Real Estate - Prep Edge SC1 - SC4

Erin is purchasing a new house in South Carolina for $160,000. She's financing 90% of the sales price. What does the Consumer Protection Code permit in terms of prepayment penalties?

A. A prepayment penalty isn't permitted on any loans.

B. A prepayment penalty isn't permitted on Erin's loan because the loan is for $150,000 or less.

C. A prepayment penalty is permitted but can't be more than 2% of the prepaid amount.

D. A prepayment penalty is permitted if the APR on Erin's loan is 2% more than rates on conventional mortgages.
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Erin is purchasing a new house in South Carolina for $160,000. She's financing 90% of the sales price. What does the Consumer Protection Code permit in terms of prepayment penalties?

A. A prepayment penalty isn't permitted on any loans.

B. A prepayment penalty isn't permitted on Erin's loan because the loan is for $150,000 or less.

C. A prepayment penalty is permitted but can't be more than 2% of the prepaid amount.

D. A prepayment penalty is permitted if the APR on Erin's loan is 2% more than rates on conventional mortgages.
B. A prepayment penalty isn't permitted on Erin's loan because the loan is for $150,000 or less.

Prepayment penalties aren't permitted on loans of $150,000 or less. For other loans, a prepayment penalty may be charged if the loan's APR isn't more than 2% above the conventional mortgage rate and the penalty isn't more than 2% of the amount prepaid.
Georgina is selling her South Carolina home to Stanley at a price of $250,000. Stanley is financing 80% of the purchase. How much will the transfer fees be?
$925

Transfer fees can be assessed on real property sales at a rate of $1.85 per $500 of the sales price. In other words, $250,000 ÷ $500 = 500 × $1.85 = $925.
Dean qualifies for the homestead exemption in South Carolina. How long has he been a resident of the state?
At least one year as of December 31 of the year before application

Homestead exemption applicants must have been a South Carolina resident for at least one year on or before December 31 of the year prior to applying for exemption. In other words, if Dean is applying for homestead exemption starting in 2020, this means that on December 31, 2019 he must have been a South Carolina resident for at least one year. Keep in mind that residency isn't the only factor that qualifies someone for homestead exemption. The applicant must also have fee simple or life estate ownership of their primary residence and either be at least 65 years of age, 100% disabled, or legally blind.
Gwendolyn qualifies for the South Carolina homestead exemption. Her property is valued at $175,000. Up to what amount of her property's value is exempt from property taxation?
$50,000

The Homestead Exemption Law provides South Carolina residents with some relief on their tax bills. For those who qualify, the first $50,000 of their property's value is exempt from property taxation. So for Gwendolyn, whose property is valued at $175,000, only $125,000 of the property's value may be subject to property taxes. $50,000 of the value is exempt from these taxes.
After being evicted for late payment, under South Carolina law what action might the landlord legally take if the tenant left belongings behind?
The landlord can place the tenant's belongings on the curb and have them removed by the local trash haulers 48 hours after eviction.

The landlord may place an evicted tenant's personal possessions by a public street or highway and have them removed by the trash haulers on their scheduled run, or remove them for disposal 48 hours post-eviction.
Which of these would be considered a lawful tenant complaint against a landlord about a health and safety issue?

A. An unheated breezeway in the common area
B. A fire hazard the tenant caused
C. An allergy to a neighboring tenant's cooking smells
D. A pest intrusion
D. A pest intrusion

Tenants may not make a complaint against a landlord for an unsafe issue the tenant caused or for nuisances, such as an unheated breezeway (a breezeway is an outdoor, roofed passageway, such as a covered walkway between the building and a parking area) or smells emanating from neighbor's units. A pest intrusion can be a health or safety issue that should be reported to the landlord.
Which of these South Carolina transactions requires that property disclosures be provided to the buyer?

A. A house for sale by owner
B. A transfer pursuant to a court order
C. A transfer between spouses due to a divorce decree
D. A transfer between government agencies
A. A house for sale by owner

Generally, a sale of a property, regardless of whether the owners sell the property themselves or solicit the help of a real estate licensee, requires disclosure. The disclosure wouldn't be required if the property is being transferred as the result of a court order or divorce decree, or if it was being exchanged between government agencies. Other types of transfers are exempt, too, so make sure you're familiar with these.
Stacey's South Carolina home has been sold as a result of foreclosure proceedings. Does she need to provide the purchaser with a property disclosure statement?
No, transfers resulting from foreclosure sale are exempt.

Generally, the residential property condition disclosure statement must be provided for sales or exchanges, installment land contracts, and leases with an option to buy if the transaction is for existing residential properties with one to four dwellings. However, certain transfers are exempt from this disclosure requirement, including transfers resulting from a foreclosure sale.
Which of these lists includes all the protected classes recognized in South Carolina?

A. Race, color, religion, sex, handicap, familial status, and national origin

B. Race, color, religion, sex, handicap, familial status, and sexual orientation

C. Race, color, religion, sex, handicap, familial status, national origin, age, and sexual orientation

D. Race, color, religion, sex, handicap, familial status, national origin, and age
A. Race, color, religion, sex, handicap, familial status, and national origin
Under the South Carolina Fair Housing Law, there's a fair housing exemption for ______.

