Free South Carolina State Law Practice Test — LicenseIQ

Question 1

South Carolina currently has reciprocal licensing agreements with which states?

Accepted Answer

The Commission's summary of the 2024 changes identifies Georgia and North Carolina as the states with reciprocal agreements. Neighboring states like Tennessee or Florida are tempting but are not on the list.

Question 2

How many members serve on the South Carolina Real Estate Commission?

Accepted Answer

Under §40-57-50 the Commission has ten members: seven practitioners from the congressional districts, two public members, and one at-large member. Seven is tempting because it is the number of congressional-district seats, but it is not the total.

Question 3

A home sells for $400,000 with a 5% total commission. What is the total commission?

Accepted Answer

$400,000 x 0.05 = $20,000.

Question 4

Which background checks are required of a South Carolina license applicant?

Accepted Answer

Section 40-57-115 requires state (SLED) and FBI fingerprint checks plus an SSN-based check, all at the applicant's expense. The applicant also completes a criminal history form, but self-reporting alone is not enough.

Question 5

A firm's trust account earns interest. The firm may keep the interest only if:

Accepted Answer

Section 40-57-136 allows the firm to retain interest only after informing the owners and obtaining a written, conspicuous waiver.

Question 6

An associate candidate passes the national portion of the PSI exam but fails the state portion. What must the candidate do?

Accepted Answer

The PSI handbook scores the portions separately, and a candidate retakes only the failed portion within the one-year eligibility window. The 24-month figure relates to reapplying after a license denial, not to exam retakes.

Question 7

An associate receives an earnest money check. By when must the associate deliver it to the BIC?

Accepted Answer

Section 40-57-136(B)(4) requires delivery to the BIC by the next business day. The 48-hour period is the deposit deadline, which is a different step.

Question 8

On the buyer's side of the closing statement, the earnest money deposit and the new mortgage loan are both:

Accepted Answer

Earnest money and loan proceeds are sources of funds that reduce what the buyer must bring, so they are buyer credits.

Question 9

Under the statute of frauds, a real estate sales contract must be:

Accepted Answer

The statute of frauds requires real estate sales contracts to be in writing and signed to be enforceable.

Question 10

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 11

When must the owner deliver the Residential Property Condition Disclosure Statement?

Accepted Answer

Section 27-50-50(A) requires delivery before the parties sign the contract or as the contract provides.

Question 12

A property manager receives a tenant's security deposit and advance rent. These funds must be deposited in the:

Accepted Answer

Money belonging to others goes into a trust account; depositing it in an operating account is commingling.

Question 13

Which statement about the two public members of the South Carolina Real Estate Commission is correct?

Accepted Answer

Section 40-57-50 provides that the two public members are appointed by the Governor with Senate consent. The congressional-district seats are the ones filled from active practitioners, and public members by definition are not there to represent licensees.

Question 14

A life estate is measured by:

Accepted Answer

A life estate lasts for the duration of a specified person's life, then passes to the remainderman or reverts to the grantor. A fixed term describes an estate for years (a leasehold).

Question 15

When an owner dies with no will and no heirs, the property passes to the state through:

Accepted Answer

Escheat transfers ownerless property to the state when there is no will and no heirs.

Question 16

Which statement about the South Carolina smoke detector law is correct?

Accepted Answer

Section 5-25-1330(D) says the owner need not supply batteries. A first offense gets 15 days to cure, and a second offense carries a $50 to $200 fine. Section 5-25-1380 bars a private cause of action and insurance denials based on noncompliance.

Question 17

A broker received a 4.2% commission totaling $12,600. What was the sale price?

Accepted Answer

Sale price = commission / rate = $12,600 / 0.042 = $300,000.

Question 18

What is the minimum age for a South Carolina associate license?

Accepted Answer

Section 40-57-310 requires associates to be 18. Brokers and BICs must be 21, which is the tempting distractor.

Question 19

Under the Code of Ethics, commission disputes between REALTORS associated with different firms are generally resolved through:

Accepted Answer

Article 17 requires REALTORS to mediate or arbitrate contractual and specific non-contractual disputes with other REALTORS through the association.

Question 20

A seller says, 'I will pay any broker a 5% commission if they bring me a buyer.' This promise creates a(n):

Accepted Answer

In a unilateral contract only one party is bound (to pay if the act is performed); the other party has no obligation to act. Most real estate contracts are bilateral.

Question 21

In real estate, the accessibility requirements of the Americans with Disabilities Act apply mainly to:

Accepted Answer

The ADA's accessibility rules primarily cover public accommodations and commercial facilities; housing accessibility is governed mainly by the Fair Housing Act.

Question 22

A licensee representing the seller who learns the buyer will pay more than the offer must:

Accepted Answer

Loyalty and disclosure require the seller's agent to share material information that benefits the client. The agent owes the buyer-customer no confidentiality.

Question 23

Which activity may an unlicensed assistant generally perform?

Accepted Answer

Unlicensed staff may perform clerical tasks like typing licensee-prepared ads, but may not compose ads, negotiate or show property.

Question 24

A home sells for $520,000 with a 5% commission. The listing broker pays 2.5% to the buyer's broker and splits the listing side 60/40 with the listing salesperson (salesperson gets 60%). How much does the listing salesperson earn?

Accepted Answer

Total = $520,000 x 0.05 = $26,000. Buyer broker gets 2.5% = $13,000, leaving $13,000 for the listing side. Salesperson = $13,000 x 0.60 = $7,800.

Question 25

In a lease, the tenant holds a ____ estate and the landlord holds a ____.

Accepted Answer

The lessee has a leasehold (non-freehold) estate; the lessor retains the leased fee interest plus the reversion.

South Carolina real estate state law practice test

1. South Carolina currently has reciprocal licensing agreements with which states?

2. How many members serve on the South Carolina Real Estate Commission?

3. A home sells for $400,000 with a 5% total commission. What is the total commission?

4. Which background checks are required of a South Carolina license applicant?

5. A firm's trust account earns interest. The firm may keep the interest only if:

6. An associate candidate passes the national portion of the PSI exam but fails the state portion. What must the candidate do?

7. An associate receives an earnest money check. By when must the associate deliver it to the BIC?

8. On the buyer's side of the closing statement, the earnest money deposit and the new mortgage loan are both:

9. Under the statute of frauds, a real estate sales contract must be:

10. Which statement about dual agency is correct?

11. When must the owner deliver the Residential Property Condition Disclosure Statement?

12. A property manager receives a tenant's security deposit and advance rent. These funds must be deposited in the:

13. Which statement about the two public members of the South Carolina Real Estate Commission is correct?

14. A life estate is measured by:

15. When an owner dies with no will and no heirs, the property passes to the state through:

16. Which statement about the South Carolina smoke detector law is correct?

17. A broker received a 4.2% commission totaling $12,600. What was the sale price?

18. What is the minimum age for a South Carolina associate license?

19. Under the Code of Ethics, commission disputes between REALTORS associated with different firms are generally resolved through:

20. A seller says, 'I will pay any broker a 5% commission if they bring me a buyer.' This promise creates a(n):

21. In real estate, the accessibility requirements of the Americans with Disabilities Act apply mainly to:

22. A licensee representing the seller who learns the buyer will pay more than the offer must:

23. Which activity may an unlicensed assistant generally perform?

24. A home sells for $520,000 with a 5% commission. The listing broker pays 2.5% to the buyer's broker and splits the listing side 60/40 with the listing salesperson (salesperson gets 60%). How much does the listing salesperson earn?

25. In a lease, the tenant holds a estate and the landlord holds a .

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