Indiana Real estate law is administered by the
Indiana real estate commission (IREC)
The members of IREC are appointed by the
Governor
The IREC has the authority to
Adopt and enforce the rules by which all real estate licensees must abide
In order to be appointed as an Indiana real estate commissioner, an individual must
have been licensed an an Indiana broker for five years
The appointees of Indiana real estate commission consists of
1 member from each congressional district and 3 at large
Members of the IREC are appointed for
four years term
All of the following statements regarding the IREC are true EXCEPT
they can spend the interest earned from monies accrued I the recovery fund for continuing education for all licensees
The IREC may undertake an investigation of a licensee based on all of the following ground EXCEPT a
Random selection of the licensees
The IREC may do all of the following EXCEPT
Spend the license renewal fees for commission purposes
As evidence of current licensure, the IREC requires a
Valid pocket card
In Indiana, all of the following would be grounds for disciplining a licensee EXCEPT
Agreeing with a seller to accept a listing for more than the normal commission rate
The IREC has the power to discipline a salesperson licensee if the salesperson
Has had disciplinary action taken against him or her in another state
In Indiana, a broker may be disciplined for all of the following actions EXCEPT
Submitting to a reasonable physical exam at the commission's request
Upon finding a licensee guilty of a real estate violation, which of the following penalties may be imposed by the IREC
Put the licensee on probation with an order to perform community service
Upon learning that a person falsified information on an application for licensure, IREC has the authority to
hold a hearing to determine if disciplinary sanctions are appropriate
A licensed Indiana salesperson assigned to a principal broker may be disciplined by the IREC for
representing more than one broker at a time
Rules and regulations to enforce the Indiana real estate license law may be enacted by the
IREC
Before an Indiana real estate licensee can be disciplined by the commission, the licensee is entitled to
a hearing before the commission
In Indiana, if activities that require a license are performed by an unlicensed person, it is considered
Class A infraction
The IREC may issue a cease and desist order when a person
Solicits or accepts enrollment of real estate students in a school not officially approved by the commission
The IREC may impose the sanctions of license law upon finding that a licensee has
engaged in lewd or immoral conduct in the delivery of service
The IREC has the power to discipline a licensee who
Advertises his or her services in a misleading manner
When a licensee is convicted of a crime that has a direct bearing on the licensee's ability to practice competently, Indiana license law allows the commission to
require the license to attend a hearing on the matter
The Indiana recovery fund has a balance in excess of $750,000 at the end of the state fiscal year. The amount in the fund over $750,000 will be paid to the
Indiana state general fund
In order to receive payment from the recovery fund, an aggrieved person must
file the case with the attorney general's office
If the IREC is ordered by a court to make payment from the recovery fund because of a licensee's actions, the commission will
suspend the license until the fund is reimbursed with interest
Which of the following is a TRUE statement regarding the Indiana real estate recovery fund
Licensees may be assessed a surcharge at time of renewal if the fund balance is less than $450,000
An Indiana real estate license unlawfully obtained money by the false pretense from a consumer. The consumer filed with the court and was awarded a judgment claim against the licensee on June 15. 2005. When must the consumer file an application for paymen
within one year of the judgment awarded, in this case June 15, 2006
The IREC may spend the interest earned on the recovery fund
For information concerning the commission's activities
An Indiana real estate licensee embezzled $10,000from consumer A, $20,000 from consumer B, and $ 25,000 from consumer C. All three consumers received final judgments and payments out of the recovery fund. What monetary amount will each consumer receive
The $50,000 lifetime aggregate for a licensee will be prorated according to the loss of each consumer
In order for the Indiana real estate recovery fund statute to apply, the final judgment must arise directly from a transaction that
was an act for which real estate license was required
If an aggrieved person is awarded a judgment against a real estate licensee for violation of the Indiana license law, what right does the aggrieved party have regarding the recovery fund
A $20,000 maximum recovery from the fund can be paid, plus the court cost. attorney's fees are not reimbursed
If a broker violates the license law resulting in monetary damages to a consumer, what is the latest date on which the injured party may file a lawsuit that may result in a payment from the Indiana recovery fund
Two years after the alleged violation occur
The purpose of the Indiana real estate recovery fund is to
Provide a means of compensation for actual monetary losses suffered by consumers as a result of the acts of a licensee in violating the license law
Whenever the commission is required to satisfy a claim against a licensee with money from the Indiana real estate recovery fund, the
