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Real Estate Massachusetts Real Estate Salesperson Exam Sample Questions (Q37-Q42):

NEW QUESTION # 37
On which of the following must the landlord pay interest when collecting first month, last month, and security deposit?

A. Security deposit and last month
B. Last month only
C. Only if they are deposited in an interest-bearing account
D. First month only

Answer: A

Explanation:
Under M.G.L. c. 186, 15B, landlords in Massachusetts must pay interest on both the security deposit and the last month's rent if these funds are held for more than one year. The interest must be paid annually and credited to the tenant's account, unless the tenant and landlord have a written agreement stating otherwise.
The first month's rent is not subject to interest requirements. The landlord must hold the security deposit in a separate, interest-bearing account, and the interest accrues for the benefit of the tenant.
Therefore, the landlord must pay interest on both the security deposit and last month's rent.
Reference: M.G.L. c. 186, 15B; Massachusetts Real Estate Candidate Information Bulletin - Tenant Rights.

NEW QUESTION # 38
Which of the following activities may result in a fine from the Massachusetts Commission Against Discrimination (MCAD) against a licensee?

A. Failing to give both the buyer and the seller a copy of the purchase and sales agreement
B. Knowingly making any substantial misrepresentation
C. Acting in the dual capacity of broker and undisclosed principal in the same transaction
D. Blockbusting

Answer: D

Explanation:
The Massachusetts Commission Against Discrimination (MCAD) is the state agency responsible for enforcing the Massachusetts Fair Housing Law (M.G.L. c. 151B). Blockbusting is the illegal practice of inducing homeowners to sell by suggesting that protected classes of people (such as minorities, families with children, or people receiving public assistance) are moving into the neighborhood, often suggesting declining property values.
This practice is explicitly prohibited under both federal law (Fair Housing Act) and Massachusetts General Law. MCAD has the authority to investigate complaints of housing discrimination and levy fines against licensees found guilty of such violations.
While misrepresentation or undisclosed dual capacity may lead to disciplinary action by the Massachusetts Board of Registration of Real Estate Brokers and Salespersons, only violations of fair housing law, such as blockbusting, steering, or refusing to deal with members of protected classes, fall under the jurisdiction of MCAD.
Reference: Massachusetts General Laws c. 151B; MCAD Fair Housing Guidelines; 254 CMR 3.00.

NEW QUESTION # 39
A home warranty for a previously owned home would usually cover which of the following items?

A. only home systems such as the roof, plumbing, and foundation
B. major appliances, the buyer's personal property, and any seller added fixtures
C. major appliances and home systems such as electric, heating, and plumbing
D. structure or flooding issues after closing

Answer: C

Explanation:
Comprehensive and Detailed Explanation (150-250 words):
A home warranty (separate from homeowners insurance) is a service contract that covers the cost of repair or replacement of major home systems and appliances due to normal wear and tear. Typical coverage includes heating and cooling systems, electrical, plumbing, and major appliances such as ovens, dishwashers, and refrigerators.
A: Structural or flooding issues are generally covered by homeowner's insurance or flood insurance, not warranties.
B: Roofs and foundations may not be covered unless optional riders are purchased.
D: Buyer's personal property and seller's fixtures are not part of warranty coverage.
Thus, the best answer is C.
Reference: Massachusetts Real Estate Salesperson Candidate Handbook - Property Condition and Warranties; HUD Home Warranty Guidance.

NEW QUESTION # 40
A broker lists a property abutting a pond. A potential buyer is interested in the property but plans to build an addition onto a boathouse. The buyer will need

A. A certificate of compliance.
B. A letter of interim control.
C. Approval from the local conservation commission.
D. Approval from the State Sanitary Commission.

Answer: C

Explanation:
If a property abuts a pond, the potential construction of any addition, especially near water, may require approval from the local conservation commission. This is because Massachusetts law, under the Massachusetts Wetlands Protection Act (M.G.L. c. 131, § 40), regulates activities near water bodies, wetlands, and other protected areas to preserve the environment and control construction near these sensitive areas.
The local conservation commission is responsible for approving construction projects that could affect the pond or surrounding wetlands. If the buyer intends to build near the pond, especially on land that may fall under these regulations, they must seek the approval of the local conservation commission before proceeding with construction.
Reference: M.G.L. c. 131, § 40 - Wetlands Protection Act; Massachusetts Real Estate Candidate Information Bulletin - Environmental Issues.

NEW QUESTION # 41
An owner has a freestanding cabinet that was custom-built to fit an alcove of the living room. When the owner sells the home, the cabinet will be best described as

A. real property.
B. a fixture.
C. personal property.
D. an appurtenance.

Answer: B

Explanation:
A fixture is personal property that has been permanently attached or adapted to real estate so that it becomes part of the real property. Courts apply the MARIA test (Method of attachment, Adaptation, Relationship, Intention, Agreement) to determine fixture status.
In this case, the cabinet was custom-built to fit an alcove, making it uniquely adapted to the property. Even though it is freestanding, its adaptation to the structure makes it a fixture.
Real property (A): the land and everything permanently attached, which includes fixtures, but the more precise term here is "fixture." Personal property (B): movable and not adapted to the home.
Appurtenance (D): rights and benefits that run with the land (e.g., easements).
Thus, the best description is C: fixture.
Reference: Massachusetts Real Estate Salesperson Candidate Handbook - Property Ownership; Fixtures vs.
Personal Property.

NEW QUESTION # 42
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