Oklahoma Real Estate Licensing & Regulation: Requirements, Responsibilities, Commission, Exams of Real Estate Management

Download Oklahoma Real Estate Licensing & Regulation: Requirements, Responsibilities, Commission and more Exams Real Estate Management in PDF only on Docsity! 1 Oklahoma Real Estate Exam latest solution 2024 --- How does the code Define Real Estate? - ANS>> Shall Include any interest or estate in real property. Does NOT include the interest of oil, gas or other mineral interest Real Estate Broker - ANS>> Shall include any person , Partnership, association, or cooperation, who for a fee lists, sells, offers to sell, buys, or attempts to buy, exchanges, rents, leases, or attempts to negotiate any such activity Broker Associate - ANS>> Shall include any person who is qualified for a license as a broker and in any act, or transaction set in in broker definition Real Estate Associate - ANS>> Any person having renewable license and employed or engaged by, or associated as and independent contractor with a real estate broker to do or deal in any act, acts or transactions set out in the definition of real estate broker Provisional Sales associate - ANS>> Shall Include any person who has been licensed after June 30, 1993 employed by a real estate broker to do or deal in any act, or transactions set out in the definition of real estate broker. and subject to an additional 45 hour post license educational requirement to be completed within 12 months Licensee - ANS>> Shall include any person who performs any act, acts or transactions set out in the definition of a broker and licensed under the OREC Commission - ANS>> Shall Mean the Oklahoma Real estate Commission Person - ANS>> Shall Include and mean every individual, partnership, Association or corporation, foreign and domestic. How Many Members does the OREC Have? - ANS>> 7 Members What or who Regulates and issues real estate licenses in OK - ANS>> Oklahoma Real Estate Commission What are the basic requirements to serve as a commissioner - ANS>> All members should be citizens and resident of the state of OK for at least three years prior to their appointment. Based on the occupation, how is the commission compromised - ANS>> 5 members Shall be licensed real estate brokers with 5 years of active experience. 1 member shall be a lay person not in the real estate business. and 1 member shall be an active representative of a school of real estate located in OK. 2 What is the limitation regard congressional districts - ANS>> No more than 2 members shall be appointed from the same congressional district. Who appoints OREC Members - ANS>> Appointed by the Governor with the advice and the consent of the senate How long is the term of an OREC member - ANS>> Terms are 4 years and until their successor is apponted What organization recommends candidates to serve as commissioners - ANS>> Oklahoma Association of realtors, INC Who can remove members of OREC and for what causes/reasons - ANS>> Members may be removed by the Governor, For inefficiency, neglect, or malfeasance in office int eh manner provided by law How much does the OREC earn while serving in an OREC capacity - ANS>> Travel expenses essential to performing the duties to his office What are the OREC Leadership positions - ANS>> Chairman, Vice chairman, secretary- treasurer, What is the OREC revolving fund - ANS>> Consist of all monies received by the OREC How often in the revolving fund audited and by whom? - ANS>> once a year and by the state auditor and inspector Can OREC Sue an be Sued - ANS>> yes Where must the OREC office be located - ANS>> Oklahoma city, Ok What are the powers and duties of OREC - ANS>> 1.promulgate rules 2.administer examinations 3. to sell to other entities, computer testing and license applications to recover funds. 4. issue licenses 5. more stuff 858-208 What governs OREC and defines the procedures for OREC performance - ANS>> Administrative procedures act What is a hearing examiner - ANS>> Has the power and authority to conduct hearing in the name of the commision Where can hearings take place - ANS>> any time or place 5 j. obey the specific directions of the party for whom the single-party broker is performing services that are not contrary to applicable statutes and rules or contrary to the terms of a contract between the parties to the transaction; k. inform the party for whom the Broker is providing services that the party may be vicariously liable for the acts and omissions of the Broker; and l. comply with all requirements of the Oklahoma Real Estate Code and all applicable statutes and rules. Transaction Broker - ANS>> same responsibilities of a Single-Party except for... a. performing all brokerage activities for the benefit of the party for whom the Broker is performing services, b. obeying the specific directions of the party for whom the Broker is performing services that are not contrary to law or c. keeping the party for whom the Broker is performing services informed regarding the transaction. A Transaction Broker does not provide services for the benefit of a party, but assists in the transaction. In addition, a party for whom a transaction Broker is performing services is not vicariously liable for the acts or omissions of Broker. If a broker does not have a written agreement with a client, what is the relationship - ANS>> What are the duties and responsibilities of a transaction broker - ANS>> Treat all parties with honesty, timely account for all money, keep confidential information, Disclose required information, comply with OREC laws What must happen if a broker is serving as a transaction broker without a written Agreement - ANS>> Compliance with the disclosure requirement shall be documented by the broker what can be