Licensee must repay the full amount paid from the fund plus interest if his or her license is to be reinstated
The maximum amount that will be paid from Indiana real estate recovery fund for each judgment is
$20,000
Who may receive compensation from the Indiana real estate recovery fund
Seller who pays a commission to a broker under false pretense
In order to make a claim against the Indiana real estate recovery fund, an aggrieved consumer must
file suit in a court of law, obtain a judgment, and exhaust all legal remedies
What is the balance in the Indiana real estate recovery fund below which licensees will be assessed an additional fee at time of renewal
$450,000
In Indiana, a licensee has an agency relationship with the individual with whom the licensee is working unless that license
has a written agreement to the contrary
An Indiana licensee who is found to be guilty of incompetent practice subject to which of the following penalties
Probationary period with mandatory community service
An Indiana licensed broker who performs a real property appraisal must
Comply with the uniform standards of professional appraisal practice USPAP
in Indiana, who of the following would need a real estate broker or salesperson license
Person negotiating an exchange of like properties
which of the following activities would require an Indiana real estate license
company that offers Indiana real estate for sale in other states
Under Indiana law, any person who acts as a real property securities dealer must
be registered under Indiana and federal securities laws
Under Indiana real estate law, a partnership will be granted a license only if
All partners are licensed broker
Areal estate license is required for all of the following activities EXCEPT
reselling a mobile home not on a permanent foundation
If engaged in the sale of real estate, who of the following is exempt from the Indiana real estate license requirement
Public official performing acts authorized by law
The office manager for a local Indiana real estate firm is responsible for coordinating the flow of paperwork through the office, preparing forms and advertising copy, and hiring and supervising clerical personnel. The office manager is
exempt from real estate license
In order to obtain a salesperson's license, which of the following is TRUE
Applicant must be 18 years of age
In Indiana which of the following are requirements for obtaining a broker's license
Having continuous active experience as a licensed salesperson for two years
A person successfully completed her Indiana pre license real estate education requirement on November 1, 2006. How long does this Individual have to take the state exam before having to retake the pre license course
1 year from the date of completion
Which of the following persons must have a real estate license in order to transact business
Person acting as a business broker who negotiates the sales of entire business, including their stock, equipment, and building for a promised fee
An applicant for a real estate salesperson's license in Indiana must
not have been convicted of a crime indicating a propensity to endanger the public
A person who is NOT an Indiana real estate licensee cannot list and sell real estate in Indiana unless that person
qualifies for an exemption under current license law
A person in Indiana has been offered the position of resident manager of an apartment complex. In order to take this position, the person
must be a salaried employee of the owner to manage the complex without a broker's license
To obtain a corporation license in Indiana, the corporation must,
have a licensed broker residing in Indiana who is an officer or employee of the corporation with authority to bind the corporation in real estate transactions
The on-site property manager for Acme Apartments is responsible for negotiating leases for the apartments. A licensed Indiana broker supervises the manager. In this position, the on-site manager
is exempt from the licensing requirement
An individual wants to sell her own house. In order to do this legally, she
is exempt from licensure in Indiana
A valid Indiana real estate license is required in order to be compensated for all of the following activities EXCEPT
performing a written home inspection
A licensee whose license is revoked may
apply for a new license after seven years
To renew an active license in Indiana, a salesperson must,
have completed 16 hours of continuing education in the last biennial licensing period
A licensee who allows his or her license to expire has how long to reinstate the license without monetary penalty
There is no free time
In Indiana, individual real estate licenses are renewed
biennially
A new partnership in Indiana receives its license on July 1, 2006. Unless renewed earlier, the license will expire in
24 months
In Indiana, an unlicensed real estate assistant may perform all of the following duties EXCEPT
explain contract documents to prospective buyers
Personal assistants in Indiana
may perform clerical work, such as inserting factual information into contracts under the employing broker's supervision and approval
A broker's unlicensed assistant worked late nights and weekends to help ensure the successful closing of a difficult transaction. The assistant's extra work included making several phone calls to the prospective buyers, encouraging them to accept the sell
not pay a commission to the assistant under the facts presented here. They have both violated the rules regarding unlicensed assistants
