Maryland-Real-Estate-Salesperson Exam Dumps Pass with Updated 2026 Certified Exam Questions
Maryland-Real-Estate-Salesperson Exam Questions - Real & Updated Questions PDF
NEW QUESTION # 98
How does the income from property taxes benefit the community?
- A. It's used to determine property tax increases.
- B. It's used to fund essential services and public works.
- C. It's used to build new shopping malls.
- D. It's used to build high-end housing.
Answer: B
Explanation:
Property taxes collected by local jurisdictions in Maryland support essential public services such as schools, police and fire departments, infrastructure maintenance, libraries, and sanitation. The revenue forms the primary funding source for county and municipal budgets. These taxes do not automatically determine future tax rates; rather, they sustain ongoing community operations and improvements.
Reference:Maryland 60-Hour Course - "Land Use Controls and Property Development" topic; Maryland Tax- Property Article 6-201 and Local Government Finance Overview.
NEW QUESTION # 99
Which of the following financing types involves the sale of personal property with the real property?
- A. Security
- B. Package
- C. Wrap-around
- D. Blanket
Answer: B
Explanation:
A package loan (package mortgage) finances both real property and personal property (chattels) together in a single loan-common with new homes that include appliances or furnishings. A blanket loan covers multiple parcels; a wrap-around is junior financing that "wraps" an existing loan; "security" is not a loan type but a general concept.
References: Maryland pre-licensing topic Real Estate Financing (types of mortgages: package, blanket, purchase-money, wrap-around; treatment of personal property in financing).
NEW QUESTION # 100
What might you find in the legal description of a deed?
- A. County clerk's name
- B. Metes and bounds property description
- C. Title abstract
- D. Name of developer
Answer: B
Explanation:
Comprehensive and Detailed
A legal description precisely identifies a parcel of real estate so it can be uniquely located and distinguished from other property. In Maryland, deeds typically include one of several accepted types of legal descriptions: metes and bounds, lot and block, or rectangular survey (where applicable).
Metes and bounds describe the property boundaries using directions, distances, and reference points (monuments).
This ensures that the property can be clearly identified for conveyance and recording purposes.
Items such as the county clerk's name, developer name, or title abstract are not part of the deed's legal description.
NEW QUESTION # 101
A licensee wants to meet with her potential buyer clients face-to-face in her office. What's her reason for doing this?
- A. She wants to sell the buyers on a local neighborhood that she likes.
- B. She wants the buyers to meet her office mate.
- C. She wants to run a credit check on the buyers.
- D. She wants to make sure the buyers are serious about purchasing.
Answer: D
Explanation:
Comprehensive and Detailed
Meeting potential buyer clients in-person allows the licensee to establish agency, verify identity, discuss representation agreements, and assess buyer motivation and qualifications. Maryland's brokerage-operation standards emphasize that the licensee should determine whether prospects are ready, willing, and able to purchase before proceeding, ensuring compliance with agency-disclosure and record-keeping requirements.
NEW QUESTION # 102
When assigning a contract, what should the assignor ensure is permitted in the purchase contract?
- A. Termination
- B. A due-on-sale clause
- C. Assignability
- D. Acceleration
Answer: C
Explanation:
Comprehensive and Detailed Explanation From Exact Extract of Maryland 60-Hour Principles and Practices of Real Estate Pre-Licensing Course:
A contract assignment occurs when a buyer (the assignor) transfers his or her contractual rights to another party (the assignee) before closing.
However, this is only allowed if the original purchase contract permits assignment-that is, if it includes an assignability clause or does not prohibit assignment.
If the contract specifically states "non-assignable" or "assignment requires seller consent," the assignor must comply with those terms.
This concept appears in the Contracts and Transaction Procedures section of the course.
Reference (Maryland Source):
- Maryland 60-Hour Principles and Practices Course, Real Estate Contracts and Assignments section.
- Maryland Contract Law Principles (General Common Law on Assignability).
NEW QUESTION # 103
When an offer is prepared by a licensee for a buyer to present to a seller, who determines the amount of the earnest money offered?
- A. The buyer
- B. The broker
- C. The seller
- D. The licensee
Answer: A
Explanation:
Comprehensive and Detailed Explanation From Exact Extract of Maryland 60-Hour Principles and Practices of Real Estate Pre-Licensing Course:
The buyer determines the amount of the earnest money deposit, since it is the buyer's good-faith indication of intent to perform under the contract.
The licensee can explain customary local practices and typical deposit amounts but may not set or require a specific figure.
The offer, including the deposit amount, becomes binding only when accepted by the seller.
This is emphasized in the Contracts and Offer Preparation module, which explains that the buyer controls all offer terms, including price, contingencies, and deposit.
