Real Estate Sales Exam Fair Housing and Disclosures 3

Question 1

RESPA prohibits which of the following practices in real estate transactions?

Accepted Answer

Paying kickbacks for referrals between settlement service providers

Answer

RESPA Section 8 prohibits kickbacks and unearned fee-splitting arrangements between settlement service providers.

Question 2

A real estate agent learns that a home is located near a registered sex offender. In most states, the agent's disclosure obligation is governed by:

Accepted Answer

Megan's Law and state-specific disclosure requirements

Answer

Megan's Law established sex offender registries, and state laws vary on whether agents must proactively disclose proximity to registered offenders.

Question 3

Which of the following is NOT one of the original protected classes under the 1968 Fair Housing Act?

Accepted Answer

Disability

Answer

Disability was added as a protected class in the Fair Housing Amendments Act of 1988, not the original 1968 Act.

Question 4

A seller discloses that the basement floods during heavy rain. This type of disclosure is an example of:

Accepted Answer

A material fact disclosure

Answer

Known defects that could affect a buyer's decision, like flooding, are material facts that must be disclosed.

Question 5

The Equal Credit Opportunity Act (ECOA) prohibits lenders from discriminating against applicants based on:

Accepted Answer

Race, color, religion, sex, national origin, marital status, or age

Answer

ECOA prohibits credit discrimination based on protected characteristics including race, sex, national origin, marital status, and age.

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