Which of the following is a permitted activity for an unlicensed real estate assistant in Indiana
Giving potential buyers information regarding price, address, and geographic directions
In order to obtain an Indiana reciprocal real estate license, a person
is required to comply with the continuing education requirements in Indiana
What must a nonresident license applicant for an Indiana license file with the commission
Irrevocable written consent to suit
When the license of a real estate firm's principal broker and sole proprietor is suspended for two years, what effect does this have on the associated broke-salespersons and salespersons
The associates' licenses must be returned to the commission
If an Indiana principal broker has more than one office, the principal broker
may manage one office, but must have a managing broker in any additional branch offices
Which of the following tasks may an unlicensed administrative assistant in an Indiana real estate office perform
Give listed price and directions to listed properties
An Indiana real estate licensee who has been granted an inactive license
is not required to complete his or her continuing education requirement
Three weeks before N begins his real estate pre license class, he offers to help his neighbor sell her house. The neighbor agrees to pay N a 5 percent commission. An offer is accepted while N is taking the class and closed the day before N passes the exam
No, because state law prohibits lawsuit to collect commissions unless the injured party was properly licensed and the license was in effect before the agreement was reached
If a licensee tells a lender that the sales price on a property is something above its actual sales price in order to assist the buyer in getting a larger loan, the
licensee can be disciplined for material deception
An Indiana licensee entering into a listing agreement and agency relationship with a seller has the duty to
exercise reasonable care and skill
An Indiana licensee representing a seller exclusively
may show alternative properties not owned by the seller to prospective buyer
In Indiana, a licensee who has an agency relationship with a buyer must
treat all sellers honestly
An Indiana licensee who has an agency relationship with a buyer has another buyer whom he is also representing that is interested in viewing a property that the first buyer is interested in. The licensee
may shoe the property to the second buyer without informing the first buyer
Under Indiana real estate license law, licensee becomes a limited agent when the licensee
shows the licensee's own listings
Which of the following is a TRUE statement regarding Indiana agency law
Merely assisting an individual creates a customer relationship
A seller listed her home with an Indiana licensee for $90,000. The seller's agent tells a buyer agent from another brokerage firm to have his buyer submit a low offer because the seller is desperate to sell. The buyer offers $80,000 and the seller accepts
has violated the agency relationship with the seller
Which of the following best describes Indiana agency law
The rules of law that apply to the responsibilities of a person who acts on behalf of another in dealings with third parties
An Indiana broker who has an agency relationship with a buyer should
advise the buyer if the listing price of the home is unrealistic
All of the following statements concerning Indiana agency law are true EXCEPT that
sub agency is permitted if both principal brokers agree to it
In Indiana which of the following would be a TRUE statement regarding in-house agency relationship
Two agents in the same office may represent two different clients
Mark, a licensed Indiana broker, procures a ready, willing, and able buyer for his seller client. The seller accepts the buyer's offer in writing, hen experience a change of heart and withdraws the acceptance. In this situation, Mark
is entitled to collect a commission from the seller
An Indiana real estate licensee has entered into agency relationships with both a seller and a buyer. The buyer is interested in making an offer on the seller's property. Can the licensee show the property to the buyer
Yes, if both buyer and seller give their written consent
The listing agreement with a seller has expired and the seller lists with a different brokerage firm. Jim, the original listing agent, now has a buyer interested in the seller's property. Based on this information, Jim
cannot disclose to the buyer any confidential information regarding the seller
An Indiana real estate sales person has been working with buyers. After helping them negotiate for their dream home, the buyers ask the sales person if she can help them secure a mortgage. The sales person knows a lender that pays a fee for referring purc
No, because this violates incompetent practice and RESPA
A buyer prospect is interested in seeing a house listed with the real estate company but does not wish to enter into an agency relationship with an agent. A licensed Indiana salesperson from the real estate company can show the buyer the listing if the
buyer declines the agency relationship in writing
Under Indiana agency law, a buyer who is exclusively represented by a licensed sales person would expect the licensee t
disclose the seller's motivation for selling to the buyer, if the agent has knowledge
An Indiana limited agent has limitations regarding his or her conduct and representation of clients. Which of the following actions would violate limitations
Telling the buyer that the property appears to be over priced and the seller would probably take less