Reference (Maryland Source):
- Maryland 60-Hour Principles and Practices Course, Real Estate Contracts section.
- Business Occupations and Professions Article §17-322 (Improper Brokerage Practices).
NEW QUESTION # 104
Which of the following is an example of a development cost?
- A. Local density zoning rules
- B. Crime rates
- C. Lower unemployment
- D. Increased demand on infrastructure
Answer: D
Explanation:
In development analysis, costs include impacts that require public or private expenditure-for example, the increased demand on infrastructure (roads, utilities, schools, water/sewer), which necessitates capacity expansions, impact fees, or mitigation measures.
* Crime rates and lower unemployment are socio-economic conditions/impacts, not direct development costs.
* Local density zoning rules are regulatory constraints (land-use controls), not a cost in themselves (although they can influence costs).
References (Maryland Pre-Licensing Core Content):
* Maryland 60-Hour Course: "Land Use Controls and Property Development" (infrastructure capacity, impact fees, concurrency, mitigation of development impacts).
* Planning and subdivision concepts taught in Maryland curriculum (infrastructure and service demands as development costs).
NEW QUESTION # 105
To effect a transfer of title by deed, ______ must occur.
- A. Delivery and acceptance
- B. Exchange of money
- C. Deed review
- D. Judicial validation
Answer: A
Explanation:
For a valid conveyance by deed, in addition to other deed validity requirements (competent grantor, identifiable grantee, granting clause, adequate description, consideration recited, execution, etc.), there must be "delivery and acceptance". Delivery by the grantor and acceptance by the grantee are the operative acts that pass title. An exchange of money is not required to effect the legal transfer (consideration may be nominal and need not be physically exchanged at that moment). Judicial validation is not a standard requirement for voluntary conveyances.
References: Maryland pre-licensing curriculum topic "Transfer of Title" (essential elements of a valid deed; effect of delivery and acceptance).
NEW QUESTION # 106
Joe and Emma Parsons begin informally working with their neighbor Kyle, who's a real estate licensee, to find a bigger house. The parties have not signed any agreements or discussed the arrangements. This is an example of ______ agency.
- A. Unspoken
- B. Implied
- C. Executory
- D. Express
Answer: B
Explanation:
The agency module explains that agency may be created by express agreement (written or verbal) or by implication through conduct. When parties act as if an agency relationship exists-for example, a licensee regularly advising and assisting buyers without a signed agreement-this can form implied agency. Because no express (written or oral) agreement exists in this scenario, the relationship described is implied agency, created by the parties' behavior and course of dealings.
References: Maryland 60-Hour Principles and Practices of Real Estate - Agency Law: creation of agency (express vs. implied), duties arising from implied agency, and risk management.
NEW QUESTION # 107
Which of the following is a method a real estate licensee uses to determine an appropriate listing price range?
- A. Appraisal
- B. Proforma
- C. Market process
- D. Comparative market analysis
Answer: D
Explanation:
Only licensed or certified appraisers may perform an appraisal for a fee in a federally related transaction.
A real estate licensee, however, may prepare a Comparative Market Analysis (CMA) or Broker Price Opinion (BPO) to help a seller decide on a listing price or a buyer to make an offer.
A CMA compares recent sales, active listings, and expired listings of similar properties to estimate a realistic price range.
This procedure is emphasized in the "Appraisal and Valuation" module as a permitted pricing tool for real estate professionals.
Reference (Maryland Source):
- Maryland 60-Hour Principles and Practices of Real Estate Pre-Licensing Course, Valuation and CMA section.
- Business Occupations and Professions Article 17-511 (b).
NEW QUESTION # 108
A statement such as "This is a dream home with the best views in town" made by a licensee is an example of what?
- A. A lie
- B. Intentional misrepresentation
- C. Positive misrepresentation
- D. Puffery
Answer: D
Explanation:
Comprehensive and Detailed Explanation From Exact Extract of Maryland 60-Hour Principles and Practices of Real Estate Pre-Licensing Course:
Puffery refers to subjective statements of opinion or sales talk that a reasonable person would not take as a factual representation.
Phrases like "best views," "dream home," or "finest neighborhood" are considered puffing, not misrepresentation.
Maryland's pre-licensing course distinguishes puffery (legally permissible) from misrepresentation, which involves false statements of material fact that can lead to disciplinary action or liability.
Reference (Maryland Source):
- Maryland 60-Hour Principles and Practices Course, Ethical Conduct and Misrepresentation section.
- Maryland Business Occupations and Professions Article §17-322 (Grounds for Disciplinary Action).
NEW QUESTION # 109
What does a lender charge a borrower for using the lender's money?