the relationships when a broker assists only one party in a transaction - ANS>> 1.As a transaction broker without a written brokerage agreement; 2. As a transaction broker through a written brokerage agreement; or 3. As a single-party broker through a written brokerage agreement What can be the relationships when a broker assists both parties in a transaction - ANS>> 1. As a transaction broker for both parties; 6 2. As a single-party broker for one party and as a transaction broker for the other party 3. As a transaction broker where the broker has previously entered into a written brokerage agreement to provide services as a single-party broker for both parties. What must happen when a broker previously entered a relationship with both parties as a single party broker - ANS>> Which relationship does not have vicarious liability - ANS>> Transaction broker Which relationship does have vicarious liability - ANS>> Single Party broker what constitutes confidential information - ANS>> 1. That a party is willing to pay more or accept less than what is being offered; 2. That a party is willing to agree to financing terms that are different from those offered; and 3. The motivating factors of the party purchasing, selling, leasing, optioning, or exchanging the property What does a broker have when a transaction is complete - ANS>> the broker owes no further duties or responsibilities to the party after termination, expiration, or completion of performance of the transaction, except: 1. To account for all monies and property relating to the transaction; and 2. To keep confidential all confidential information received by the broker during the broker's relationship with a party. When a client pays (or promises to pay) a broker, does this act establish a relationship - ANS>> does not determine what relationship, if any, has been established between the broker and a party to a transaction Who can use the word agent - ANS>> A real estate broker and the associates of the real estate broker are permitted under the provisions of this title to use the word "agent" in a trade name and as a general reference for designating themselves as real estate licensees. Who must be associated with a real estate broker - ANS>> Each broker associate, sales associate, and provisional sales associate shall be associated with a real estate broker Who May not be refer to themselves as a broker - ANS>> associates shall not refer to themselves as a broker. 7 What is the penalty for violating the Code - ANS>> Be guilty of a misdemeanor punishable by a fine of not more than One Thousand Dollars ($1,000.00), or by imprisonment in the county jail for not more than six (6) months, or by both such fine and imprisonment What is the punishment for engaging in real estate activities without a license - ANS>> 1.impose a fine of not more than Five Thousand Dollars ($5,000.00) or the amount of the commission or commissions earned 2.Make application to the appropriate court for an order enjoining such acts or practices, and upon a showing by the Commission that such person has engaged in any such acts or practices, an injunction, restraining order, 3.Impose administrative fines pursuant to this subsection which shall be enforceable in the district courts of this state. Where does the OREC deposit the money paid for fines - ANS>> deposited in the Oklahoma Real Estate Education and Recovery Fund. If the OREC fines a licensee, what is the cost range of such a fine - ANS>> be less than One Hundred Dollars ($100.00) and shall not exceed Two Thousand Dollars ($2,000.00) for each violation of this Code or the rules of the Commission, or b. exceed Five Thousand Dollars ($5,000.00) for all violations resulting from a single incident or transaction; What is the time limit to pay an OREC fine - ANS>> fines shall be paid within thirty (30) days of notification what can happen to a licensee's license when fined - ANS>> license may be suspended until any fine imposed upon the licensee by the Commission is paid After 30 days, what is the amount of the fine - ANS>> Fines shall double and the licensee shall have an additional thirty day period. What happens if a fine has not been paid in 60 days - ANS>> the license shall automatically be revoked 10 When and for what purpose may OREC expend education and recovery fund money at the commission's discretion - ANS>> when Funds exceeds Two Hundred Fifty Thousand Dollars ($250,000.00) What is the primary purpose of the OK Real estate commission - ANS>> to safeguard the public interest and provide quality services by assisting and providing resources; encouraging and requiring high standards of knowledge and ethical practices of licensees; investigating and sanctioning licensed activities; and through the prosecution of any unlicensed person who violates the "Oklahoma Real Estate License Code and Rules." Who may petition the commission to amend or repeal any rule - ANS>> Any person may petition the Commission in writing requesting a promulgation, amendment or repeal of any rule. what is the contract forms committee - ANS>> drafts and revises residential real estate purchase contracts and any related addenda for standardization and use by real estate licensees What is the composition of the contract forms committee - ANS>> consist of eleven (11) members. Who appoints the contract forms committee members and in what numbers - ANS>> Three (3) members shall be appointed by the Oklahoma Real Estate Commission; three (3) members shall be appointed by the Oklahoma Bar Association; and five (5) members shall be appointed by the Oklahoma Association of Realtors, Incorporated. Contract forms committee members serve for how long - ANS>> The initial members' terms shall begin upon development of the forms and each