Contracts, Finance, and Transfer Practice Question
Question
A license applicant is reviewing a practice scenario for the Pennsylvania Real Estate Salesperson Exam involving financing contingency and consumer notice concepts. Which statement is most accurate for exam purposes? (Item 189)
Answer choices
- A. Understand buyer protection tied to loan approval or financing terms in a way that fits Pennsylvania exam practice.
- B. The party who complains first automatically receives the remedy requested.
- C. Escrow or closing staff automatically assume all brokerage agency and disclosure duties.
- D. The client’s preference eliminates the need to disclose known material facts.
Correct Answer
A. Understand buyer protection tied to loan approval or financing terms in a way that fits Pennsylvania exam practice.
Explanation
The correct answer is A because financing contingency requires candidates to understand buyer protection tied to loan approval or financing terms. The Pennsylvania 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: Contracts, Finance, and Transfer
- Objective: financing contingency