- A. Principal
- B. Discount point
- C. Usury
- D. Interest
Answer: D
Explanation:
Interest is the cost of borrowing money, expressed as a rate applied to the outstanding principal. Principal is the loan amount itself. Discount points are prepaid finance charges used to adjust the loan's yield/interest rate. Usury refers to charging an illegally high interest rate, not the ordinary charge itself.
References: Maryland 60-Hour Course: "Real Estate Financing" (principal, interest, points; cost of funds; APR concepts).
NEW QUESTION # 110
How should all compensation related to real estate transactions be handled according to real estate law?
- A. Compensation can be handled privately between agents without broker involvement.
- B. Salespeople can receive compensation directly from mortgage brokers or title representatives.
- C. Compensation must be channeled through the salesperson's broker.
- D. All compensation must go directly to the salesperson from the seller or buyer.
Answer: C
Explanation:
Comprehensive and Detailed
In Maryland, all compensation earned by a licensed salesperson or associate broker must be paid through their supervising broker.
Salespersons are not permitted to receive direct payments from clients, customers, mortgage brokers, or other settlement service providers.
Violations can result in disciplinary action or license suspension.
Reference:
Maryland 60-Hour Principles and Practices of Real Estate Pre-Licensing Course - "Maryland License Law and Regulations" Module Md. Business Occupations and Professions Article §17-322(b)(17) - Receiving Compensation Through Proper Channel.
NEW QUESTION # 111
Kip is a sub-agent working with a buyer customer, Charlie, for Sheila's listing of May's property. To whom does Kip owe his loyalty?
- A. Sheila and Charlie
- B. Sheila and May
- C. Charlie
- D. May
Answer: D
Explanation:
Comprehensive and Detailed Explanation From Exact Extract of Maryland 60-Hour Principles and Practices of Real Estate Pre-Licensing Course:
In a sub-agency relationship, the cooperating licensee (sub-agent) works with a buyer but represents the seller, not the buyer.
Kip, as a sub-agent, owes fiduciary duties of loyalty, obedience, confidentiality, and disclosure to the seller (May), the same client represented by Sheila, the listing agent.
The buyer, Charlie, is treated as a customer, not a client, meaning no fiduciary obligations exist beyond honesty and fair dealing.
This principle is covered in Maryland's Law of Agency and Brokerage Operations modules.
Reference (Maryland Source):
- Maryland 60-Hour Principles and Practices Course, Agency Relationships and Sub-Agency sections.
- Business Occupations and Professions Article §17-530 - §17-534.
NEW QUESTION # 112
Which term is used to define a search of public records going back at least 60 years to establish a property's title history?
- A. Limited search
- B. Title examination
- C. Title report
- D. Correction deed
Answer: B
Explanation:
A title examination (title search) is a review of public records to establish the chain of title, identify liens, encumbrances, or defects, and confirm the seller's ability to convey marketable title-customarily extending
60 years or more. A title report is the product issued after the examination; a correction deed cures a specific deed error; a limited search covers a shorter period or scope.
References: Maryland 60-Hour Principles & Practices Course - Transfer of Title and Closing the Real Estate Transaction (chain of title, title search/examination vs. title report/commitment).
NEW QUESTION # 113
Manny has a client who wants to purchase a commercial building. Manny doesn't have any experience negotiating commercial purchases. Which action should Manny take to demonstrate his good faith and most ethical behavior toward his client?
- A. Tell the client about his inexperience, but say that he'd like to continue the relationship and will consult with a professional commercial broker throughout the transaction.
- B. Continue to work with the client, but not tell the client about his lack of experience.
- C. Continue to work with the client, but secretly consult with a commercial broker when he has questions.
- D. Decide to no longer represent the client.
Answer: A
Explanation:
Under Maryland's Code of Ethics and Professional Conduct, licensees must act with honesty, integrity, and reasonable skill and care.
If a licensee lacks experience in a specialized area, they must disclose that fact to the client and either refer the client or seek assistance from a qualified professional-with the client's informed consent.
By being transparent and collaborating with an experienced commercial broker, Manny fulfills his ethical obligation of competence and disclosure while protecting his client's interests.
Reference (Maryland Source):
- Maryland 60-Hour Principles and Practices Course, Ethics and Professional Conduct section.
- COMAR 09.11.02.01 - Code of Ethics for Real Estate Licensees.
- Business Occupations and Professions Article 17-322.
NEW QUESTION # 114
......
Pass Guaranteed Quiz 2026 Realistic Verified Free Real Estate: https://prep4sure.examtorrent.com/Maryland-Real-Estate-Salesperson-exam-papers.html
