Ohio Real Estate Licensure Exam- Practice
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What is the role of a real estate broker in Ohio, and how does it differ from that of a real estate
salesperson?
A real estate broker in Ohio is responsible for managing a real estate business, overseeing transactions,
and supervising licensed real estate salespersons. Brokers can also operate independently or own a
brokerage. In contrast, salespersons work under the supervision of a broker and assist clients with
buying, selling, or renting properties.
Explain the concept of "dual agency" in Ohio real estate law.
Dual agency occurs when a single real estate agent or brokerage represents both the buyer and the seller
in the same transaction. This creates a conflict of interest, and agents must disclose this relationship to
all parties involved and obtain their consent.
What are the continuing education requirements for real estate licensees in Ohio?
Ohio requires real estate licensees to complete 30 hours of continuing education every three years,
including 3 hours on civil rights law and 3 hours on real estate law updates. This ensures that licensees
remain current with industry changes and legal requirements.
Describe the Ohio Real Estate Recovery Fund and its purpose.
The Ohio Real Estate Recovery Fund compensates consumers who suffer financial loss due to the actions
of a licensed real estate agent or broker. It is designed to promote public confidence in the real estate
profession by providing a safety net for consumers who are wronged in real estate transactions.
How does the Ohio real estate commission regulate real estate licensees?
The Ohio Real Estate Commission oversees the licensing and conduct of real estate professionals in the
state. It enforces rules and regulations, investigates complaints, and takes disciplinary action against
licensees who violate Ohio real estate laws.
What is the process for a real estate agent to terminate a listing agreement in Ohio?
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,In Ohio, a real estate agent may terminate a listing agreement by mutual consent with the seller, by
fulfilling the terms of the agreement, or by providing proper notice as specified in the agreement. If the
agent has not performed duties or the seller breaches the agreement, it can be terminated under certain
conditions.
What is the significance of the Fair Housing Act in Ohio real estate transactions?
The Fair Housing Act prohibits discrimination based on race, color, national origin, religion, sex, familial
status, and disability in housing-related transactions. Ohio real estate licensees must ensure that their
practices comply with both federal and state fair housing laws to promote equal housing opportunities
for all.
What is a "marketable title" in Ohio real estate, and why is it important?
A marketable title is a property title free from defects or legal issues that could affect its transferability.
In Ohio, a title must be clear of encumbrances, liens, or disputes to be marketable and acceptable to
buyers, ensuring a smooth transaction.
Explain the difference between "actual" and "constructive" notice in Ohio real estate law.
Actual notice refers to the direct knowledge of a fact, such as when a buyer is informed about an issue
with a property. Constructive notice occurs when the information is publicly available or accessible, like
when a lien is recorded in the public records. Both forms of notice have legal implications in property
transactions.
What are the legal requirements for a valid real estate contract in Ohio?
For a real estate contract to be valid in Ohio, it must be in writing, include an offer and acceptance,
specify the subject matter, and be signed by the parties involved. Additionally, the contract must have a
lawful purpose and competent parties. Without these elements, the contract may not be enforceable.
Describe the Ohio Landlord-Tenant Law regarding security deposits.
Under Ohio law, landlords can collect a security deposit from tenants but must return it within 30 days
after the lease ends, minus any deductions for damages or unpaid rent. Landlords are required to
provide an itemized list of any deductions. Failure to comply may result in penalties.
What is the significance of the property disclosure statement in Ohio?
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, Ohio law requires sellers to provide a property disclosure statement, disclosing known defects,
problems, or conditions of the property. This helps buyers make informed decisions and ensures
transparency. Failure to provide the disclosure could result in legal action or voiding of the sale.
Explain the concept of "eminent domain" as it applies to Ohio real estate.
Eminent domain is the power of the government to take private property for public use, such as for
building highways or schools, provided the owner is compensated fairly. In Ohio, property owners are
entitled to just compensation for land taken under eminent domain.
What is the difference between a general warranty deed and a quitclaim deed in Ohio?
A general warranty deed guarantees that the seller holds clear title to the property and will defend
against any future claims. A quitclaim deed, however, transfers whatever interest the seller has in the
property without warranties, meaning there may be no guarantee of clear title.
How does Ohio law govern real estate agent commission rates?
In Ohio, real estate commission rates are not fixed by law but are negotiable between the client and the
agent or broker. Most agents charge a percentage of the sales price, typically ranging from 5% to 6%. It is
important for clients to understand and agree to the commission terms before entering into a listing
agreement.
What is a "short sale" in Ohio real estate, and what are the risks?
A short sale occurs when a homeowner sells their property for less than the amount owed on the
mortgage, with the lender's approval. While it may offer a way to avoid foreclosure, short sales can be
complex and carry risks for both buyers and sellers, such as delayed approval or title issues.
What does Ohio law require for real estate advertising?
Ohio law mandates that real estate advertising must be truthful and not misleading. Advertisements
must clearly identify the name of the broker and ensure that any claims about a property are accurate.
Agents must not misrepresent the availability, features, or price of a property.
Describe the role of an escrow agent in Ohio real estate transactions.
An escrow agent holds funds or documents on behalf of the buyer and seller during a real estate
transaction until all conditions of the sale are met. This ensures both parties fulfill their obligations
before the transaction is completed and prevents fraud.
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