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SC Property Managers License Test
information used for the SC Property Manager's Licensing Test
62
Real Estate & Planning
05/18/2013

Additional Real Estate & Planning Flashcards

 


 

Cards

Term
Associated Licensee
Definition
licensee who is affiliated with a broker in charge or a property manager in charge
Term
Branch Office
Definition
suboffice of a company in which full-service real estate activities are conducted and at which a broker in charge or property manager in charge are licensed to conduct real estate transactions
Term
Broker
Definition
individual who for a fee, salary, commission or other valuable consideration or who with the intent or expectation of receiving conpensation handles real estate transactions
Term
Broker in Charge
Definition
broker who is designated as having responsibility over actions of all associated licensees and also has the responsibility and control over and liability for any real estate trust accounts
Term
Client
Definition
person with who a licensee has established an agency relationship
Term
Real Estate Commission
Definition
group of individuals charged by ;aw with the responsibility of licensing or otherwise regulating the practice of real estate within the State of South Carolina
Term
Customer
Definition
person with who a licensee has NOT established an agency relationship
Term
Department of LLR
Definition
Department of Labor Licensing and Regulation
Term
Licensee
Definition
individual currently licensed under this chapter
Term
Office
Definition
Principal office location where a broker in charge or a property manager in charge is licensed to conduct real estate business
Term
Property Manager
Definition

One Who with the expectation of receiving compensation:

a. negotiates rental or leasing of real estate

b.lists or offers to list and provide services in connection with real estate

c. advertises or otherwise holds himself out to the public as being engaged in any of the foregoing activities

Term
Property Manager in Charge
Definition
property manager who is designated as having the responsibility over the actions of associated property managers and also the responsibility and control of trust accounts
Term
Trust Account
Definition
means an escrow account or properly designated bank account established and maintained by a BIC or a PMIC to safeguard funds belonging to parties in real estate transaction
Term
How many members of Real Estate Commission and who elects them?
Definition

Nine Members

6 who actively practice real estate elected from congressional districts

2 appointed by the governor- non real estate

1 elected by the other 8- real estate member

Term
What are the powers and duties of the Real Estate Commission?
Definition

1. determine standards for licensure

2. enforce standards for licensure with disciplinary hearings etc

reccommending changes in legislation

3. establishing fee schedule

Term
What do you have to do to qualify for a license? 
Definition

a. attained the age of 21 for PMIC

b. age of 18 for PM

c. pass credit report

d. graduated from high school or GED

e. submit proof of education requirement

f. pass the applicable exam

Term
Is there an educational requirement for the property managers license? 
Definition
No
Term
What is required to be a PMIC?
Definition

has an ownership interest in the applicants company 

OR 

actively engaged in the operation or management of the company

Term
How soon must the department be notified if a PM becomes disassociated with the PMIC?
Definition
The PMIC must notify the department immediately by letter and furnish a forwarding address
Term
How long do you have to wait and what do you have to do if your license gets revoked and you want it back? 
Definition

A Year

1.submit proof you are trustworthy and honest

2.submit proof of educational requirement if file is more than 5 years old

3. pass the exam

4. meet any other qualifications and conditions which apply to someone who has never been licensed

Term
How can you put your license on inactive status and for how long?
Definition
Notify the department in writing and pay your renewal fees each year. Can be inactive indefinitely
Term
If your license has lapsed how long do you have to pay your renewal dues before you have to reapply and test again?
Definition
6 months- plus all fees and penalty fees
Term
How often do you have to renew?
Definition
Biennially on June 30th
Term
What are the duties of the PMIC?
Definition

1. adequately supervise employees or associated licensees to ensure compliance

2. review and approve all forms of rental agreements

3.maintain  regular contact with licensees

4. instruct in the handling of trust funds 

5. Be available to the public during normal business hours to discuss complaints and disputes

6. ensure accurate and complete records

7. ensure backup copies are maintained for trust accounts

8. establish and maintain a written office policy 

Term
How long do you have to deposit monies into a trust or escrow account?
Definition
within 48 hours of receipt excluding Sat. Sun and bank holidays
Term
What monies remain in the trust account?
Definition
All monies that do not belong to the company- owner profits, resident security deposits, advance rents etc
Term
How many escrow accounts are required?
Definition
Companies with multiple offices may utilize one central trust account
Term
Definition
Term
What type of complaint does the Real Estate Commission not handle?
Definition
Commission Payout Disputes
Term
When do the monies in the escrow/trust account get disbursed? 
Definition
upon consummation or termination of the contract at which time money is disbursed and full accounting made to principal
Term
How can a dispute over an earnest money deposit be settled? 
Definition
If parties can not agree, an interpleader action in court
Term
commingling
Definition