A. The rental of an apartment in a multi-story building
B. The rental of a room by the occupant of public housing
C. The restriction of all rooms in a housing accommodation (e.g., a dormitory) to individuals of the same sex
D. The sale, rental, and lease of accommodations of housing exclusively to persons of a particular race
C. The restriction of all rooms in a housing accommodation (e.g., a dormitory) to individuals of the same sex

In South Carolina, single-sex housing accommodations (such as dormitories) are exempt from fair housing law.
Kacey sold her house in South Carolina. At closing she provided an affidavit confirming that the home had functioning smoke detectors installed. A couple weeks after closing, the buyer discovered that the smoke detectors don't work. What's Kacey's liability in this situation?Kacey isn't liable after closing has occurred. Buyers can inspect the property for smoke detector functionality before closing. At closing, sellers provide an affidavit stating smoke detectors are installed and functional. After closing, sellers are no longer liable for functionality.Toby owns a single-family manufactured home in South Carolina that's occupied by a tenant. Is this property subject to South Carolina smoke detector laws? A. No, manufactured homes aren't subject to smoke detector laws in the state. B. No, tenant-occupied properties aren't subject to smoke detector laws in the state. C. Yes, all one- and two-family residential properties are subject to smoke detector laws in the state. D. Yes, all residential dwellings of any type and size are subject to smoke detector laws in the state.C. Yes, all one- and two-family residential properties are subject to smoke detector laws in the state. South Carolina law requires smoke detectors be installed in all one- and two-family residential properties, including manufactured homes, regardless of whether the property is owner- or tenant-occupied.One of the criteria to qualify for homestead exemption in South Carolina is, by December 31 of the year prior to application, residents must be 65 years old, be legally blind, or be ______.Totally and permanantly disabledErin is purchasing a new house in South Carolina for $160,000. She's financing 90% of the sales price. What does the Consumer Protection Code permit in terms of prepayment penalties? A prepayment penalty isn't permitted on any loans. A prepayment penalty isn't permitted on Erin's loan because the loan is for $150,000 or less. A prepayment penalty is permitted but can't be more than 2% of the prepaid amount. A prepayment penalty is permitted if the APR on Erin's loan is 2% more than rates on conventional mortgages.A prepayment penalty isn't permitted on Erin's loan because the loan is for $150,000 or less.A fire occurred in the unit that Tim is leasing and the unit is no longer habitable. The cause of the fire was due to electrical issues in the kitchen. What remedy does Tim have?Tim may notify the landlord in writing within seven days of his intent to terminate and vacate.Who's responsible for completing the South Carolina Residential Property Condition Disclosure Statement?The sellerWhat must a consumer do to initiate an investigation into possible fair housing violations in the state of South Carolina?Submit a written complaint to the Human Affairs CommissionTony is a South Carolina resident. He's shopping for a home loan and has received the following offers. Which of these loans violates Consumer Protection Code? A 10-year loan with a 5% annual interest rate A 20-year loan with a 9% annual interest rate A 30-year loan with a 6% annual interest rate A 35-year loan with a 7% annual interest rateA 20-year loan with a 9% annual interest rateIn South Carolina, an assessment ratio is applied to what value to calculate the assessed value of a property?Fair Market ValueTo qualify for the homestead exemption in South Carolina, the owner must hold either a life estate or ______ to the residence.Complete fee simpleIn South Carolina, fair housing complaints must be submitted to the commission in writing within how many days of the discriminatory act?180 daysWhich of these transactions is exempt from the disclosure requirements of the South Carolina Residential Property Disclosure Act? A condo lease that offers the lessee the option to buy A court-ordered sale due to the owner's failure to pay state taxes A house for sale by owner A house listed for sale by a real estate licenseeA court-ordered sale due to the owner's failure to pay state taxesA second home along the South Carolina coast has a fair market value of $175,000. The local millage rate is .285. What can the owner expect to pay in property taxes?$2,992.50Joe is in violation of South Carolina's smoke detector laws because the detectors installed on his property don't work. Within how many days must he repair or replace the detectors?15 daysWhich of the following laws or acts does the South Carolina Human Affairs Commission specifically enforce? Age Discrimination in Employment Act Civil Rights Act Federal Fair Housing Act South Carolina Human Affairs LawSouth Carolina Human Affairs Law The South Carolina Human Affairs Commission specifically enforces the South Carolina Human Affairs Law, as well as the South Carolina Fair Housing Law and the South Carolina Equal Enjoyment and Privileges to Public Accommodations Law to eliminate and prevent discrimination related to both employment and housing in the state.Under South Carolina law, the landlord can begin the eviction process after the tenant is how many days late with rent?5 daysIn order for a South Carolina resident to qualify for the homestead exemption, they must own their property as either complete fee simple or ______.Life EstateUp to what amount is exempted from property taxes for those who qualify for the state homestead exemption?$50,000Stacey's South Carolina home has been sold as a result of foreclosure proceedings. Does she need to provide the purchaser with a property disclosure statement?No, transfers resulting from foreclosure sale are exempt.Which of these transaction types requires disclosure under the South Carolina Residential Property Disclosure Act? A lease with an option to purchase Transfers due to court order Transfers from one or more co-owners to one or more other co-owners Transfers to a beneficiary as a result of a foreclosure sale or deed in lieu of foreclosureA lease with an option to purchaseToby owns a single-family manufactured home in South Carolina that's occupied by a tenant. Is this property subject to South Carolina smoke detector laws?Yes, all one- and two-family residential properties are subject to smoke detector laws in the state.After a tenant raised a concern about mold in the bathroom, the landlord retaliated against the tenant. The tenant may be able to recover up to ______________________. Six months' rent, plus reasonable attorney fees The greater of one year's rent or 10 times the damages, plus reasonable attorney fees Three months' rent or triple damages, plus reasonable attorney fees Two months' rent, plus reasonable attorney feesThree months' rent or triple damages, plus reasonable attorney feesIn South Carolina, what assessment is ratio applied to commercial properties?6%Abigail