Agency Relationships and Disclosures Practice Question
Question
An investor is comparing two properties involving lead-based paint disclosure. What should a California real estate licensee understand? (Item 33)
Answer choices
- A. Recognize federal disclosure duties for pre-1978 housing.
- B. It is primarily a tax rule with no effect on brokerage practice.
- C. It removes the need for written disclosure if the licensee believes the client already knows.
- D. It can be ignored if the transaction is expected to close quickly.
Correct Answer
A. Recognize federal disclosure duties for pre-1978 housing.
Explanation
The correct answer is A because lead-based paint disclosure requires candidates to recognize federal disclosure duties for pre-1978 housing. The other options overstate the effect of custom, oral agreement, escrow, or independent salesperson action and do not reflect safe California exam practice.
Question details
- Difficulty: easy
- Domain: Agency Relationships and Disclosures
- Objective: lead-based paint disclosure