putting personal money and money escrow money together in 1 bank account

This is not legal

Term
Can the owner of the trust account collect interest off of it?
Definition
Yes but only if the clients rights are waived in writing using  conspicuous language
Term
How long must financial documents and records be maintained?
Definition
5 years
Term
When can a licensee conduct business for an owner?
Definition
When a written contract is signed
Term
In the event of a personal transaction is the licensee required to disclose their licensee status?
Definition
Yes in all personal transactions
Term
What are the only duties an unlicensed employee of an owner for multi-unit rental property are allowed to do?
Definition

a. maintenance

b. clerical or admin support

c. collection of rents which are made payable to owner or company

d. showing of rental units to perspective tenants

e. furnishing published information

f. providing applications and lease forms

g. receiving applications and leases for submission to the owner or licensee for approval

Term
What must be on the management contract between a licensee and client?
Definition

1. names and signatures of both parties

2. property identification

3. terms including expiration date

 

Term
What can an unlicensed employee of a multi-unit real estate owner NOT do?
Definition

a. discuss or negotiate contracts

b. vary or deviate from the rental price

c. indicate to the public that the unlicensed individual is in a position of authority over the property

d. conduct or host an open house or manage an onsite sales office

e. show real property

f. answer questions regarding anything other than public info

g. discuss negotiate or explain a contract

h. be paid soley on the basis of real estate activity

Term
What does a licensee not have to disclose to a potential renter?
Definition

1. sickness that is not likely to be transferred

2. death or manner of death

3. location of registered sex offenders

4. offsite condition or hazard that does not directly impact property

5. any psychological impact like ghosts

6. UNLESS ASKED DIRECTLY

Term
Acting like a PM without a licensee is a ____________ and can get you a $______ fine or inprisoned not more than ______ months or both. 
Definition

Misdemeanor

$500 

6 months 

Term
Those not required to have a license to conduct real estate transactions: 
Definition

a. owner of the property

b. attorney at law acting within duties

c. state and federal agencies

d. court appointed receivers and trustees

Term
The Civil rights act of ______ states that all persons born in the US have the right to own property and who upholds this act? 
Definition

1866

Department of Justice

Term
What Supreme Court Decision upheld the civil rights act of 1866?
Definition

Jones vs. Mayer

bc of this discrimination still illegal today

Term
The fair housing act protects what seven classes?
Definition
Race, Color, Religion, National Origin, Sex, Familial Status, and Handicap
Term
Blockbusting
Definition
frightening people into renting or selling their property by manipulating their prejudices
Term
Steering
Definition
Licensee shows white clients homes in white areas and minority clients minority areas- everyone has the right to live anywhere they can afford
Term
Redlining
Definition
Being denied or subjected to stricter conditions on a loan or insurance due to a property being in a certain area
Term
Race
Definition
A person's race or the rate of persons with whom one associates
Term
Creed/Religion
Definition
formal statement of religious belief
Term
Color
Definition
A person's skin color
Term
Sex
Definition
A person's sex including harassment or intimidation
Term
National Origin
Definition
country of one's birth and or nationality of one's ancestors
Term
Familial Status
Definition
Family with at least one member under the age of 18, a pregnant woman or family obtaining custody of children
Term
Disability/Handicap
Definition
a physical or mental impairment which substantially limits one or more major life activities
Term
What are the exemptions to Fair Housing?
Definition

Religious organizations that own property

private club that owns property

housing for older persons

Sale by owner if they have less than 3 single family houses

Term
What is required for a property to be considered housing for older persons?
Definition
80% of units must be occupied by someone age 55 or older
Term
Who enforces Federal Fair housing laws?
Definition
HUD
Term
Who enforces state Fair Housing Laws?
Definition
SC Human Affairs Commission
Term
What is the time limit on federal fair housing complaints?
Definition
must be FILED within 1 year of the event and 2 years to file action in court
Term
What is the time limit for State fair housing complaints?
Definition
Must be filed within 6 months and court action filed within 1 year
Term
Definition