An Indiana licensee advised his buyer that the home he was considering was well insulated. After the buyer ought the house, his heating bills were very high and were found to be due to poor insulation. Which of the following is true
Because the licensee held himself out as an expert on insulation, he may be liable for unintentional misrepresentation
Which of the following would be an example of incompetent practice
Guaranteeing, based on past market performance, that a property will increase in value
An Indiana broker licensee, who is not a licensed or certifies appraiser, receives a call from a former buyer client requesting an appraisal in connection with a divorce decree. The former client stipulates that the property must NOT appraise for more tha
may do the appraisal, but cannot agree to the predetermined value
Which of the following is legal and NOT grounds for disciplinary sanctions for incompetent practice
Receiving commission from both parties in a limited agency transaction
An Indiana licensee receives a call from neighbors who inform licensee that they have their home listed with another broker but are very dissatisfied. They would like the licensee to tell them how they can get out of the listing agreement so they could li
inform the neighbors that the licensee cannot discuss the current listing situation and that any request for the discussion of future services must be put in writing
An Indiana licensee offers to pay a finder's fee of $50 to any of his unlicensed friends who find and refer a buyer or seller to the licensee. Which of the following is a TRUE statement regarding this situation
the commission could discipline the licensee for incompetent practice
An Indiana seller gives the survey and owner's title insurance policy to the listing agent at the time the seller listed their property for sale. When the listing expired, the agent did not return the documents to the seller claiming that they were mispla
Would be subject to disciplinary actionfor incompetent practice
An Indiana licensee, who is associated with a principal broker, enters into an agreement with a builder for the payment of fees directly to the licensee for referring buyers who contract for new construction. This agreement is
not acceptable because the licensee must receive all compensation only from the principal broker
An Indiana licensee learns that her niece, whom she hasn't seen for months, has made an offer to purchase a home through an agent with another company, but the offer has not yet been accepted. The licensee calls the niece and suggests that she withdraw he
may be deemed incompetent practice and subject to discipline
An Indiana licensee reads a newspaper article regarding a local business executive transferring to another state. The licensee sends a referral letter to the large real estate companies in the area where the executive will be relocating. What does the law
In order to have a valid referral and receive a fee, the licensee must have a written agreement with the executive
An Indiana broker licensee is asked by a client to perform an appraisal on an apartment building. The client does not know that the broker is the property manager of the apartment building. Under what conditions, if any, can the broker do the appraisal
The broker could do appraisal if his or her interest as property manager was n writing to all parties
In Indiana, when completing a listing agreement or an offer to purchase, real estate licensees who are not attorneys may
fill in the blanks on preprinted forms
Under Indiana real estate license law, what is the relationship between the principal broker and the associated broker
It is presumed to be an independent contractor relationship unless there is an agreement to the contrary
Regarding sub agency In the state of Indiana, a principal broker may
not offer it under any circumstances
An Indiana real estate licensee misrepresented the age and condition of a home's furnace and air conditioner. At a disciplinary hearing, the commission would probably find that
Discipline was appropriate due to the misrepresentation being material deception
An Indiana licensee who has an agency relationship with a seller may disclose which of the following without informed written consent
Material facts regarding the property
A licensee acting as a limited agent in Indiana
may disclose property information available through the MLS or other information sources to both parties
A sales person has a property listed and has an agency relationship with the seller. Upon discovering a latent defect in the property, the licensee should discuss the problem with seller and then
contact the city building inspector
An Indiana sales person has an agency relationship with a seller and is showing the property to a prospective buyer who has provided written confirmation that the buyer does NOT want representation and wishes t be a customer only. The listing sales person
Withholding the information is illegal and prevents the buyer from making an informed decision
An Indiana licensed sales person was describing his client's listing to a buyer agent from another company. The licensee told the buyer agent that the furnace was new when in fact it was 20 years old. The seller client was unaware of the misrepresentation
The licensee and the licensee's principal broker would face liability
An Indiana licensee offers to provide and pay for a home warranty policy for sellers as inducement to list their home with the licensee. Which of the following would be TRUE regarding this practice