is a consumer in South Carolina who's closing on a mortgage. Which statement related to her legal representation is true? The borrower has no rights related to legal counsel representation at closing. The borrower has the right to choose legal counsel to represent them at loan closing. The borrower must seek permission from the lender to have legal counsel representation at loan closing. The lender has the right to choose the legal counsel to represent the borrower at closing.The borrower has the right to choose legal counsel to represent them at loan closing.Wayne and Sandy are moving to a cabin they own in the country. They decide to sell their South Carolina home in the city to their son, Robbie, for an amount equal to what they currently owe on the mortgage. Does this transaction require the residential property condition disclosure statement?No, transfers to direct descendants of one or more of the transferors are exempt.One of the criteria to qualify for homestead exemption in South Carolina is, by December 31 of the year prior to application, residents must be totally and permanently disabled, legally blind, or ______.65 years oldIn South Carolina, what assessment ratio applies to owner-occupied primary residences?4%You're a South Carolina licensee engaged as a transaction broker for a customer in a real estate transaction. Which of these actions can you perform for that customer? A. Recommend terms. B. Negotiate an agreeable price. C. Advocate for the customer. D. Process paperwork.D. Process paperwork. A transaction broker can perform ministerial duties, such as assisting with paperwork, but may not provide representation, advocate, or negotiate for either party. These are obligations of agents to their clients. A transaction broker is serving in a non-agent capacity.What duty does a South Carolina listing agent owe to buyers? A. Confidentiality of information shared by the buyer B. Obedience C. Honest treatment D. Putting the buyer's interests ahead of their client'sC. Honest treatment One of the duties an agent owes a customer (and any other party they encounter related to the transaction) is honest treatment. Agents cannot lie to their client or anyone else involved in the transaction. This would be misrepresentation and would threaten the agent's license. Obedience, confidentiality, and putting a principal's interests first are all obligations an agent owes to their clients, not customers.Which of the following statements is true of the required disclosure of real estate brokerage relationships information? A. It establishes a brokerage relationship between the brokerage firm and the consumer. B. It establishes an employment contract between a licensee and real estate firm. C. It informs consumers about the relationships offered by a real estate brokerage firm. D. It establishes a customer relationship between a brokerage firm and a consumer.C. It informs consumers about the relationships offered by a real estate brokerage firm. The required South Carolina disclosure information doesn't establish any kind of relationship. It simply explains to consumers the types of relationships permissible in South Carolina. Agency relationships in the state can only be created with a written, signed agreement. This agreement is different than the agency disclosure form. Non-agency relationships don't require a written, signed agreement, but it's still best to put an agreement in place so all parties clearly understand the scope of the relationship, duties they can expect, and what actions shouldn't be expected.Which of these would NOT be considered first substantive contact with a customer? A. Asking a couple why they want to move from their gorgeous home B. Finding out information about a customer's job and an upcoming raise and bonus C. Discussing how much savings the customer has D. Engaging in small talk about the weather and the desire to buy propertyD. Engaging in small talk about the weather and the desire to buy property First substantive contact generally means at a time before discussing financial, confidential, or motivational information with a consumer. Small talk generally doesn't fall under substantive conversation, but licensees should tread lightly. If it appears the conversation could turn substantive, the licensee should pause and provide the required agency disclosureJamie wants to establish an agency relationship with a South Carolina broker. How can this be done?Through a written agreement In South Carolina, an agency relationship can ONLY be established through a written, signed agreement. Implied agency (through behaviors) isn't recognized as creating an agency relationship in this state, and oral agreements won't cut it either. While a non-agency relationship can be established without a written agreement, we still recommend having a written agreement in place that clearly outlines the scope and duties of the relationship for all parties involved.What happens if a house for sale is destroyed by a flood before the representation agreement expires? A. The agent and client most likely will agree to terminate agency. B. Agency terminates by act of the agent or client. C. Agency continues until the representation agreement expires. D. Agency terminates by operation of law.D. Agency terminates by operation of law. When property is destroyed, agency terminates by operation of law. Expiration, completion or performance, death of a principal, and bankruptcy also fall under the termination by operation of law category. Mutual agreement, revocation by client, and renunciation by agent are all considered termination by action.Which of the following statements about South Carolina listing agreements' term length is true? A. The term automatically renews after a specified period of time. B. The term has a specified start and end date. C. The term has a specified start date, but the end date remains open to allow flexibility. D. The term for the contract must begin on the day the seller signs the agreement.B. The term has a specified start and end date. The listing agreement term, and this is also true of buyer representation agreements, has specific beginning and ending dates. Often it includes a specific end time, such as 11:59 p.m. or midnight. South Carolina law requires a specific end date for agency relationships. Upon the expiration of an agreement, the broker and consumer can enter into a new agreement should they want to continue working together, but the original agreement doesn't automatically renew.Andrew, a South Carolina licensee, represents a buyer who's interested in a home that a seller client of Andrew's has on the market. Both clients have already given their consent to consider dual agency representation. Before proceeding with representing both parties, what must Andrew do?Have both parties confirm their agreement with the dual agency relationship by signing a dual agency agreement. Andrew must confirm both parties' agreement to a dual agency relationship via written, informed consent. This is provided on the dual agency agreement that modifies the listing or buyer representation agreements that were entered into previously. An oral agreement is never enough when it comes to agency agreements, and remember that the