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WA Real Estate Practice Exam Multiple
Choices Questions with Answers.
- How are Washington commission members selected? - Correct
Ans: ✅Appointed by the governor.
- In Washington, the buyer usually pays for which of the following
title insurance policies? - Correct Ans: ✅Lender's title insurance
- Amendments to a Washington property management agreement
must be ______. - Correct Ans: ✅Written
- In Washington, a designated broker holds a ______ license. -
Correct Ans: ✅Managing broker's
- Which one of the following entities is responsible for creating
Washington real estate laws and statutes? - Correct Ans: ✅The legislature
- Licensee compensation is funneled through the broker. Who may
pay the compensation that goes through the broker? - Correct Ans: ✅A party to the transaction, a third party, or another broker
- Frank, a Washington broker, wants to open his own real estate
firm. Which of the following statements is true? - Correct Ans:
✅Frank must either hire a designated broker or be endorsed as one himself.
- In Washington, what kind of license is issued to a corporation that
performs brokerage services? - Correct Ans: ✅Firm
- In Washington, which agency is authorized to disseminate and
enforce real estate licensing laws? - Correct Ans: ✅Department of Licensing
- If a Washington real estate firm is closing, the firm's designated broker must provide an affidavit to the Washington DOL within ______ days. - Correct Ans: ✅Five
- How does Washington define subagency? - Correct Ans: ✅An agent appointed by another agent to assist the principal
- Charlie represents Sue, a buyer, in Redmond. Charlie is being paid by Claude, the seller, through his brokerage. What's true about this situation? - Correct Ans: ✅This doesn't change the agency relationships.
- For which of the following expenses will a lender most likely
require reserves? - Correct Ans: ✅Homeowner's insurance and real estate taxes
- Candidates for a Washington commission seat must have five years of brokerage experience, or ______ years of experience in a related investigative position. - Correct Ans: ✅Three
- Deana is a broker for North Washington Realty, LLC, and is the listing broker from a property. In this transaction, what kinds of compensation is Deana entitled to receive from payors other than her brokerage firm? - Correct Ans: ✅All compensation must be paid through her broker.
- Washington licensees can maintain their licenses in inactive status as long as they want. Which of the following statements about the reactivation requirement is correct? - Correct Ans: ✅Licensees with inactive licenses must continue to renew their licenses every two years.
- All new Washington licensees must submit fingerprint cards when applying for a real estate license. How often do licensees submit fingerprint cards after they receive their first license? - Correct Ans: ✅Every three renewal periods
- If the Washington DOL director determines that a complaint
has merit, must the DOL launch an investigation? - Correct Ans: ✅No. The director may determine that the violation wasn't severe enough or doesn't pose a danger to consumers.
- What's the best way to create an agency relationship in
Washington? - Correct Ans: ✅Written agreement
- Jessie works for Tri-City Homes. She's the cooperating broker on a sale made through Golden Realty. Golden Realty issues Jessie a check for her portion of the commission. Which of the following statements about this situation is true? - Correct Ans: ✅This is illegal because Jessie isn't licensed to work with Golden Realty.
- Which duty to clients in Washington generally survives
termination of the agency relationship? - Correct Ans: ✅Confidentiality
- Someone who has agency representation with a Washington
licensee is a ______. - Correct Ans: ✅Client
- What kind of research does WCRER perform? - Correct Ans:
✅Affordable housing
- Some Washington real estate brokerage records may be kept offsite if they're for transactions that closed how long ago? - Correct Ans: ✅One year or more
- Dontelle had a great experience with his apartment and landlord until about three months ago, when the plumbing in the unit above started leaking into his apartment. The landlord keeps saying he'll fix it but hasn't, and now Dontelle has mold growing
occur? - Correct Ans: ✅Implied agency and undisclosed dual agency
- Washington's director has taken steps to restrict a managing broker from supervising other brokers until after the broker's hearing has taken place. What's the official term for this type of action? - Correct Ans: ✅Summary
- Who requests authorization from the Washington Department
of Licensing to establish a branch office? - Correct Ans: ✅The designated broker
- Managing broker applicants in Washington must have three years' broker experience or ______ to qualify to take the exam. - Correct Ans: ✅Five years' experience in a closely related field
- How often is the Washington Real Estate Commission required
to meet? - Correct Ans: ✅Four times a year
- In Washington, how many hours of coursework must an applicant complete before applying for a managing broker's license? - Correct Ans: ✅ 90
- Which of the following activities must be specifically delegated in order for a Washington branch manager to perform it? - Correct Ans: ✅Handling trust accounts
- In Washington, what does it mean to have a disciplinary action
stayed? - Correct Ans: ✅The action is suspended or delayed until a future date.
