Fair Housing and Disclosures Practice Question

Question

A supervising broker is correcting a salesperson’s misunderstanding in a New York real estate transaction involving steering. Which answer best reduces transaction risk? (Item 231)

Answer choices

1. A. The party who complains first automatically receives the legal remedy requested.
2. B. Escrow automatically assumes all brokerage disclosure and agency duties.
3. C. Avoid directing prospects based on protected characteristics or neighborhood assumptions.
4. D. The client’s preference eliminates the need to disclose known material facts.

Correct Answer

C. Avoid directing prospects based on protected characteristics or neighborhood assumptions.

Explanation

The correct answer is C because steering requires candidates to avoid directing prospects based on protected characteristics or neighborhood assumptions. The other options rely on unsafe assumptions about custom, oral agreement, escrow, client preference, or independent salesperson authority and do not reflect sound New York exam practice.

Question details

• Difficulty: medium
• Domain: Fair Housing and Disclosures
• Objective: steering

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