member shall serve through the effective date of implementation of form(s) plus one (1) year According to the rules, what is the definition of advertising - ANS>> all forms of representation, promotion and solicitation disseminated in any manner and by any means of communication to consumers for any purpose related to licensed real estate activity. What is a bona fide offer - ANS>> an offer in writing. what is a trade name - ANS>> the name a firm is to be known as and which is used in advertising by the firm to promote and generate publicity for the firm. A firm may or may not do business in the name under which their license is issued but must register with the Commission all trade names used by the firm What is the time limit to appeal an OREC adverse administrative action - ANS>> within thirty (30) days of notice of such action or decision, 11 What is the fee applied to a returned check for payment of a fee to OREC - ANS>> fee of Thirty-five Dollars ($35.00) will be charged How many clock Hours must a provisional sales associate candidate complete - ANS>> ninety (90) clock hours of instruction or its equivalent How many clock hours must a broker candidate complete - ANS>> at least ninety (90) clock hours of instruction What is the OREC requirement concerning in class attendance - ANS>> a person must physically be present during all of the offering time and successfully complete all course requirements to include an examination According to the rules what constitutes good moral character - ANS>> (1) Whether the probation period given in a conviction has been completed and fully satisfied to include fines, court costs, etc. (2) Whether the restitution ordered by a court in a criminal conviction or civil judgement has been fully satisfied. (3) Whether a bankruptcy that is real estate related has been discharged. (4) Whether an applicant has been denied licensure or a license has been suspended or revoked by this or any other state or jurisdiction to practice or conduct any regulated profession, business or vocation IF OREC denies an applicant a lincese, what course of action can the applicant take - ANS>> Upon written request from the applicant, filed within thirty (30) days after receipt of such notice of denial, the Commission shall set the matter for hearing What is the minimum number of day's notice OREC must give before a hearing - ANS>> within sixty (60) days after receipt of the applicant's request. what are the requirements to obtain a brokers license - ANS>> served two (2) years, or its equivalent, as a licensed real estate provisional sales associate and/or sales associate, with and under the instructions and guidance of a licensed real estate broker of this state or any other state at least twenty-four (24) months within the five (5) year period What must an Applicant do to test - ANS>> be required to appear in person, at a time and place to be designated by the Commission, and answer questions based on the required subject matter as prescribed elsewhere in the rules of this Chapter. what is the cost of the broker examination - ANS>> $75 What is the cost for a provisional Sales associate examination - ANS>> $60 12 Special accommodations comply with what law - ANS>> What must an applicant do to retest after a test failure - ANS>> pay another examination fee What right does an applicant have after a failed examination - ANS>> review test and appeal for correct grading For how long is a test application valid and from what starting date - ANS>> 1 year from the date of filing What percentile is considered a passing grade - ANS>> 75% For how ling is the test result valid and from what starting date - ANS>> 90 days after the day of testing If OREC directs an examination as disciplinary action, who pays the testing fee - ANS>> Applicant How does the code define continuing education - ANS>> any real estate oriented education course or equivalent, hereinafter called offering(s) intended: (1) To improve the knowledge of licensees. (2) To keep licensees abreast of changing real estate practices and laws. (3) To help licensees meet the statutory requirements for license renewal. What is the purpose of continuing education - ANS>> provide an educational program through which real estate licensees can continually become more competent and remain qualified to engage in real estate activities for which they are licensed. Goal of continuing education is to protect consumers for what or whom - ANS>> unknowledgeable licensees. Continuing education pertains to laws at what level of the government - ANS>> federal, state and local laws and regulations which affect real estate practices Who is ultimately responsible to furnish OREC with documentation on completion of continuing education - ANS>> Individual licnesee's How many hours must a licensee complete - ANS>> minimum of twenty-one (21) clock hours What constitutes evidence of completion - ANS>> (1) A certificate, and/or documents, statements and forms, as may reasonable be required by the Commission, or 15 What must accompany a name change filing with OREC - ANS>> The licensee or firm shall return the license certificate to the Commission office along with the request for such name change. what is the OREC fee to change a license - ANS>> $25 dollars If a licensee requests a certified license history, what is the OREC fee - ANS>> Fifteen Dollars ($15.00) Where would a licensee's license be displayed - ANS>> Branch office Within how many days must a new branch office broker be appointed - ANS>> within ten (10) days How may a branch office use a name different than a main office - ANS>> if the branch office also utilizes, for identification and connection purposes, the name or trade name of the main office What must each broker maintain - ANS>> maintain a specific place of business Whose license must a broker display - ANS>> broker's license, as well as those of all licensees associated with the broker, must be prominently displayed in such place of business What is the minimum size a construction of a brokers office - ANS>> The office shall consist of at least one enclosed room or building of stationary construction wherein negotiations and closing of real estate transactions of others may be conducted and carried on with privacy a What does OREC say about an office in a brokers residence - ANS>> if not contrary to local zoning ordinances How can a broker be a broker for more than one firm - ANS>> so long as the firms are at the same location For whom is a broker responsible - ANS>> all real estate related activities of any unlicensed assistant working within the firm. What is the requirement for office identification - ANS>> shall erect and maintain a sign on or about the entrance of his or her office, and all branch offices, which sign shall be easily observed and read by persons about to enter any of said offices Broker office signs must have letters at least what size - ANS>> all in letters not less than one (1) inch in height 16 When must trade names be registered - ANS>> prior to the trade name being advertised or displayed in any way What is the first requirement for advertising real estate - ANS>> must use his or her business trade name or the name under which the broker is licensed what is the restriction regarding contact information in an advertisment - ANS>> No real estate advertisement shall show only a post office box number, telephone number or street address. what must a property owner do before advertising real estate - ANS>> Given permission of the owner or the owner's authorized representative and said permission has a definite date of expiration. Within how many days must a broker file a change of business address with the OREC - ANS>> within ten (10) days of such change What is the OREC fee for a broker change of business address - ANS>> Twenty-five Dollars ($25.00) for each license to be changed Within how many days must a broker file a change of the brokers home address with the OREC - ANS>> within ten (10) days of such change What is the OREC fee to change a brokers Home address - ANS>> Twenty-five Dollars ($25.00) will be charged if the change requires a new license to be issued With the death or disability of a broker, within how many days must advertising terminate - ANS>> within thirty (30) days of death or disability of the broker All acts performed by an associate must be in the name of whom - ANS>> done only in the name of the associate's broker. Who is responsible for the acts of an associates unlicensed assistant - ANS>> An associate who employs an unlicensed assistant is responsible in conjunction with the broker for all real estate related activities of the unlicensed assistant. Who retains custody of an associates license - ANS>> the associate's broker Within how may days must an associate file with OREC a change of office form - ANS>> within ten (10) days. What action with OREC must the new broker take when an associate moved - ANS>> cause the license of that associate to be forwarded to the Commission along with a release of association form. The broker shall make every attempt to notify the associate of the disassociation 17 What is the OREC fee to change offices - ANS>> fee of Twenty-five Dollars ($25.00). IF a broker refuses to release an associate what action must the associate take - ANS>> notify the broker by certified mail of the disassociation and furnish the Commission a sworn statement that the notification has been served on the broker. When an associate move to a new broker, within what time limit can the associate continue to engage in real estate activities - ANS>> may act as if the change is done What is the procedure for a dissociated associate to be compensated by the prior broker - ANS>> may pay directly to the associate from the previous broker Within how many days must an associate file with OREC a change in home address - ANS>> within ten (10) days of such change What is the OREC Fee to change and associate address - ANS>> No fee is required to change the licensee's records; however a fee of Twenty-five Dollars ($25.00) will be charged if the change requires a new license to be issued. What criteria must apply to any financial institution wherein earnest money is deposited - ANS>> deposits are insured by an agency of the federal government. Whose name must be on the account - ANS>> The broker What is the time limit for depositing escrow funds - ANS>> before the end of the third banking day following acceptance of an offer by an offeree when may a broker disperse funds from a trust account - ANS>> until the transaction involved is consummated or terminated and proper accounting made. What is the definition of comingling - ANS>> may not keep any personal funds in the trust account except amounts sufficient to insure the integrity of the account and cover any charges made by the financial institution for servicing the trust or escrow account. What must a broker do with regards to an interest bearing trust account - ANS>> must disclose in writing to all parties that the account bears interest and identify the party receiving the interest Are brokers required by OREC to maintain a trust account - ANS>> not unless monies or other depositable items belonging to others are accepted by the broker With whom must a broker register all trust accounts. - ANS>> required to notify the Commission in writing of all trust or escrow accounts, security deposit accounts, rental management operating accounts, and interest bearing accounts in which trust funds are held