Fair Housing, Practice, and Disclosures Practice Question
Question
A seller is preparing to list a home for the Michigan Real Estate Salesperson Exam involving lead-based paint and agency and trust-money compliance. Which statement is the best answer? (Item 185)
Answer choices
- A. Apply federal disclosure concepts for pre-1978 residential housing in a way that fits Michigan exam practice.
- B. The requirement matters only when the buyer obtains institutional financing.
- C. The affiliated licensee may handle the matter independently without broker responsibility.
- D. Local custom controls even when a statute, regulation, contract, or disclosure rule applies.
Correct Answer
A. Apply federal disclosure concepts for pre-1978 residential housing in a way that fits Michigan exam practice.
Explanation
The correct answer is A because lead-based paint requires candidates to apply federal disclosure concepts for pre-1978 residential housing. The Michigan reference keeps the scenario tied to state licensing practice, while the other options rely on unsafe assumptions about oral custom, escrow, client preference, independent licensee authority, or ignoring written duties.
Question details
- Difficulty: easy
- Domain: Fair Housing, Practice, and Disclosures
- Objective: lead-based paint