Free Maryland Real Estate Broker State Portion Practice Questions

Sample Practice Questions

Try these 10 sample questions from the Maryland Real Estate Broker State Portion practice bank. Each includes the answer and explanation. Continue with the interactive practice above to review the full question set.

1. 1The Maryland Real Estate Commission is revising professional-conduct standards. Which action is expressly required by statute?

   1. A. Adopt a code of ethics by regulation
   2. B. Delegate ethics rules to each county
   3. C. Use only the national association code
   4. D. Submit each rule to local boards

   Answer: A

   Explanation: Maryland law states: "To protect the interests of the public, the Commission shall adopt, by regulation, a code of ethics to set standards of conduct for all individuals licensed under this title." Therefore, adoption by regulation is required.

   Reference: Article - Business Occupations and Professions — §17-207(a), PDF p. 581

2. 2Absent a statutory exception, what Maryland credential must a person hold to offer real estate brokerage services on the person's own behalf?

   1. A. Real estate broker license
   2. B. Associate broker license
   3. C. Salesperson license
   4. D. Property manager certificate

   Answer: A

   Explanation: Section 17-601(a) states that a person may not provide, attempt, or offer brokerage services "unless licensed by the Commission as a real estate broker."

   Reference: Article - Business Occupations and Professions — §17-601(a), PDF p. 681

3. 3Before a Maryland licensee advertises a residential property under an open listing, what must already have occurred?

   1. A. The listing is written and signed, and a copy is given to the owner
   2. B. The property is appraised by the Commission
   3. C. The listing is recorded in land records
   4. D. The seller deposits the commission in escrow

   Answer: A

   Explanation: COMAR requires all residential listings, exclusive or open, to "be in writing and signed, and a copy of the contract shall be given to the seller or owner before the licensee advertises, shows, or offers the property."

   Reference: Subtitle 11 REAL ESTATE COMMISSION | Library of Maryland Regulations — COMAR 09.11.01.10

4. 4By when must a Maryland broker ordinarily deposit trust money after both parties accept a sales contract?

   1. A. Within 3 calendar days
   2. B. Within 5 business days
   3. C. Within 7 business days
   4. D. At settlement

   Answer: C

   Explanation: The broker must deposit promptly, "but not more than 7 business days after the acceptance of a contract of sale by both parties."

   Reference: Article - Business Occupations and Professions — §17-502(b)(1), PDF p. 642

5. 5A Maryland seller's property is already under contract. Unless the brokerage agreement says otherwise, what duty applies when the listing licensee receives a later written offer?

   1. A. Present the later offer to the client in a timely manner
   2. B. The licensee need not actively seek additional offers
   3. C. The licensee may show other properties to prospective buyers
   4. D. The licensee may represent other clients seeking similar properties

   Answer: A

   Explanation: The other choices are real permissions or limits, but receipt of a written offer triggers the duty of "presenting in a timely manner all written offers or counteroffers to and from the client, even if the real estate is subject to an existing contract of sale or lease."

   Reference: Article - Business Occupations and Professions — §17-532(b)(1)(ii)(3), (b)(4), and (c), PDF pp. 671-672

6. 6May a Maryland licensee guarantee future profits from resale of real property?

   1. A. Yes, if the buyer signs a waiver
   2. B. Yes, for new construction
   3. C. No
   4. D. Only if the profit is under 10%

   Answer: C

   Explanation: A disciplinary ground is that a licensee "guarantees or authorizes or allows another person to guarantee future profits from the resale of real property."

   Reference: Article - Business Occupations and Professions — §17-322(b)(8), PDF p. 616

7. 7How often must the Maryland Real Estate Commission provide each licensee a copy of its code of ethics?

   1. A. At least once every 1 year
   2. B. At least once every 2 years
   3. C. At least once every 3 years
   4. D. At least once every 4 years

   Answer: B

   Explanation: Section 17-207(b)(1) says the Commission "at least once every 2 years, shall provide a copy of the code of ethics to each licensee."

   Reference: Article - Business Occupations and Professions — §17-207(b)(1), PDF p. 581

8. 8Which owner activity can qualify for Maryland's limited subdivision-sales licensing exemption?

   1. A. Selling up to six unimproved lots in a calendar year
   2. B. Selling up to ten improved homes each year
   3. C. Leasing any number of commercial units
   4. D. Auctioning any third-party property

   Answer: A

   Explanation: The exemption permits an owner to "sell, in a calendar year, 6 or fewer unimproved lots that the individual owns."

   Reference: Article - Business Occupations and Professions — §17-302(a)(1), PDF pp. 586-587

9. 9Which term is mandatory in a Maryland seller brokerage agreement?

   1. A. A definite termination date effective automatically without notice
   2. B. A five-year minimum duration
   3. C. An automatic annual renewal
   4. D. A guaranteed sales price

   Answer: A

   Explanation: The seller agreement shall "have a definite termination date that is effective automatically without notice from the client."

   Reference: Article - Business Occupations and Professions — §17-534(b)(1), PDF p. 674

10. 10Which Maryland trust-account requirement specifically governs the account's relationship to the broker's personal accounts?

    1. A. Maintain it separately from the broker's own accounts
    2. B. Maintain it solely for trust money
    3. C. Use a Maryland financial institution with insured deposits
    4. D. Use a non-interest-bearing account absent contrary written instructions

    Answer: A

    Explanation: All choices are actual trust-money rules, but only the first states the required relationship: the account must be maintained "separately from the real estate broker's own accounts."

    Reference: Article - Business Occupations and Professions — §§17-502(b)(1), 17-503, and 17-504, PDF pp. 642-643