written disclosure must be given to all parties at the time of any offer or acceptance of the offer
The Indiana residential real estate sales disclosure form
is to be completed by the seller and given to the purchaser prior to acceptance of an offer
A tenant asks the landlord for an Indiana residential real estate sales disclosure form, but the landlord refuses to complete on. In this circumstance, the
Landlord is not required to furnish the form to the lessee
Which of the following situation would require the completion of an Indiana real estate sales disclosure form
transfer of real estate to a buyer by a relocation company holding title to the property
When is the owner of a four unit apartment building require to submit an Indiana real estate sales disclosure form
Before an offer to purchase is accepted
A buyer and seller enter into a contract for sale of a residential property. A home inspection reveals a major defect that the seller claims to have no knowledge of. The buyer decides not to purchase the property. What obligation does the seller now have
The seller must amend the disclosure form to disclose the defect to other purchasers
After giving the potential buyer a residential real estate sales disclosure form, an Indiana licensee is asked by the buyer if a home inspection is necessary. As a buyer's agent, what position would be appropriate for the licensee to take
explain that the form is not a substitute for an inspection and is not a seller's warranty
Which of the following would be a TRUE statement regarding Indiana- certified a appraisers and the residential real estate sales disclosure form
Appraisers are entitled to a copy of the form if the appraisal is for financing purposes
An Indiana buyer has an accepted offer to purchase on a property. He later receives an amended residential real estate sales disclosure form that discloses a defect. Which of the following would be an appropriate action for the buyer to take
Nullify the contract within two business days by delivering a written recission to the seller
A buyer has not received an Indiana residential real estate sales disclosure form with an accepted offer to purchase. The property is scheduled to close, but the buyer reuses to do so until the disclosure form is provided. What may the seller do in this s
Provide the form as the contract is not enforceable until the form is delivered
A seller of Indiana residential real estate has the furnace inspected by a licensed heating contractor. The contractor reported the furnace to be in good working order and the seller indicated "not Defective" on the disclosure form. After closing, the fur
would not be liable since "Not defective" statement was based on information from a licensed professional
In Indiana, a seller is required to give a buyer a residential real estate sales disclosure form in all of the following transactions EXCEPT
If the property is zoned commercial
In Indiana, when a licensee is listing a home and asks the seller to complete a residential real estate sales disclosure form, which of the following statement is TRUE
seller disclosure of known property defects is required
Six months after an Indiana buyer bought a home, the roof leaked during a heavy rainstorm. When the house was listed, the seller told the listing agent that the roof had leaked one time and had not leaked since. The seller and the agent agreed that the le
can sue the listing agent for nondisclosure of a material fact
The term "defect" as used in Indiana Residential real estate sales disclosure form, means all of the following EXCEPT
A condition that has been repaired by professional licensed repairman
When must Indiana residential real estate sales disclosure form be delivered to the buyer
Prior to the acceptance of an offer to purchase
An Indiana real estate licensee lists a house in which the elderly owner had recently died. What obligation does the licensee have regarding this property
The licensee is not required to disclose any knowledge of the death
An owner of an Indiana residential property informs the listing broker that the property had been the site of criminal gang activity. The owner instructs the agent that she is not to divulge this information to any potential seller, even if asked. A few d
tell the buyer that the seller does not wish to make any representations regarding psychological affectations
All of the following would qualify as a psychologically affected property EXCEPT
dwellings where firearms had been discharged by party revelers
Which of the following is TRUE regarding Indiana limited agents and psychologically affected properties
Limited agents, when asked, must not intentionally misrepresent the facts
An Indiana sales person lists a property that was reasonably suspected to have been the site of a murder, but was never proven to be. In this situation, which of the following is TRUE
Due to the fact of reasonable suspicion, this property would be psychologically affected
Five years ago, a condominium unit was the site of a brutal and highly publicized murder. The unit was sold to an elderly woman who contracted HIV virus through a blood transfusion and recently died in the unit. As the Indiana licensee who listed the prop
You would be relieved of liability for nondisclosure of either event
An Indiana real estate broker who has an agency relationship with the seller has knowledge that the home has a cracked foundation and that its former owner committed suicide in the kitchen. The broker must disclose
the cracked foundation, not the suicide
