California Real Estate Practice Exam

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Study for the California Real Estate Exam with confidence. Engage with interactive questions designed to enhance your understanding of real estate principles, laws, and practices. Prepare thoroughly for your licensing test and ensure you have the knowledge to succeed in your real estate career!

Practice this question and more.

Broker A buys a property from Seller B then sells it for a higher price. What should Broker A have done?

Offered it to another buyer first
Told the seller of the deal and gotten permission
Sold it at the same price
Purchased it under a different name

The correct answer is: Told the seller of the deal and gotten permission

Broker A should have informed Seller B of the deal and obtained their permission for the sale. This is ethical and required by law as Broker A has a fiduciary responsibility to Seller B. Option A is not the correct action as it would be unfair to other potential buyers. Option C is not the correct action as Broker A has a duty to get the best price for the property. Option D is not the correct action as it is deceitful and could lead to legal consequences.