Ifrec Pre License Study

Front 1

give examples of a follow up and explain when it is used

Back 1

A follow up is used after the sale is complete between the buyers and sellers. Example would be like showing up with some pizza and soda, the day they are moving in to make sure they are happy with their new home.

Front 2

explain why appraisers are paid a fee.

Back 2

Appraisers are paid a fee, to reduce the possibility of any conflict of interest.

Front 3

understand what potential buyers can learn from a sub division plat map.

Back 3

future developments, size and location of the lots, streets, and public utilities, including water and sewer lines

Front 4

compare and contrast the following- tract homes, spec homes and custom homes.

Back 4

Custom, tract, and speculative homes are the three general categories of residential construction. Custom homes have been purchased by a known buyer before cunstruction amd made to buyers specifications. Spec-have no known buyer when construction begins. tract-homes built with unknown buyers like a model home ect.

Front 5

identify what is required to be disclosed on a real estate license application.

Back 5

5. Felonies, misdemeanors, & traffic offenses, Background info, Police records.

Front 6

what is the attest statement and why is it important to the license application.

Back 6

6. An attest statement is the applicant’s affirmation that he or she has satisfied all of the qualification requirements, and answered the questions on the application completely and truthfully. It is the last page of the licensee application.

Front 7

distinguish between reciprocity and mutual recognition.

Back 7

Reciprocity is an agreement between two states to allow an agent who has a license in one state to sell in both. (Florida not included.) mutual recognition is when a non- resident of Florida must take a test to prove their knowledge of Florida Real Estate Laws. Then the agent would be issued a Florida license.

Front 8

if obtaining a sales associate license under mutual recognition, what exam must an applicant take and what score must be achieved

Back 8

the applicant must take the written Florida- Specific Real Estate Law Licensing Exam consisting of 40 questions and pass with a 75% or higher.

Front 9

what must a new sales associate do to begin working in real estate?

Back 9

he or she must first change their license to active status through the DBPR it must be approved before he or she begins working.

Front 10

what must an applicant do before applying for a brokers license.

Back 10

he or she must be a sales associate for two years and complete 69 hours of course instruction

Front 11

explain prima facie evidence with regard to a real estate license.

Back 11

is evidence that is good and sufficient at its first view. it establishes fact or proves a case For example the real estate license contains all your information and the seal. proves it is current.

Front 12

what is the composition of FREC's membership?

Back 12

7 members. 4 licensed real estate brokers who have held an active license for 5 years, 2 consumers who have never been brokers or sales associates, and 1 licensed sales associate or broker that has held an active license for at least 2 years. Also one member must be at least 60 years old.

Front 13

how and how much are FREC members compensated?

Back 13

members are paid $50 for each day they attend an official meeting and for each day they participate in other commission business. Members also receive reimbursement for expenses connected with their official activities.

Front 14

understand the duties and responsibilities of quasi-legislative and quasi- judicial.

Back 14

Quasi- legislative responsibilities include enacting and revising administrative rules and regulations and to interpret questions regarding the real estate practice. Quasi- judicial responsibilities include the power to grant or deny license applications, to determine license law additions and to administer policies.

Front 15

what must a licensee do if they change their mailing address?

Back 15

A licensee must notify the DBPR within 10 days of the change of address.

Front 16

understand how to determine the expiration date of an initial license period

Back 16

You determine the expiration date of an initial license by renewing it at least 18 months but no more than 24 months by the renewal dates. March 31 /Sept 30.

Front 17

a person on active duty with the US Armed Forces has what period of time, after discharge from active duty, to renew a real estate license?

Back 17

6 months.

Front 18

describe a group license.

Back 18

a right granted a sales associate or broker associate to work various properties owned by affiliated entities under one owner developer.

Front 19

know the definition of residential real estate under chaoter 475 and how this applies to brokerage relationship disclosure requirements.

Back 19

Residential real estate under chapter 475 is the sale of improved property of four or fewer units, the sale of unimproved residential property, or the sale of agricultural properties of 10 or fewer acres.written disclosures are required when dealing with residential real estate.

Front 20

which type of brokerage relationship is presumed in florida?

Back 20

transaction brokerage.

Front 21

understand the concept of limited representation and brokerage relationship that uses this concept.