An Indiana sales person licensee has an unlicensed friend who assists the licensee in obtaining listings. The licensee offers to compensate his friend $200 in cash for each listing. This payment is illegal due to the fact that
Unlicensed persons may never be compensated for this activity
Which of the following would NOT result in a disciplinary sanction against an Indiana licensee
Failure to pay the licensee renewal fee on a timely basis
An Indiana broker may place all of the following in his or her trust account EXCEPT
MLS fees from associated agents
An Indiana broker received a check for earnest money from a buyer and deposited the money in the broker's interest bearing checking account over the weekend. This action would be known as
commingling
Regarding escrow/trust accounts in Indiana
the accounts may only contain funds belonging to others
The owner and the principal broker of an Indiana real estate firm died. At the time of death, there was $9,500 in the trust/escrow account. How should this account be handled
the commission should appoint a successive trustee
All earnest monies received an connection with a transaction in Indiana must be
deposited in the listing broker's trust/escrow account within two banking days after acceptance of the offer
An Indiana real estate licensee has taken an offer to purchase from a buyer client with $1000 earnest money deposit. The licensee should
communicate the offer to the listing agent and submit the earnest money with the offer for deposit by the listing broker after acceptance
Which of the following is a TRUE statement regarding an Indiana real estate trust/escrow account
The licensing agency may inspect the account records at any time
An Indiana listing broker holding the earnest money on an accepted transaction in her trust/escrow account paid for a survey out of the account prior to closing. Which of the following would be a correct statement
This is a violation and the broker could be disciplined
After acceptance of an offer, the Indiana listing broker shall
delegate the responsibility for the earnest monies to the selling principal broker
In Indiana, the primary responsibility for earnest monies submitted with an accepted offer belongs to the
listing principal broker
An Indiana licensee submitted an offer to purchase from a buyer client to the listing agent, using an expensive watch in place of earnest money. Which of the following is a TRUE statement
The offer could be accepted if the seller is informed of the nature of the deposit prior to acceptance
An Indiana broker manages three properties for the same owner. One property is in need of emergency repairs, but there is not enough money in the management account to cover the cost. The broker borrows money from the earnest/escrow account to make the re
The broker could be disciplined for an escrow/trust account violation
An Indiana broker establishes an escrow/trust account to hold money belonging to others
the account must be clearly identified as an escrow/trust account
An Indiana broker received an accepted offer to purchase with a buyer's earnest money check for $5,000. The broker immediately cashed the check. At the closing, the broker handed the title company a check drawn on the broker's company operating account fo
should have deposited the monies in an interest bearing trust/escrow account
An Indiana licensed buyer agent offers a $500 commission rebate to all buyers who utilize his agency services. Which of the following is a TRUE statement
The rebate is allowable if it is disclosed to all parties to the transaction
An Indiana licensee receives monetary compensation from a home warranty company if a home warranty is sold in connection with a real estate transaction. Which of the following is TRUE
disclosure of the compensation is required to all parties to the transaction
An individual who has recently passed the sales person licensing examination contacts an Indiana principal broker. The individual explains that he has full time employment and does not intend to be active in the real estate business. This individual would
decline to hold the license
How is a broker associate advertising his or her real estate services in Indiana different than a sales person doing the same
There is no difference, as both types of licensees must follow the same guidelines
Regarding advertising requirements in Indiana
advertising that carries a licensee's name must also contain the name of the principal broker or firm
For sale signs used in real estate advertising
may be placed on a property only with the written consent of the seller or authorized agent
Indiana real estate advertising requirements would be violated if a licensee
places an ad in church newsletter without the name of the principal broker or firm
Indiana sales person J paid the local telephone company to list her name in the directory under the real estate heading as "j, real estate sales person, residential property, my specialty." Based on this information, J must also include
the name of her employing broker
An Indiana associate broker who wishes to place a for sale sign on a listed property must first
obtain a written consent of the owner
When advertising real property, Indiana real estate licensees
must state the firm name or the principal broker's name
An Indiana real estate licensee decides to sell her or his property without using a broker. When advertising the property, the licensee
must disclose the fact that he or she is a real estate licensee
