Wisconsin Real Estate License Ethics & Professional Practices 3

Question 1

A buyer's agent learns the buyer plans to resell quickly for profit. Does the agent disclose this to the seller?

Accepted Answer

No, it is confidential information of the client

Answer

A client's motivation is confidential information that the agent must not disclose without consent.

Question 2

Which of the following is a material adverse fact a Wisconsin licensee must disclose?

Accepted Answer

A known structural foundation problem

Answer

A known structural defect significantly affecting the property is a material adverse fact requiring disclosure.

Question 3

Under Wisconsin's fair housing rules, refusing to show homes in certain neighborhoods based on race is called:

Accepted Answer

Steering

Answer

Steering is directing buyers toward or away from areas based on protected class characteristics.

Question 4

A licensee exaggerates that a home has 'the best view in the city.' This is generally:

Accepted Answer

Legal puffing (opinion)

Answer

Puffing is a non-factual opinion statement that is generally permissible and not fraud.

Question 5

How long must a Wisconsin broker generally retain transaction records?

Accepted Answer

At least the period required by DSPS rules (multiple years)

Answer

Brokers must retain transaction and trust account records for the multi-year period set by DSPS.

Wisconsin Real Estate License Practice Test