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| Section | Objectives |
|---|---|
| Massachusetts State-Specific Real Estate Law | - State Licensing Laws
|
| National Real Estate Principles & Practices | - Agency Principles
|
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NEW QUESTION # 257
If owners ask a broker not to show a property to recipients of government assistance, the broker must
Answer: A
Explanation:
Massachusetts law (M.G.L. c. 151B, § 4) prohibits discrimination in housing based on receipt of public assistance, such as Section 8 housing vouchers or other government aid. If a seller instructs a broker not to show a property to prospective buyers or renters receiving government assistance, the broker cannot legally comply with that request.
The broker's fiduciary duty to the client does not extend to violating fair housing law. In such cases, the broker must refuse the listing because accepting it would require them to engage in unlawful discriminatory practices. Reporting to the Board or MCAD is not required; the appropriate action is simply to refuse participation in illegal activity.
This aligns with the Massachusetts Real Estate Licensing Law and MCAD enforcement rules, which hold licensees personally responsible for discriminatory conduct in real estate transactions.
Reference: Massachusetts General Laws c. 151B, Massachusetts Fair Housing Law; MCAD Fair Housing Guidelines; 254 CMR 3.00.
NEW QUESTION # 258
Which characteristic distinguishes joint tenancy from tenancy in common?
Answer: C
Explanation:
The correct answer is B, right of survivorship. Under joint tenancy, when one joint tenant dies, that owner ' s interest generally passes by operation of law to the surviving joint tenant or tenants rather than through the deceased owner ' s probate estate.
Massachusetts Land Court guidance expressly describes joint tenants as persons sharing title to the same real estate who possess a right of survivorship.
Tenancy in common works differently. Each tenant in common owns an undivided interest, which may be equal or unequal, and each has a right to possess the whole property. When a tenant in common dies, that person ' s ownership interest does not automatically pass to the other co-owners. Instead, it passes according to the owner ' s will or applicable intestacy law.
Joint tenancy therefore combines concurrent ownership with survivorship. Candidates should also recognize tenancy by the entirety, which is a separate Massachusetts form of survivorship ownership available to spouses.
Study Guide Reference: Property Ownership - Joint Tenancy, Tenancy in Common and Right of Survivorship.
NEW QUESTION # 259
Disclosure of licensee relationships to prospective buyers and sellers is required
Answer: D
Explanation:
In Massachusetts, licensee relationship disclosure is governed by M.G.L. c. 112, § 87AAA and 254 CMR
3.00. State law requires that real estate agents disclose their agency relationship to prospective buyers and sellers at the first personal meeting to discuss a specific property. This requirement is primarily intended for residential transactions involving one- to four-family properties.
This disclosure clarifies whether the agent represents the seller, the buyer, or is functioning in another capacity (such as a facilitator). It ensures that consumers are fully informed about where the licensee's loyalty lies before substantive discussions occur.
The law does not require agency disclosure for mere inquiries (phone or internet), for general real estate discussions, or for commercial property listings. The specific trigger is the first personal meeting to discuss a specific single-family property.
Reference: 254 CMR 3.00; Massachusetts Real Estate License Law Summary; Consumer Guide to Real Estate Agency Relationships.
NEW QUESTION # 260
A building was purchased for $350,000 with a 20% down payment. If the lender charged the buyer three discount points, how much will the buyer need to close?
Answer: C
NEW QUESTION # 261
Which hazardous building material was historically used extensively in insulation, fireproofing, floor products, and other components in many older schools and commercial buildings?
Answer: B
Explanation:
The correct answer is A, Asbestos. Asbestos was historically incorporated into numerous building materials because of its strength, heat resistance, and fire-resistant properties. Older commercial buildings, schools, apartment buildings, and houses may contain asbestos-containing insulation, pipe covering, floor tile, ceiling materials, siding, and other components.
The principal health danger occurs when asbestos-containing material is damaged or disturbed in a manner that releases microscopic fibers into the air. Inhalation can result in severe diseases with long latency periods.
The source-bank wording describing asbestos as the "biggest problem" in schools and office buildings is too sweeping. The technically useful exam concept is that asbestos is a major hazardous-material concern associated with many older buildings.
Real estate professionals should avoid giving environmental or medical conclusions beyond their competence.
Appropriate inspection, sampling, removal, encapsulation, and disposal can be highly regulated and should be performed by qualified professionals.
Study Guide Reference: Practice of Real Estate - Environmental Hazards; Asbestos and Hazardous Building Materials.
NEW QUESTION # 262
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