A sales person associated with an Indiana real estate firm has a compensation arrangement that requires her to pay all of her own expenses in addition to her share of the firm's expenses. She has contracted with a signage company for two large billboard s
must have the firm's name in larger print than her own name
principal brokers in the state of Indiana must follow certain guidelines. One guideline is that principal broker is
responsible for the actions of sales persons and broker-sales persons associated with him
An Indiana principal broker becomes incapacitated and dies. At that time, the associates who worked for this person
may complete any business that is under contract for a maximum of 90 days, but may not take any new business
What happens when an Indiana licensee transfers from one principal broker to another
The licensee's license must be returned to the commission office within five days
An Indiana licensed sales person may lawfully accept compensation directly from
his or her principal broker
A licensed sales person may represent and be associated with more than one Indiana principal broker under which of the following circumstances
Under no circumstances
Several weeks after closing, an Indiana associate broker received a thank you letter and a nice bonus check from a seller of the home. The associate broker cashed the check because he felt it was earned. In this situation, the associate broker
violated the commission's rule by accepting the money
If an associated sales person is unable to collect a commission from his or her Indiana principal broker, what action can he take
File a civil lawsuit
A real estate company wishes to open a branch office operation. Which of the following is TRUE
The branch office shall constitute the managing broker's sole place of business
In Indiana, how long is a listing principal broker required to retain true copies of closing statement for all real estate transactions
Five years
A principal broker participating in a referral service must
have a written agreement with the referred client
A husband and wife obtaining a divorce own their home in Indiana as tenants by the entireties. This type of title
becomes a tenancy in common
Unless stated to the contrary in a deed, ownership of a real property by an Indiana married couple is presumed to be
tenancy by the entireties
To establish a marketable title in Indiana, an unbroken chain must be established for a period of at least
40 years
How far back does a normal Indiana title search go
40 years
All of the following legal description methods are used in Indiana EXCEPT
territorial plats
In Indiana, the local official that records deeds for the transfer of real property is the county
recorder
Property taxes in Indiana are due and payable on
May 10th and November 10th
Alisting agreement establishes an agency relationship between the
Principal broker and the seller
In Indiana, an exclusive buyer agency contract
must be indicated as such in the buyer agency agreement
Which type of agency relationship is generally created between an Indiana broker and seller
special
In Indiana, which of the following statements about listing agreement is TRUE
Listing agreements must be prepared in duplicate
The type of listing agreement in Indiana that provides for the listing broker to be compensated regardless of who sells the property is a
exclusive right to sell listing
The law that requires Indiana real estate contracts to be in writing in order to be enforceable is the
Statute of frauds
All purchase agreements in Indiana
must be prepared in quadruplicate
Listing agreements in the state of Indiana must be made in
duplicate, with the original retained by the listing broker
Under what circumstance is a net listing legal in Indiana
They must show a maximum amount of commission to be legal
Listings based on a a net price are
illegal in Indiana unless the seller is informed and agrees to a maximum amount of commission to be paid
An Indiana seller told the listing broker that she wanted to clear $50,000 when she sold her house. The broker accepted the listing with no maximum amount of commission to be paid and sold it for $160,000. He gave $50,000 to the seller and kept the rest.
The broker participated in an illegal net listing
An Indiana broker signs a listing agreement with a seller. The agreement contains the following clause: "if the listed property has NOT been sold after three months from the date of the signing, this agreement will automatically renew for additional three
illegal because it automatically renews
An Indiana seller listed his house for sale with a broker on February 1. The listing agreement was to expire in five months. In April, the seller decided to take his house off the market. Can the seller do this
Yes, the seller has withdrawn the broker's authority to sell the property, but may be liable for some expenses
When a listing is obtained, the Indiana listing licensee is obligated to
give a copy of the listing agreement to the seller at the time of signing
An Indiana homebuyer wants to have a clause included in the purchase agreement under which the seller offers assurances against the existence of ghosts on the property. Should the agent include this clause
Only a licensed attorney may prepare this type of clause
In Indiana, an individual may enter into legally enforceable contracts (with no exceptions) when he or she reaches the age of
18
If a minor enters into a contract in Indiana, what is the statutory period within which he or she may legally void the contract after reaching the age of majority
There is no statutory period