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Real Estate Maryland Real Estate Salesperson Examination Sample Questions (Q182-Q187):

NEW QUESTION # 182
Which loan type is a fixed-rate mortgage where the monthly principal payments increase over time, according to a set schedule?

A. Blanket
B. Growing equity
C. Negative amortization
D. Pledged account

Answer: B

Explanation:
The financing module defines a Growing Equity Mortgage (GEM) as a fixed-rate loan with scheduled payment increases applied directly to principal, accelerating amortization and reducing total interest over the life of the loan. This differs from negative amortization (where payments don't cover interest and the balance grows), blanket mortgages (cover multiple parcels with a release clause), and pledged account mortgages (use a pledged savings account to subsidize payments).
References: Maryland 60-Hour Principles and Practices of Real Estate - Financing: mortgage types and characteristics; GEM structure, payment increases, and accelerated amortization.

NEW QUESTION # 183
Which type of antitrust violation involves two or more businesses conspiring against another business?

A. Tie-in arrangement
B. Price fixing
C. Group boycotting
D. Market allocation

Answer: C

Explanation:
A group boycott occurs when two or more competitors conspire to refuse to deal with another firm or individual, thereby attempting to eliminate competition.
This is a violation of the Sherman Antitrust Act and the Clayton Act, both covered in the "Ethics and Antitrust" section of the Maryland pre-licensing course.
Examples include two brokerages agreeing not to cooperate with a third brokerage or to exclude another licensee from access to listings.
Maryland law and the National Association of REALTORS Code of Ethics prohibit any conduct that restricts trade or limits consumer choice.
Reference (Maryland Source):
- Maryland 60-Hour Principles and Practices Course, Fair Housing and Ethics / Antitrust section.
- Sherman Antitrust Act (15 U.S.C. 1).
- Clayton Antitrust Act (15 U.S.C. 12-27).

NEW QUESTION # 184
What type of violation are you committing when you fail to include a material fact or make false or misleading advertising statements?

A. Misrepresentation
B. Improper brokerage commission
C. Improper delivery of instruments
D. Conflict of interest

Answer: A

Explanation:
Misrepresentation occurs when a licensee omits or falsifies a material fact or makes false, deceptive, or misleading statements in advertising or communications. In Maryland, misrepresentation is a violation under17-322(a)(1) and COMAR 09.11.02.01 (Advertising). A material fact is any information that could influence a consumer's decision in a real-estate transaction. Intentional misrepresentation may also lead to civil liability for fraud.
Reference:Maryland 60-Hour Principles and Practices Course - "Agency and Advertising Ethics" Section; Maryland Business Occupations and Professions 17-322(a)(1); COMAR 09.11.02.01.

NEW QUESTION # 185
Which agency duties survive termination of an agreement?

A. Confidentiality, loyalty, and accounting
B. Confidentiality and accounting
C. Accounting and loyalty
D. Reasonable skill and care, confidentiality, and loyalty

Answer: B

Explanation:
When an agency relationship ends (expiration, completion, mutual agreement, or termination), certain duties survive: chiefly confidentiality (protecting client confidences and motivations) and accounting (proper handling and return of money, keys, and documents; final accounting for trust funds). Duties such as loyalty and reasonable skill and care do not continue after termination.
References (Maryland Pre-Licensing Core Content):
* Maryland 60-Hour Course: "Maryland Agency Law" (scope of fiduciary duties; duties that survive agency termination).
* COMAR 09.11.02 (confidentiality and accounting obligations).

NEW QUESTION # 186
You represent a buyer of a $1 million property. The seller's agent offers a 2.5% cooperative agent compensation. Who's your client?

A. The buyer
B. The seller's agent
C. The seller's agent's broker
D. The seller

Answer: A

Explanation:
Comprehensive and Detailed Explanation From Exact Extract of Maryland 60-Hour Principles and Practices of Real Estate Pre-Licensing Course:
Under Maryland law, agency relationships are determined by who the licensee represents, not by who pays the compensation.
Even though the buyer's agent may receive payment from the listing broker via a cooperative compensation (often shared through the MLS), that payment does not make the buyer's agent an agent of the seller.
The licensee's fiduciary duties-loyalty, confidentiality, disclosure, obedience, reasonable care, and accounting-belong solely to the buyer, the client under the brokerage agreement.
This principle is detailed under the Maryland Agency Law section of the pre-licensing course.
Reference (Maryland Source):
- Maryland 60-Hour Principles and Practices Course, Law of Agency module.
- Business Occupations and Professions Article §17-530 through §17-534.
- COMAR 09.11.07.01 - Disclosure of Agency Relationships.

NEW QUESTION # 187
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