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Massachusetts-Real-Estate-Salesperson Exam Testking & Massachusetts-Real-Estate-Salesperson Quiz

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Real Estate Massachusetts Real Estate Salesperson Exam Sample Questions (Q86-Q91):

NEW QUESTION # 86
What is the difference between a license to use property and an easement?

A. There must be consideration paid for an easement.
B. An easement can be cancelled by the issuer.
C. A license can be cancelled by the issuer.
D. There must be consideration paid for a license.

Answer: C

Explanation:
A license is a personal, revocable privilege to enter or use another person's land for a specific purpose (e.g., a ticket to a sporting event). A license does not create an interest in land and may be revoked at any time by the issuer.
An easement, however, is a non-possessory interest in land that grants a legal right to use the property of another (e.g., a right-of-way). Easements are generally permanent, run with the land, and cannot simply be canceled by the property owner at will.
Massachusetts law distinguishes between the two: easements are formal property interests that usually require a written grant and may only be terminated by agreement, expiration, or court action, while licenses are informal, temporary, and revocable.
Thus, the correct answer is A: A license can be cancelled by the issuer.
Reference: Massachusetts Real Estate Salesperson Candidate Handbook - Property Interests and Rights; M.G.
L. c. 183.

NEW QUESTION # 87
The Massachusetts Consumer Protection Act requires that

A. The seller disclose all offers received.
B. The broker disclose known material defects.
C. The seller's information be kept confidential.
D. The buyer be informed of all offers.

Answer: B

Explanation:
The Massachusetts Consumer Protection Act (M.G.L. c. 93A) prohibits unfair or deceptive practices in trade or commerce. In real estate, this means that a broker must disclose known material defects to prospective buyers. Failing to do so constitutes a deceptive act and can subject the broker to liability, including double or treble damages, attorney's fees, and court costs.
While sellers and buyers have their own disclosure obligations, the statute specifically imposes consumer protection responsibilities on businesses, including real estate brokers. Confidentiality of client information is a fiduciary duty under agency law, not a requirement of Chapter 93A. Offers themselves must always be presented to clients, but Chapter 93A focuses primarily on material misrepresentation and nondisclosure.
Reference: M.G.L. c. 93A; 254 CMR 3.00; Massachusetts Real Estate Candidate Information Bulletin - Consumer Protection Law.

NEW QUESTION # 88
A licensee lists a property and discovers that the property is too far away to market effectively. The licensee's firm retains the listing, but does not advertise or show it. Which of the following has been violated?

A. Consumer Protection Act
B. statute of frauds
C. seller disclosure laws
D. fiduciary responsibility

Answer: D

Explanation:
When a broker accepts a listing agreement, they enter into a fiduciary relationship with the seller. This relationship requires loyalty, obedience, disclosure, confidentiality, accounting, and reasonable care/diligence.
If the licensee fails to market, advertise, or show the property, they are breaching their duty of diligence and care as well as loyalty to the seller's best interests. This is a direct violation of fiduciary responsibility.
The Consumer Protection Act (B) addresses deceptive business practices, seller disclosure laws (C) apply to condition disclosures, and the Statute of Frauds (D) requires certain contracts (like real estate sales) to be in writing. None apply as directly as fiduciary duties in this scenario.
Thus, the correct answer is A: fiduciary responsibility.
Reference: Massachusetts Real Estate Salesperson Candidate Handbook - Agency & Fiduciary Duties; 254 CMR 3.00 (Board of Registration).

NEW QUESTION # 89
A ranch house with a double garage is being valued. The house next door, which is similar except that it lacks a garage and has an outside deck, was sold last month for $138,000. Experience in that area shows that a two- car garage is probably worth $10,000 to buyers, while in general, they will pay only $500 extra for a deck.
The ranch house is most likely to sell for around

A. $123,500
B. $147,500
C. $148,500
D. $128,500

Answer: B

Explanation:

NEW QUESTION # 90
A broker maintains a trust or escrow account. A $10,000 earnest money deposit is received from a buyer and deposited in the account. Several weeks later and prior to closing, the broker withdraws $7,000 from the account and puts it in an operating account. This transaction is

A. permissible as long as the broker is entitled to at least $7,000 in commission.
B. permissible if the seller was informed about the transfer of funds.
C. an instance of illegal conversion of funds.
D. a violation of federal banking regulations.

Answer: C

Explanation:
Comprehensive and Detailed Explanation (150-250 words):
Escrow (trust) accounts must hold client funds untouched until proper disbursement (closing, termination, or mutual written instructions). Withdrawing funds prematurely is considered conversion, the illegal taking or use of another's money.
A: Brokers may only disburse commission funds after closing, not in advance.
B: This is not primarily a banking violation, but a license law violation.
D: Disclosure to the seller does not legalize misappropriation.
Massachusetts law (254 CMR 3.10) strictly prohibits commingling and conversion of escrow funds.
Violations can result in loss of license and criminal liability.
Correct answer: C.
Reference: Massachusetts Real Estate Salesperson Candidate Handbook - Escrow Accounts; 254 CMR 3.10.

NEW QUESTION # 91
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