- Eleanor from X Realty in Lynnwood has a new listing, and, with the seller's permission, Eleanor appointed Trent from Target Realty as her subagent. Trent brings a buyer customer to the listing, and the customer ends up buying the property. What's true about the agency relationships in this situation? - Correct Ans: ✅Trent owes his loyalty to the seller.
- If a real estate company in Washington moves to a new address, the designated broker has ________ to inform the Department of Licensing. - Correct Ans: ✅10 days
- Washington rules indicate that a designated broker may delegate to a branch manager the task of reviewing which of the following documents? - Correct Ans: ✅Contracts
- Which of the following describes a statutory duty that's
performed by a Washington managing broker? - Correct Ans: ✅Provide increased supervision for new licensees.
- Robert's Washington real estate license was immediately restricted when he received notice that a complaint had been filed against him and an investigation would follow. What's the earliest that a hearing can be held after the notice is served? - Correct Ans: ✅As soon as possible
matter, can a brief adjudicative hearing be used to resolve the issue? - Correct Ans: ✅Yes. A brief hearing process can be used for licensee or applicant issues.
- In Washington real estate, DOL stands for ______. - Correct
Ans: ✅Department of Licensing
- Harrison is the buyer's agent for a transaction in which Mary, who works for a different Washington brokerage, is listing the house for seller Graham. From whom will Harrison receive his compensation? - Correct Ans: ✅From his own brokerage
- In addition to the required education and experience to request a substitution, what must applicants for a Washington managing broker's license submit with the application? - Correct Ans: ✅Detailed resume
- How much real estate practice experience must a Washington
broker have to become a managing broker? - Correct Ans: ✅Three years
- You're representing Abe and Burt in a dual agency situation. Abe tells you something that would give Burt a distinct advantage if he knew. Do you tell Burt? - Correct Ans: ✅No, because you can't share one client's confidential information with another client.
- Golden Years Realty elects to use closing and title companies to manage earnest money deposits. Jessica, a broker with Golden Years, gets a receipt from Equity Title for an earnest money deposit from a buyer. What must she do with the receipt? - Correct Ans: ✅Present it to the firm's designated broker for placement in the transaction file.
- Terry represents Farrah, the seller of a property in Seattle. Michael is representing Troy, the buyer. Who is/are the principal(s) in this transaction? - Correct Ans: ✅Farrah and Troy
- A Washington managing broker is allowed to complete certain tasks related to licensee supervision, but only if those tasks are ______ by the designated broker. - Correct Ans: ✅Delegated
- Tracy, a Washington broker, is working with buyers on two transactions. Both buyers want to look at houses all day on the coming Saturday. Tracy asks her brother, who's also a broker, to show homes to one of the buyers, saying she'll give him part of her commission as a referral fee when the buyers purchase a home. Which of the following statement about this is true? - Correct Ans: ✅Tracy can pay a referral fee to her brother as long as the payment is processed through her brokerage firm.
- Which of these is an example of commingling in Washington? -
Correct Ans: ✅Mixing earnest money with personal funds
- What's true about broker responsibilities in Washington? -
Correct Ans: ✅They include but aren't limited to those in the regulations.
- Which of the following must always be disclosed to parties in a transaction in order to adhere to Washington standards of professional conduct? - Correct Ans: ✅A broker's personal interest in a property
- Firm names in Washington must be unique, which means they can't be similar to the name of any other national firm or local firm in the same area, and they should not be misleading in any way. Which of the following would be most appropriate for a small, local firm? - Correct Ans: ✅Perfectly at Home Real Estate
- The primary purpose of the Real Estate Settlement Procedures
Act is to ensure that Washington buyers ______. - Correct Ans: ✅Know all settlement costs up front
- Who provides real estate-specific information in a Washington
disciplinary investigation? - Correct Ans: ✅A member or members of the commission
- In Washington, an agency's duties are determined by ______. -
Correct Ans: ✅Statute
- In order for a licensed firm to share commissions with another
firm, what must be true of the second firm? - Correct Ans: ✅It must be licensed to do business with the original firm.
- Tera opened her own brokerage firm, and she's working within a strict budget. She opens a checking account that she uses for both operating funds and to hold earnest money deposits. This is an illegal practice called ______. - Correct Ans: ✅Commingling
- Which of the following requirements would a Washington licensee renewing for the first time be required to complete that isn't required for a second renewal? - Correct Ans: ✅30 hours of advanced practice
- Which of the following statements about an expired real estate
license in Washington is correct? - Correct Ans: ✅Expired licenses are considered inactive until renewal is complete.