original agency agreement simply asks whether the client will consent to dual agency. The dual agency agreement form will provide clients with information about the dual agent's role, including which information the agent must not disclose to the other party, the seller's and buyer's roles, and the duration of the agreement.What type of liability is a broker in charge in South Carolina subject to?VicariousWhich of the following statements about South Carolina listing agreements' term length is true? The term automatically renews after a specified period of time. The term for the contract must begin on the day the seller signs the agreement. The term has a specified start and end date. The term has a specified start date, but the end date remains open to allow flexibility.The term has a specified start and end date.From an agent's perspective, what's one benefit of a buyer representation agreement? It defines how and how much you will be paid. It elevates the services the buyer will receive. It ensures the buyer will receive exclusive representation. It's legally required in order to work with buyers.It defines how and how much you will be paid.When the client or the agent dies, agency terminates by ______.Operation of lawWhat happens when a representation agreement expires? Agency can be rescinded if both parties agree. Agency terminates. The agent has the option to renounce the seller. The principal has the option to abandon the agent.Agency terminates.Brent wants to work with a real estate broker as a buyer client. How can he do this? Sign a buyer representation agreement. Sign a Disclosure of Real Estate Brokerage Relationships. Sign a listing agreement. Sign a transaction brokerage agreement.Sign a buyer representation agreement.Which of these statements about duties is true if a South Carolina licensee is acting as a dual agent? Agency duties may be limited. Clients receive the same duties whether the licensee is acting as a single agent or dual agent or not. Licensees are unable to maintain confidentiality. Licensees can disclose one client's willingness to pay or accept a price other than list price to the other party.Agency duties may be limited.When must South Carolina licensees provide the Disclosure of Real Estate Brokerage Relationships to consumers?At first substantive contact before entering into an agency relationshipWhich of the following must be included in a buyer agency agreement? An automatic renewal clause A two-year termination Standardized real estate commission The licensee's duties and responsibilities to the buyerThe licensee's duties and responsibilities to the buyerIn a designated agency relationship, certain parties are considered dual agents. Who? Broker and associated licensees Designated agent for the buyer Designated agent for the seller Licensees from other brokeragesBroker and associated licenseesHilda chose not to enter into an agency relationship with a broker to help her find and purchase a house. What types of services can she expect in return? Agency services Client-level services Customer-level services Fiduciary servicesCustomer-level servicesShania is a South Carolina licensee. Where can she find which agency relationships are permitted in her brokerage?Brokerage written policy manualWhich of the following items is part of a South Carolina agency agreement? Closing date Description of services to be performed Financing contingency Sale priceDescription of services to be performedAgency terminates by ______ when either the client or the agent files for bankruptcy.Operation of LawFrank is representing Jonathan in the sale of his South Carolina home. A buyer approaches Frank at Jonathan's open house, and Frank agrees to represent her in purchasing Jonathan's house. What must Frank do to avoid an illegal dual agency situation?Obtain dual agency consent from all parties.In South Carolina, when should you present the agency disclosure form to a potential client?At first substantive contactWhen agency terminates when a listing agreement expires, the seller is free to ______. Accept an offer from a protected buyer without paying a commission to the broker Immediately close all monetary accounts without balancing them Share confidential information about the property Work with another licenseeWork with another licenseeWhich term best describes the duties a dual agent owes to both clients? Fiduciary Full Lengthy LimitedLimitedWhat's true of the agency relationship in transaction brokerage? Designated agency is created in transaction brokerage. Dual agency is created in transaction brokerage. No agency relationship is created in transaction brokerage. Traditional agency is created in transaction brokerage.No agency relationship is created in transaction brokerage.Which of the following is a duty a designated agent can perform, but a dual agent can't? Disclose known, adverse material facts. Keep motivations of clients confidential. Negotiate on the client's behalf. Present offers.Negotiate on the client's behalf.Victor is interested in obtaining a real estate salesperson license in South Carolina. He's reviewing the eligibility requirements for the license and researching schools that offer pre-licensing education. Which entity determines these?South Carolina Real Estate Commission The South Carolina Real Estate Commission (created under LLR) has the power to administer and enforce real estate license law, including determining qualification and eligibility standards for license applicants and education providers.Which of the following actions extends beyond the scope of duties of the South Carolina Real Estate Commission? A. Making recommendations for legislative changes and promulgating real estate regulations related to the public's protection, safety, and welfare. B. Deciding commission payments or divisions when disputes between licensees arise. C. Holding disciplinary hearings for real estate law and regulation violations and determining disciplinary actions for these violations. D. Investigating real estate brokerages and offices to ensure compliance with real estate license law.B. Deciding commission payments or divisions when disputes between licensees arise. The commission has many duties to enact as it fulfills its purpose to regulate the real estate industry so as to protect the public's interest. Actions include determining qualification and eligibility standards, holding disciplinary hearings, making legislative recommendations, setting fee schedules, and investigating complaints. The South Carolina Real Estate Commission, however, doesn't get involved in disputes related to commission or fee payments.Tom is an unlicensed individual helping his sister Katie find a new house in return for a trip to Europe. Which of the following activities can Tom legally perform in South Carolina? A. He can imply to others that he's Katie's real estate agent. B. He can negotiate the sale of Katie's old house. C. He can search real estate websites and resources to find available homes in the area. D. He can negotiate the purchase a new property for Katie.C. He can search real estate websites and resources to find available homes in the area. The only activity listed that Tom can legally perform is to search real estate