Fair Housing, Practice, and Disclosures Practice Question

Question

A salesperson notices a possible compliance problem for the Oregon Real Estate Broker Exam involving material facts and Oregon Real Estate Agency. What should the licensee understand? (Item 59)

Answer choices

  1. A. The affiliated licensee may handle the matter independently without broker responsibility.
  2. B. Local custom controls even when a statute, regulation, contract, or disclosure rule applies.
  3. C. Disclose known facts affecting value, desirability, or party decision-making in a way that fits Oregon exam practice.
  4. D. The requirement matters only when the buyer obtains institutional financing.

Correct Answer

C. Disclose known facts affecting value, desirability, or party decision-making in a way that fits Oregon exam practice.

Explanation

The correct answer is C because material facts requires candidates to disclose known facts affecting value, desirability, or party decision-making. The Oregon 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: medium
  • Domain: Fair Housing, Practice, and Disclosures
  • Objective: material facts

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