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Real Estate Massachusetts Real Estate Salesperson Exam Sample Questions (Q81-Q86):

NEW QUESTION # 81
Which of the following acts does NOT require notifying the Board of Registration?

A. A broker conducts business under the broker's own name.
B. A salesperson terminates employment with one broker and affiliates with another.
C. A broker changes his or her mailing address.
D. A broker commences business under the trade name of ABC Realty.

Answer: A

Explanation:
Massachusetts real estate law requires licensees to notify the Board of Registration of Real Estate Brokers and Salespersons of any changes that affect their license status or operations. This includes:
Change of mailing address (M.G.L. c. 112, 87YY).
Change of broker affiliation for salespersons.
Operating under a trade name (which requires Board approval and proper business certificates).
However, a broker who conducts business under their own legal name does not need to notify the Board separately of this fact. The license is already issued in the broker's name, so no additional approval is required unless a trade or business name is used.
Reference: 254 CMR 2.00; M.G.L. c. 112, 87YY.

NEW QUESTION # 82
What kind of lease would require the lessee to pay the taxes, insurance, repairs, and other operating expenses of the premises in addition to the regular rental payment?

A. graduated lease
B. net lease
C. percentage lease
D. gross lease

Answer: B

Explanation:
In a net lease, the tenant (lessee) is responsible not only for the base rent but also for additional property expenses such as real estate taxes, insurance, maintenance, and sometimes repairs. This is common in commercial leasing, particularly for office buildings and retail space.
A gross lease (B) means the landlord pays all expenses, while the tenant pays only rent. A percentage lease (A) bases rent partly on tenant sales (common in retail malls). A graduated lease (C) allows rent increases at set intervals.
Because the question describes a tenant paying rent plus taxes, insurance, and operating expenses, this is a net lease.
Reference: Massachusetts Real Estate Salesperson Candidate Handbook - Leasing & Property Management; Commercial Leasing Practices.

NEW QUESTION # 83
A broker lists a property abutting a pond. A potential buyer is interested in the property but plans to build an addition onto a boathouse. The buyer will need

A. Approval from the State Sanitary Commission.
B. A letter of interim control.
C. A certificate of compliance.
D. Approval from the local conservation commission.

Answer: D

Explanation:
If a property abuts a pond, the potential construction of any addition, especially near water, may require approval from the local conservation commission. This is because Massachusetts law, under the Massachusetts Wetlands Protection Act (M.G.L. c. 131, § 40), regulates activities near water bodies, wetlands, and other protected areas to preserve the environment and control construction near these sensitive areas.
The local conservation commission is responsible for approving construction projects that could affect the pond or surrounding wetlands. If the buyer intends to build near the pond, especially on land that may fall under these regulations, they must seek the approval of the local conservation commission before proceeding with construction.
Reference: M.G.L. c. 131, § 40 - Wetlands Protection Act; Massachusetts Real Estate Candidate Information Bulletin - Environmental Issues.

NEW QUESTION # 84
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. an instance of illegal conversion of funds.
B. permissible as long as the broker is entitled to at least $7,000 in commission.
C. permissible if the seller was informed about the transfer of funds.
D. a violation of federal banking regulations.

Answer: A

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 # 85
The heir to a large estate will be of legal age within 30 days. The heir lists for sale with a broker one of the properties held by the estate. The broker knows of a buyer for the property and sells it within 24 hours of listing, with closing to be in 45 days. Both listing and sale contracts are

A. voidable.
B. executory.
C. fulfilled.
D. executed.

Answer: A

Explanation:
Comprehensive and Detailed Explanation (150-250 words):
Contracts entered into by a minor (a person not yet of legal age) are generally voidable at the option of the minor. In this case, the heir is still underage when signing both the listing and the sales contract. Although enforceable by the minor, they may be disaffirmed before reaching majority age or within a reasonable time thereafter.
Fulfilled (A) applies only once all terms have been performed.
Executed (B) means fully performed; here, the contracts are not.
Executory (D) means still in progress, which is true, but the critical legal issue is that the contracts are voidable due to minority.
Therefore, both contracts are voidable.
Reference: Massachusetts Real Estate Salesperson Candidate Handbook - Contracts; M.G.L. c.231 §85O (contracts with minors).

NEW QUESTION # 86
......

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Valid Massachusetts-Real-Estate-Salesperson Learning Materials - Exam Massachusetts-Real-Estate-Salesperson Bible

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Real Estate Massachusetts Real Estate Salesperson Exam Sample Questions (Q81-Q86):

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