websites and resources to help Katie find a new house. The other actions, because he's receiving valuable consideration in return, would require Tom to hold a real estate license. These are all activities that if performed for others for compensation or other valuable consideration require an active real estate license.In which of these scenarios would the consumer need a South Carolina real estate license? A. Mickey is selling his own home and isn't using the services of a listing agent. B. Ronald is acting as executor of his uncle's estate, which includes selling the property his uncle owned. C. Jessie is negotiating the purchase a new home for a friend moving into town. Her friend will compensate her 2% of the sale price for her time and effort. D. Peter is helping his sister Kristen secure a lease on a new apartment and will not be compensated in any way.C. Jessie is negotiating the purchase a new home for a friend moving into town. Her friend will compensate her 2% of the sale price for her time and effort. Licensure is nearly always required when performing real estate activities for others for compensation, but exceptions are made in specific circumstances. These exemptions include property owners selling or leasing their own property, attorneys providing legal representation and acting within the scope of those duties, government agencies or their employees performing official duties, foresters selling land that's incidental to the sale of the timber on that land, and individuals acting within their scope as court-appointed receivers or trustees.Which of the following is generally true about net listings? The listing agent is guaranteed at least some commission. They don't include compensation for the buyer's agent. They often involve a conflict of interest. They're legal in all 50 states.They often involve a conflict of interest.When are designated agents permitted to disclose confidential information to their broker?When the designated agent is seeking advice or assistance for the client's benefitSandy has a listing with Jason at Fairview Realty. When Sandy's fiancé loses his job, Sandy decides to take her house off the market. Jason agrees, and agency is ______. Postponed indefinitely Renounced by the agent Revoked by the client Terminated by mutual agreementTerminated by mutual agreementBuyers in a transaction are owed duties from the seller's agent. Which of these are duties they can expect? Confidentiality and actions performed within scope of expertise Honesty and actions performed within scope of expertise Honesty and confidentiality Honesty and disclosureHonesty and actions performed within scope of expertise Agents owe other parties honesty and a commitment to performing only those actions that are within the scope of their expertise. The agent can't knowingly provide false or misleading information.Reba is pleased that her agent, Jerry, has helped her sell her property. What happens to their agency relationship after the sale? It continues until Jerry renounces their agreement. It continues until Reba revokes their agreement. It's been terminated by completion of their goal to sell the property. It terminates when Reba and Jerry mutually agree to end the agreement.It's been terminated by completion of their goal to sell the property.Ryan has engaged Jaclyn as his real estate agent to purchase a property. According to South Carolina statute, what does Jaclyn owe Ryan? Perform an inspection to uncover any defects on properties Seek a property at a price and terms acceptable to Ryan Sell her own property if Ryan does not find a property to purchase by the end of the agreement period Share any and all details requested by a sellerSeek a property at a price and terms acceptable to RyanCarlos wants a real estate broker to help him sell his lake house. He expects top-notch, full services. How can he get this?sign a listing agreementWhat does a designated agency agreement do to the listing and buyer representation agreements a broker already has in place? Modifies Replaces Revokes TerminatesModifies A designated agency agreement modifies any original listing and buyer representation agreements the broker has in place. The agreement highlights what buyers and sellers should expect when agreeing to a designated agency relationship.What duty does a buyer's agent owe to sellers? Confidentiality of information shared by the seller Honest treatment Obedience Putting the seller's interests ahead of their client'sHonest treatmentWhich of the following is a statutory duty an agent owes to seller clients? Disregard fair housing regulations. Negotiate a sale that meets the buyer's objectives. Receive and present all offers in a timely manner. Share confidential information shared by the seller with the buyer's agent.Receive and present all offers in a timely manner.When Sam and Lisa first signed their buyer representation agreement, they filled it out based on the three-bedroom ranch home they had their eyes on. Then they found a four-bedroom converted barn that they fell in love with. If they want to make an offer on the barn home, does their representation agreement still stand? No, because the representation is based solely on the type of home listed in the agreement. No, the agreement is void. Yes, as long as they fill out an amendment form adding the barn home to the list. Yes, the agreement serves as a commitment to the agency representation, not a specific home.Yes, the agreement serves as a commitment to the agency representation, not a specific home.Ned's listing agreement expires on November 5. What does he need to do to terminate this agreement?Nothing. It automatically expires on November 5.According to South Carolina law, buyers and sellers are defined as customers if they ______.Choose not to establish an agency relationship with a brokerJim is a listing agent in South Carolina. What offers must he present to his client, and when?He must present all offers as soon as practicable.On which item will a South Carolina's broker compensation details be defined?Agency agreementWhich of the following South Carolina license holders has completed the necessary continuing education requirements for license renewal? A. A licensee completed 15 hours of continuing education, and three of those hours focused on mandated topics. B. A salesperson completed 10 hours of continuing education, with four of those hours on mandated topics. C. A broker-in-charge completed 10 hours of continuing education; four of those hours were on mandated topics. D. A broker completed 10 hours of continuing education, and four of the hours were on advanced topics.B. A salesperson completed 10 hours of continuing education, with four of those hours on mandated topics. Each salesperson and broker licensee must complete 10 hours of continuing education (CE) during the two years leading up to renewal. Salespersons and brokers must take at least four of the 10 hours on mandated topics. A broker-in-charge must also complete four hours in advanced topics as part of their 10 hours.Which of these South Carolina real estate license holders is considered to have an active license? A. John, a salesperson whose license renewal was due last week. He hasn't yet completed his continuing