Fair Housing, Practice, and Disclosures Practice Question
Question
An agent compares two similar exam concepts for the South Carolina Real Estate Salesperson Exam involving redlining and state disclosure practice. Which answer best reduces risk? (Item 85)
Answer choices
- A. Recognize discriminatory lending or service denial based on area characteristics in a way that fits South Carolina exam practice.
- B. The issue can be ignored if the parties want to close quickly.
- C. The rule applies only to commercial transactions and never to residential transactions.
- D. Client funds may be mixed with business funds if the broker reconciles the account later.
Correct Answer
A. Recognize discriminatory lending or service denial based on area characteristics in a way that fits South Carolina exam practice.
Explanation
The correct answer is A because redlining requires candidates to recognize discriminatory lending or service denial based on area characteristics. The South Carolina 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: redlining