Fair Housing, Practice, and Disclosures Practice Question
Question
An agent compares two similar exam concepts for the Tennessee Affiliate Broker Exam involving seller property disclosure and agency and property condition disclosure practice. Which statement is the best answer? (Item 90)
Answer choices
- A. The issue can be ignored if the parties want to close quickly.
- B. Recognize disclosure of known material property conditions in a way that fits Tennessee exam practice.
- 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
B. Recognize disclosure of known material property conditions in a way that fits Tennessee exam practice.
Explanation
The correct answer is B because seller property disclosure requires candidates to recognize disclosure of known material property conditions. The Tennessee 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: seller property disclosure