education requirements. B. Stephanie, a broker whose license was revoked last month. C. Sal, a broker-in-charge whose license was suspended last week for a period of one year for failure to adequately supervise. D. Claudia, a salesperson who is lawfully representing clients in real estate transactions.D. Claudia, a salesperson who is lawfully representing clients in real estate transactions. Active status is used to describe licenses that are current and valid. Only those with an active license can practice real estate. John, Stephanie, and Sal all hold inactive licenses due to the licenses lapsing, being revoked, or being suspended. Claudia is the only one holding an active license.Which of the following South Carolina licensees are allowed to work independently, without being supervised? Brokers Brokers-in-charge Licensees with at least five years' experience SalespersonsBrokers-in-chargeNathan assisted with the purchase of a commercial building in South Carolina that will be used as a community center. He doesn't hold a real estate license, yet his actions didn't violate any license laws. What must be true about Nathan's situation? He received less than a $1,000 commission for the transaction. Nathan is an employee of a government agency whose official duties include real estate transactions. The building was purchased by Nathan's church. The commercial building was valued at less than half-a-million dollars.Nathan is an employee of a government agency whose official duties include real estate transactions.Which of the following actions extends beyond the scope of duties of the South Carolina Real Estate Commission? Deciding commission payments or divisions when disputes between licensees arise. Holding disciplinary hearings for real estate law and regulation violations and determining disciplinary actions for these violations. Investigating real estate brokerages and offices to ensure compliance with real estate license law. Making recommendations for legislative changes and promulgating real estate regulations related to the public's protection, safety, and welfare.Deciding commission payments or divisions when disputes between licensees arise.Jillian is a licensed broker-in-charge in South Carolina. Salesperson Charles, broker Josephine, and unlicensed assistant Nick also work at the brokerage. Who supervises whom?Jillian supervises everyoneKathy Lee is up for her first renewal of her South Carolina salesperson license. How many hours of continuing education must she complete?10 hours every 2 yearsWhat purpose does the South Carolina Real Estate Commission serve?To regulate the real estate industry to protect the public's interest when involved in real estate transactions.Amanda helps her neighbor sell his South Carolina home by assisting with negotiations. She receives no compensation for her assistance. Based on this one transaction, Amanda ______. Doesn't need a real estate license Must have a broker license Must have at least an associate broker license Must have at least a salesperson licenseDoesn't need a real estate licenseA person performing real estate activities in South Carolina under the judgment or order of a court, such as a trustee in a bankruptcy, is ______. Not required to have a real estate license Required to have a broker license Required to have at least a sales agent license Required to have taken all pre-licensing courses, but passing the exam is not requiredNot required to have a real estate licenseStormy is an unlicensed individual serving on the South Carolina Real Estate Commission. She's decided to resign her position prior to the end of her term. How will her successor be decided?A replacement will be appointed by the governor.Which of the following individuals meets the experience requirement for a real estate broker's license in South Carolina? Amelia was an unlicensed property management company employee for one year, an unlicensed assistant at a real estate brokerage for one year, and has been licensed as a real estate salesperson for one year. Clayton has been a real estate salesperson for two years and is in the process of taking broker courses. Georgina has been an active salesperson for the last three years. Rolando received her real estate salesperson license last year and has completed 150 hours of real estate courses.Georgina has been an active salesperson for the last three years.How many members of the South Carolina Real Estate Commission are active real estate professionals?8In South Carolina, what's the pre-licensing education requirement for brokers?150 hours of courseworkJames's South Carolina real estate license expiration date passed last week and he hasn't renewed it. Which of the following statements are true? He can continue practicing real estate for six months, at which time his license must be renewed. He can continue practicing real estate if he's actively in the process of renewing his license. He can't practice real estate until he renews his license. His license is automatically revoked upon expiration.He can't practice real estate until he renews his license.Jim would like to sell his own home. What is the minimum South Carolina real estate license he must possess?NoneIn which of these scenarios would the consumer need a South Carolina real estate license? Jessie is negotiating the purchase a new home for a friend moving into town. Her friend will compensate her 2% of the sale price for her time and effort. Mickey is selling his own home and isn't using the services of a listing agent. Peter is helping his sister Kristen secure a lease on a new apartment and will not be compensated in any way. Ronald is acting as executor of his uncle's estate, which includes selling the property his uncle owned.Jessie is negotiating the purchase a new home for a friend moving into town. Her friend will compensate her 2% of the sale price for her time and effort.How many members make up the South Carolina Real Estate Commission?10When is a South Carolina real estate license required?When performing real estate activities for others, for compensation of any kindJermaine holds a salesperson license in South Carolina. How often must he renew his license?every 2 yearsBob was a real estate professional whose South Carolina license was revoked. He's met all the requirements to apply for a new license. At least how much time has passed?3 yearsWhat status would a South Carolina real estate license be in if the expiration date just passed and the licensee hasn't renewed it?lapsedNadine is an active real estate licensee elected to serve on the South Carolina Real Estate Commission. Seth is an unlicensed individual appointed by the governor to serve on the commission. The secretary of state certified both members on the same day. How long will each serve on the commission?Both Nadine and Seth will serve four-year terms.How many members of the South Carolina Real Estate Commission aren't active real estate professionals?2Wendell once held a real estate license in South Carolina. After some mishandling of trust funds, he's prohibited from practicing real estate for the next three years, after which he can apply for a new license. Which term best describes his current license status?RevokedSalvatore, a South Carolina