Back 21

The concept of limited representation is not representing either party in a fiduciary capacity. Treat the buyer or seller as a customer not a principal. Transaction brokers use limited liability.

Front 22

know how to present verbal and written offers.

Back 22

All offers oral or written must be presented by the licensee in a timely manner, unless the party has directed otherwise in writing.

Front 23

Explain the concept of limited confidentiality.

Back 23

Prevents disclosure of the price the seller will accept. The highest price the buyer is willing to pay.The motivation of any party for selling or buying property.that the buyer or seller will agree to financing terms other than those offered Or any other information requested by a party to remain confidential.

Front 24

What are the duties of full disclosure?

Back 24

Disclose facts regarding property worth. Keep principal fully informed of all facts or info that might affect a transactions of the value of property.

Front 25

How long must brokerage relationship disclosure documents be retained?

Back 25

5 years

Front 26

Know the rules regarding inclusion of sales associates and broker associates on office signs.

Back 26

If names are on sign they must be below the name of the broker. The appropriate title must be next to each associate name.

Front 27

What must a sales associate include on promotional materials?

Back 27

On promotional materials a sales associate must include the licensed name of the broker and brokerage firm.

Front 28

Know the restrictions regarding the Florida's Telemarketing Act and the penalty for violation.

Back 28

○ Calls only made between the hours of 8a-9p.
○ May not call people on the do not call list. Violators may be fined up to $10,000 per call.

Front 29

When must a sales associate deliver an earnest money deposit to her broker and when the broker must be deposited?

Back 29

A sales associate must deliver the earnest money deposit immediately( no later than the end of the next business day.) Brokers must immediately( no later than the 3rd business day after the sales associate has received it.) deposit the funds into his or her escrow account.

Front 30

What must the broker obtain when turning escrow money over to a title company and the timeframe he has to obtain documentation?

Back 30

After turning the escrow money to the title company broker must request in writing for a written verification of receipt of deposit. Must be provided within 10 days to present to seller/ buyer.

Front 31

Know the steps that must be taken when a broker/ holding an earnest money deposit in his trust account received conflicting demands.

Back 31

○ Receive conflicting demand.
○ Notify the FREC in writing within 15 business days.

Broker must institute one of the settlement procedures (MALE) within 30 business days of receiving conflict and demand.

Front 32

What are the exceptions to the law that requires the broker to notify FREC of conflicting demand situations?

Back 32

○ Brokers entrusted in residential sale contract utilized by HUD.
○ If condominium unit timely delivers notice of buyers intent to cancel contract.
○ If buyer in good faith fails to satisfy terms in specified clause of contract.

Front 33

Describe the settlement procedures of mediation, arbitration and litigation

Back 33

Mediation- all parties give written consent (non binding).
Arbitration- with consent of all parties each side presents a third party.
Litigation- parties cannot agree to court.

Front 34

what is a finders fee, who may pay it to whom and what are the restrictions.

Back 34

a referral fee of no more than $50 to an unlicensed person who is a tenant of the apartment and refers another customer. A property management firm or owner of apartment may pay a finders fee. Real Estate licensees are restricted from paying finders fee to unlicensed personnel.

Front 35

what licensure is required of general partners and limited partners in a real estate brokerage that is a limited partnership.

Back 35

One must be a licensed broker and registered with the DBPR – Dept of Business and Professional Regulation. If the one licensed broker dies or resigns, the vacancy must be filled in 14 days. New brokerage business may not performed until the new active broker is designated and registered.

Front 36

which organization may not register as a real estate brokerage and why?

Back 36

Corporation sole or joint venture may not register wit the DBPR as a real estate brokerage.

Front 37

know how the title of real property is held by a business trust.

Back 37

A business trust is a form of business entry that may be formed to engage in transactions involving its own real property. A business trust is formed by any number of persons who make an investment at a stipulate amount per unit. The monies collected in this manner are then used to buy, develop, and/ or sell real estate. Title to real property occurred by a business trust is taken in the name of a trustee or group of trustees. A business trust cannot be registered with the DBPR as a real estate broker. However, any employee who buys or sells real property for a trust and is compensated on a transaction basis must be licensed.

Front 38

when is the probable cause panel required to become involved in the complaint process?

Back 38

The probable cause panel is required to become involved in the complaint information present to the probable cause panel is adequate.