Fair Housing, Practice, and Disclosures Practice Question

Question

A license applicant is reviewing a practice scenario for the Washington Real Estate Broker Exam involving risk documentation and seller disclosure and environmental awareness. Which answer best reduces risk? (Item 191)

Answer choices

1. A. Local custom controls even when a statute, regulation, contract, or disclosure rule applies.
2. B. The requirement matters only when the buyer obtains institutional financing.
3. C. Use written records and timely disclosure to reduce transaction disputes in a way that fits Washington exam practice.
4. D. The affiliated licensee may handle the matter independently without broker responsibility.

Correct Answer

C. Use written records and timely disclosure to reduce transaction disputes in a way that fits Washington exam practice.

Explanation

The correct answer is C because risk documentation requires candidates to use written records and timely disclosure to reduce transaction disputes. The Washington 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: risk documentation

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