licensee, is drafting a billboard advertisement. Which of the following pieces of information must be included? A. Brokerage firm name B. Brokerage firm phone number C. Brokerage firm address D. Licensee phone numberA. Brokerage firm name All advertisements must include the full name of the licensee's real estate brokerage firm. For Internet, social media, or other electronic means, this requirement can be met by including a link to the brokerage's website homepage. Though not required by license law or regulations, it's good practice to include a phone number so consumers can easily contact the real estate professional.Alan, Jenna, and Randall have formed a team within their brokerage. They've brainstormed a few options for their team name. Which of these would be permitted? A. AJR Realty B. AJR Real Estate Professionals C. AJR Group D. AJR Brokerage ServicesC. AJR Group Team names can't imply that the team is a different entity from the brokerage to which the team is associated. The name must also avoid words like "realty," "real estate," "REALTORS®," or other similar words.Which statement best describes the people a broker-in-charge supervises? A. All members of the firm, including associated licensees and unlicensed employees B. Unlicensed employees, but not associated licensees C. Associated licensees, but not unlicensed employees D. Associated licensees and unlicensed employees who work fewer than 30 hours per weekA. All members of the firm, including associated licensees and unlicensed employees A broker-in-charge is responsible for everyone in the office, which includes all associated licensees (salespersons and brokers) and unlicensed employees. Should anyone a broker-in-charge supervises violate license law or regulations, the broker-in-charge's license could be on the line for failure to supervise.Which qualification is a personal assistant legally required to have if the licensee wants the assistant to help manage negotiations and other real estate activities in South Carolina? A. A real estate license B. Permission from the broker-in-charge C. A bachelor's degree in finance or other business field D. A positive background checkA. A real estate license Discussing, explaining, or negotiating contracts, agreements, or real estate documents is an action that only licensed persons can perform. An unlicensed individual can't perform this action on behalf of the brokerage, even if the broker-in-charge provides instruction to do so (and they shouldn't, because this would be a violation of South Carolina law). If a brokerage wants an assistant to help with negotiations, the assistant must obtain a real estate license to legally perform this activity, as well as other real estate activities.Mathew is a South Carolina salesperson representing a seller on behalf of his broker-in-charge, Lanie. Kendra is a salesperson representing a buyer on behalf of her broker-in-charge, Janelle. Mathew's listing agreement provides for compensation to the buyer's agent in the transaction. Who will Kendra receive her compensation from?Janelle Licensee compensation must be paid through the licensee's broker. Brokers can't pay a commission for real estate services to anyone other than their own associated licensees or another real estate broker. Kendra will receive her compensation from her broker Janelle. Janelle receives this compensation from the seller's broker (Lanie) who's listing agreement with the seller provides for compensation to the buyer's agent.After having second thoughts, Penny decided to cancel her listing agreement with Oscar, a South Carolina broker-in-charge. Penny would still like to compensate Nathan, the associated licensee who was working closely with her, for the services he provided. Can she do this? A. No, Nathan can only be compensated if the transaction closes. B. Yes, Penny can compensate Nathan directly. C. Yes, but payment must go through Nathan's broker Oscar. D. No, there's no written agreement in place entitling Nathan to receive payment.C. Yes, but payment must go through Nathan's broker Oscar. Compensation for real estate services must be paid through the licensee's broker. Although the listing was cancelled, Penny decided to still compensate Nathan for the real estate services he provided. This compensation goes through Oscar.Ann is a South Carolina licensee. Which of the following statements most accurately describes her need to disclose that she's a principal to a real estate transaction? A. She must disclose she's a principal to the transaction if the sales price is more than $200,000. B. She must disclose she's a principal after the property has been on the market for 30 days. C. She must disclose whenever she's a principal to the transaction. D. She doesn't need to disclose when she's a principal to the transaction, regardless of circumstances.C. She must disclose whenever she's a principal to the transaction. The South Carolina Real Estate Commission requires that when licensees act as principals in transactions, this must be disclosed in advertisements, at first substantive contact, and in any purchase or lease agreements. This disclosure is required for any transaction in which the licensee is a principal; sales price and time on the market aren't factors in when the disclosure is required.South Carolina licensee Barbara is house hunting in Columbia, and this time, it's for a house of her own. At what point must she first let the sellers know that she is a licensee?At her first substantive contact with them When licensees act as principals in transactions, their license status must be disclosed in writing in advertisements, at first substantive contact, and in any purchase or lease agreements. Barbara is unlikely to place ads when looking for a place to purchase, so she must first disclose her license status upon first substantive contact with sellers, then again in the purchase agreement.Buyer Kent makes an offer on seller Khalidi's South Carolina house. Khalidi counters that offer on price alone, and Kent accepts that counter-offer. How should these changes be shown in the contract? A. The changes must be written with the initials of the licensee who authorized the changes. B. The changes must be agreed to verbally by both parties in the presence of one or both of the parties' agents. C. The changes must be written down and then initialed and dated by the buyer's and seller's agents. D. The changes must be written down and then initialed and dated by both Kent and KhalidD. The changes must be written down and then initialed and dated by both Kent and Khalid Licensees must make sure that any changes or modifications made during the negotiation process are in writing and initialed and dated by all parties before proceeding with the transaction.Which of the following statements about South Carolina purchase offers is true? A. Licensees must present all purchase offers to the seller. B. Licensees should use their own discretion to determine which offers to present to the seller. C. Licensees aren't required to present verbal offers to the seller. D. Licensees should only present realistic offers to the seller.A. Licensees must present all purchase offers to the seller. South Carolina licensees are required to present all