CA Real Estate Real Estate Practice and Ethics 2 — Questions and Answers
Question 1: The California Real Estate Commissioner is appointed by whom?
- The California Legislature
- The Governor of California (Correct answer)
- The California Association of Realtors
- The State Attorney General
Correct answer: The Governor of California
The California Real Estate Commissioner is appointed by the Governor to head the California Department of Real Estate.
Question 2: Which organization enforces California's Real Estate Law and issues licenses?
- California Association of Realtors (CAR)
- National Association of Realtors (NAR)
- California Department of Real Estate (DRE) (Correct answer)
- California Bureau of Real Estate Appraisers
Correct answer: California Department of Real Estate (DRE)
The California Department of Real Estate (DRE) is the state agency that licenses and regulates real estate professionals.
Question 3: A real estate salesperson's license in California is valid for how long?
- 1 year
- 2 years
- 4 years (Correct answer)
- 5 years
Correct answer: 4 years
California real estate salesperson and broker licenses are issued for a four-year term and require continuing education for renewal.
Question 4: What is the purpose of the California Real Estate Recovery Fund?
- To fund the DRE's operating budget
- To compensate victims who suffer financial loss due to a licensee's fraud or misrepresentation (Correct answer)
- To pay for real estate education programs
- To reimburse sellers for marketing expenses
Correct answer: To compensate victims who suffer financial loss due to a licensee's fraud or misrepresentation
The Recovery Fund compensates consumers who obtain a court judgment against a licensee for fraud, misrepresentation, or deceit.
Question 5: Which of the following actions would most likely result in the revocation of a real estate license in California?
- Failing to return a client's phone call within 24 hours
- Commingling client funds with personal funds (Correct answer)
- Showing a property without an appointment
- Advertising a property with a slightly inaccurate square footage
Correct answer: Commingling client funds with personal funds
Commingling client funds with personal or business funds is a serious violation that can result in license revocation in California.
Question 6: What is the minimum age requirement to obtain a real estate salesperson license in California?
- 16 years
- 18 years (Correct answer)
- 21 years
- 25 years
Correct answer: 18 years
California requires applicants for a real estate salesperson license to be at least 18 years of age.
CA Real Estate Real Estate Practice and Ethics 2
The California Real Estate Commissioner is appointed by whom?