- Carlotta is performing brokerage duties in Washington though she doesn't yet have her real estate license. What provision in Washington's licensing law permits Carlotta to do this? - Correct Ans: ✅If she's passed her licensing exam and submitted all application materials, she can work under a temporary license.
- Howard is a managing broker in Spokane. His licensees, Jane and John, represent two sides in a single transaction. Jane represents the seller; John represents the buyer. What role does
transaction. Mark is acting as a ______. - Correct Ans: ✅Transaction coordinator
- Who, with the advice and support of the Washington Real Estate Commission, establishes rules and regulations and enforces real estate licensing law in Washington? - Correct Ans: ✅DOL director
- Margaret initially showed a property to Trina, who decided not to make an offer at that time. Two weeks later, without notifying Margaret, Trina made an offer on the property through another brokerage firm. What term relates to the party (Margaret) who started the chain of events that led to this sale? - Correct Ans: ✅Procuring cause
- Which of the following statements about trust account service charges, fees for checks, and other administrative charges for a pooled account is true? - Correct Ans: ✅Bank charges are business expenses of the real estate firm and may not be funded through the accrued interest or trust funds deposited in a pooled account.
- Which of the following sanctions would be most appropriate for a Washington licensee who generally does a good job of following licensing laws, but has received several complaints about incorrectly completed contract forms? - Correct Ans: ✅Satisfactory completion of prescribed training
- If a listing agreement doesn't state that the listing broker is permitted to share compensation with a cooperating broker, which of the following statements is true about a cooperating (selling) broker's responsibility under Washington law? - Correct Ans: ✅The cooperating brokerage firm may decline to show to the buyer any properties for which there is no compensation agreement with the listing broker.
- Roberto has been a managing broker for 15 years. He's been offered a position with the Washington State Department of Licensing. Which of these statements about this situation is true? - Correct Ans: ✅In order to accept the DOL position, Roberto must inactivate his license.
- In Washington, brokers who supervise other brokers are called
______. - Correct Ans: ✅Managing brokers
- In Washington, licensees renewing for the first time will complete ______ hours in advanced practice coursework, ______ hours in real estate law, ______ hours of continuing education coursework, and a ______-hour core course. - Correct Ans: ✅30, 30, 27, 3
- Jerry, a Washington licensee, is holding an open house for a property he's listing. He speaks to several visitors, but none of them discuss making an offer. What are these visitors called? - Correct Ans: ✅Customers
- Which of the following factors related to the property purchased will have the greatest impact on closing costs? - Correct Ans: ✅Sales price
- Select the statement that best describes how to handle a
Washington tenant's security deposit. - Correct Ans: ✅The landlord or property manager must deposit security deposits in a trust account.
- Joy, who has no experience in real estate, has passed her Washington broker's license exam. Which of the following is true about Joy's license? - Correct Ans: ✅Joy must be affiliated with an actively licensed firm to apply for her license.
- In addition to routine audits, real estate company audits may
be conducted under what circumstances? - Correct Ans: ✅If a previous audit revealed violations
- Tanya has been a closing officer at Integrity First Title Company for eight years. She has a bachelor's degree in business finance. Which of the following statements is correct regarding her experience and the related Washington managing broker's exam?
- Correct Ans: ✅Even without a degree, Tanya's eight years of experience as a closing officer will likely qualify her.
- In Washington, designated brokers must ensure that all contracts are submitted for recordkeeping at the brokerage no
more than ______ days after the parties sign the contract. - Correct Ans: ✅Two
- As part of a designated broker's supervisory responsibilities, the broker must review brokerage service contracts involving which licensees? - Correct Ans: ✅Licensees with fewer than two years of experience
- What must a Washington broker disclose to all parties in
writing prior to signing a purchase offer? - Correct Ans: ✅Whether the broker represents one or more of the parties
- When is a Washington real estate license required? - Correct
Ans: ✅When performing real estate activities for others, for compensation of any kind
- Which of the following is the correct order of steps in getting a
Washington real estate license? - Correct Ans: ✅Complete required coursework, take licensing exam, affiliate with a firm, apply for license
- What's the relationship between the Loan Estimate and the
Closing Disclosure used in Washington transactions? - Correct Ans: ✅Lenders issue the Loan Estimate within three days of receiving an application, and Closing Disclosure figures should be similar to the loan estimate.
