Free NY Real Estate Salesperson Practice Questions

The answer is D. Section 443 requires a seller's agent to give the disclosure form to a buyer or tenant at the first substantive contact, and to obtain a signed acknowledgment. Detailed questions about price and what the seller would accept are substantive; the point of the rule is that the person learns whose interests the agent is serving before they say anything they would rather the seller did not hear.

• A is wrong: The statute fixes the moment by the contact, not by a number of days afterward, and it requires a signed acknowledgment rather than a mailing.
• B is wrong: Waiting for a written offer defeats the purpose, because by then the buyer has already told the agent things the agent owes to the seller.
• C is wrong: Contract signing is far too late. The disclosure exists to inform the buyer before the negotiating starts, not to record it afterward.

The answer is C. Section 443 requires a buyer's agent or tenant's agent to provide the form before entering into the agreement to act in that role, and to obtain a signed acknowledgment. The timing differs from the seller's agent rule, which is keyed to first substantive contact with a buyer.

• A is wrong: Preparing an offer is well into the representation, and the statute fixes the moment at the start of it rather than in the middle.
• B is wrong: Viewing a property comes after the relationship has been agreed, so the disclosure would arrive after the moment the statute names.
• D is wrong: The duty does not wait for the client to raise it. The agent must provide the form whether or not anybody asks.

The answer is D. Fee simple absolute is the largest estate the law recognizes: it lasts indefinitely, passes to heirs, and carries the full bundle of rights subject only to government powers and any private restrictions on the land.

• A is wrong: A remainder is a future interest that waits for another estate to end, not a present right to use and sell.
• B is wrong: A life estate is measured by somebody's lifetime, so it ends and cannot be left by will to the holder's own heirs.
• C is wrong: A leasehold gives possession for a term and leaves ownership with the landlord.

The answer is A. A remainder is a future interest created in someone other than the grantor, which becomes possessory when the prior estate ends. The grandson owns something now, even though he cannot occupy the house until the life estate closes.

• B is wrong: A leasehold is possession for a term under a landlord. Nothing here creates a tenancy or a rent.
• C is wrong: A reversion returns to the grantor. This interest was given away to a third person, which makes it a remainder.
• D is wrong: A future interest is real property that can be sold, mortgaged or left by will, so it is not nothing.

The answer is B. Section 441(3)(a) names the minimums inside the 22.5 hours: 2 hours of cultural competency, 3 hours of fair housing and/or discrimination, 2 hours of implicit bias awareness and understanding, 2.5 hours of ethical business practices, 1 hour of recent legal matters governing practice, and 1 hour of the law of agency -- which is 2 hours in a salesperson's initial two-year term. Implicit bias is one of them.

• A is wrong: Contract preparation is taught in the 77-hour qualifying course, but the continuing education rule sets no minimum for it.
• C is wrong: Real estate mathematics has an hour of its own in the qualifying syllabus and no continuing education minimum at all.
• D is wrong: Commercial and investment property is one of the largest blocks of the qualifying course, and size is not what decides the continuing education minimums.

The answer is D. A licensee may complete the blanks on a preprinted contract form drawn by an attorney: the parties, the price, the dates. Composing a new provision, or advising on what one would do, is drafting a legal instrument and giving legal advice. The line runs between filling in a form and writing one.

• A is wrong: This goes too far the other way. Completing the blanks on a printed form drawn by counsel is ordinary practice.
• B is wrong: Composing a provision is drafting a legal instrument. Writing it simply does not make it something a licensee may do.
• C is wrong: Somebody else reviewing the words afterward does not change who wrote them or what writing them amounted to.

The answer is C. The note is the promise to pay. The mortgage is the separate instrument that pledges the property as security for that promise, which is why a lender holds both and why they are released by different documents.

• A is wrong: A deed transfers ownership and says nothing about a loan.
• B is wrong: The mortgage pledges the property. It secures the debt rather than creating the obligation to repay it.
• D is wrong: A satisfaction records that the debt is discharged, which is the end of the arrangement rather than the promise that began it.

The answer is A. Zoning is an exercise of the police power, the government's authority to regulate for the health, safety and general welfare. No compensation is owed for a valid zoning rule, which is what separates it from a taking.

• B is wrong: Eminent domain takes property for public use and requires just compensation; zoning regulates without taking.
• C is wrong: Escheat returns property to the state when an owner dies with no heirs and no will.
• D is wrong: Taxation raises revenue. It does not decide what may be built.

The answer is D. The federal Fair Housing Act protects race, color, religion, sex, national origin, familial status and disability. Familial status covers households with children under 18, pregnant people, and those securing custody.

• A is wrong: Occupation is not federally protected, though New York City law reaches lawful occupation.
• B is wrong: Education is not a protected class under the federal statute.
• C is wrong: How long somebody has lived nearby is not a protected characteristic, and a preference for locals can itself have a discriminatory effect.

The answer is C. Under a net lease the tenant pays rent plus some or all of the operating expenses. The more of those the tenant carries, the more predictable the landlord's return becomes.

• A is wrong: Under a gross lease the landlord absorbs the operating expenses out of the rent received.
• B is wrong: A percentage lease adds rent calculated on sales, common in retail.
• D is wrong: A ground lease is a long lease of land on which the tenant usually builds.