selling a Rhode Island condominium must give the buyer a resale certificate along with which documents?
Answer & explanation
Answer: A. Section 34-36.1-4.09 requires the declaration (other than plats and plans), bylaws, rules, and a resale certificate.
25. Absent a written agreement otherwise, who pays for private well water testing under §5-20.8-12?
Answer & explanation
Answer: B. The purchaser pays for sampling, analysis, and the potability opinion unless the parties agree otherwise in writing.
Sources
Source verification pending. Confirm current requirements with your state regulator.