offers—regardless of how good or bad they are, and whether they're written or verbal—to the seller. While verbal offers should be presented as well, licensees need to be sure to put that offer in writing as promptly as possible.Emmett is the listing agent for a South Carolina seller who's completed a property disclosure form. For how long must this form be retained?For at least five years Records related to real estate transactions must be kept and available upon commission request for at least five years. This includes leases, sales contracts and addenda, agency and transaction broker agreements, option contracts, residential property disclosure forms, and property management rental agreements.Tyrone, a South Carolina real estate licensee, just wrapped up a sale of a single-family home. How long must Tyrone's firm retain the related contracts and forms?5 years This question is very similar to the previous question. Again, we're asked about real estate transaction-related records. Statute requires that these be kept and available upon commission request for at least five years. Records can be kept electronically, but backups must be stored off site in a separate physical or electronic location.Alfred, a South Carolina licensee, received trust funds from a client on Monday. When must he deliver the funds to his broker-in-charge?By end of day Tuesday Associated licensees must deliver trust funds to the broker-in-charge no later than the end of the next business day. Alfred received the funds on Monday and has until end of day Tuesday to deliver these funds to his broker-in-charge. The broker-in-charge then has 48 hours to deposit these funds in an appropriate trust account.Dimitri, a South Carolina salesperson, received escrow funds from a client on Friday. When must he deliver these trust funds to his broker-in-charge?By end of day Monday Associated licensees must deliver trust funds to the broker-in-charge no later than the next business day (excluding weekends and holidays). Since Saturday and Sunday are weekend days, Monday is considered the next business day.Myra's license has just been suspended by the South Carolina Real Estate Commission. May she continue to perform real estate activities?She must discontinue real estate activities immediately. License suspension is a disciplinary action that may be imposed after an investigation and formal hearing have occurred. A suspended license means the license isn't considered active. Myra must cease licensed activities immediately.When a South Carolina licensee is involved in a personal real estate transaction, which of the following must she disclose to the other parties to the transaction? Any complaints that have been filed against her with the South Carolina Real Estate Commission Her full name, home and cell phone numbers, and her broker's name, and home and cell phone numbers Her licensed status How many years of experience she's had as a real estate licensee in South CarolinHer licensed statusBuyer Kelly and seller Javier just signed the purchase offer Kelly made to buy Javier's South Carolina house. What must Kelly's agent, Jim, do next? He must provide copies of the signed agreement to Kelly and Javier. He must send a copy of the signed agreement to the South Carolina Real Estate Commission within three days. He must take the original signed agreement to his designated broker for her signature. He must take the original signed agreement to the recorder of deeds.He must provide copies of the signed agreement to Kelly and Javier.If a brokerage firm changes its name, address, phone, or email, within how many days must the commission be notified?10 daysCandice is a real estate salesperson in South Carolina. She's got a new listing and is ready to advertise it for sale. What must she have first so she can do this? Approval from the commission to run the ad A seller-completed residential property condition disclosure form A signed agency disclosure A signed listing agreementA signed listing agreementWhich entity conducts an investigation when a complaint is filed against a South Carolina licensee?South Carolina Real Estate CommissionIn South Carolina, the ______ must include the names of the parties, the offer terms and dates, and the signature of the licensee who presented the offer to the seller. Buyer agency agreement Listing agreement Property condition disclosure form Real Estate Offer Rejection FormReal Estate Offer Rejection FormMarco is a South Carolina salesperson associated with Movin' On Up Realty in Spartanburg. He and his family own a few single-family rental properties in the area. Marco just received a security deposit check from a new renter. Into which of these accounts is Marco permitted to deposit these funds? His broker's trust account His personal savings account His personal trust account His rental operating accountHis personal trust account South Carolina licensees who own and manage their own rental properties must have a personal trust account into which all trust funds must be deposited.Which of the following is true about a South Carolina broker-in-charge's license, if an affiliated licensee commits a violation? It's automatically revoked. It's automatically suspended. It's in jeopardy if it can be shown the broker-in-charge failed to supervise the licensee. It's protected unless the broker-in-charge had foreknowledge.It's in jeopardy if it can be shown the broker-in-charge failed to supervise the licensee.Which of the following scenarios constitutes illegal licensee compensation in South Carolina? Carrie, a licensee, had her broker make her commission check out to "Shoe Gal, LLC," her sole-proprietor company. Miranda's seller client reimbursed Miranda for the special signage she paid for when marketing his property. Per the listing agreement, Charlotte's broker shared her listing commission with the buyer agent's broker. Samantha's broker paid another broker a referral fee after he sent a local client Samantha's way.Miranda's seller client reimbursed Miranda for the special signage she paid for when marketing his property.Which of the following tasks is an unlicensed assistant in South Carolina permitted to perform? Interpret contract information for a client. Negotiate a commission. Show property. Write advertisements for broker-in-charge approval.Write advertisements for broker-in-charge approval.Myra's license was suspended by the South Carolina Real Estate Commission. How many days does she have to appeal its decision?30 daysWhich of the following organizations promulgates the Real Estate Offer Rejection Form in South Carolina? The Charleston Association of REALTORS® The National Association of REALTORS® The South Carolina Association of REALTORS® The South Carolina Real Estate CommissionThe South Carolina Real Estate CommissionSouth Carolina licensee Alma is one busy octogenarian. In addition to her regular broker duties, she also owns and manages three four-family apartments. Today, she's walking a new tenant through a one-year lease agreement. What must be included on page one of this agreement?A disclosure that she is a real estate licenseeWhen must the Real Estate Offer Rejection Form be used in South Carolina?When a seller rejects an offer without countering it