Passed Exam Today Maryland-Real-Estate-Salesperson

For pre-1978 residential housing, federal law (Title X) requires the lead-based paint disclosure, EPA pamphlet delivery, and an opportunity for a lead assessment. This is a material, mandatory disclosure. Medical history of prior occupants (e.g., HIV, Ebola) is not disclosed and implicates fair housing and privacy. Number of prior owners is not a material defect by itself.

Under Section 1031 of the Internal Revenue Code, an investor may defer recognition of capital gains taxes by exchanging one investment or business property for another of like kind.

This is known as a 1031 tax-deferred exchange.

The Maryland pre-licensing course covers this as a financing and investment concept, explaining that it defers, not eliminates, the tax obligation and that investors must comply with strict timelines and rules set by the IRS.

Licensees should avoid offering tax advice but can inform clients of the potential to explore this option with a qualified tax professional or attorney.

Reference (Maryland Source):

– Maryland 60-Hour Principles and Practices Course, Investment and Taxation Concepts section.

– Internal Revenue Code §1031 (Like-Kind Exchanges).

In the “Math for Real Estate and Practical Applications” portion, area and measurement conversions are foundational. An acre is defined as 43,560 square feet. Option B (“43,560 feet”) is incorrect because it omits the necessary square unit. The course emphasizes accurate units and conversions for calculations involving land area, price-per-square-foot/acre, and legal descriptions.

References (Course Outline/Study Topics): Maryland 60-Hour Principles and Practices of Real Estate — “Math for Real Estate” (Area/acre conversions; unit accuracy).

Under Maryland’s agency law, a licensee must establish a relationship of trust, confidence, and loyalty with a client.

Meeting face-to-face helps the agent explain agency relationships, present the Understanding Whom Real Estate Agents Represent disclosure, and begin building rapport and confidence, which are critical in fiduciary relationships.

As emphasized in the Brokerage and Agency module, personal contact helps ensure informed consent and professional transparency—never to collect personal demographic or financial data outside proper procedures.

Reference (Maryland Source):

– Maryland 60-Hour Principles and Practices Course, Law of Agency and Broker-Client Relationships section.

– Business Occupations and Professions Article §17-530 through §17-534.