California DRE Salesperson Exam
Practice of Real Estate & Disclosures
This module covers 25% of the California DRE Salesperson exam, about 38 questions. It is the largest module. Master Fair Housing laws, California disclosure requirements, DRE licensing rules, and landlord-tenant law.
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Practice of Real Estate & Disclosures
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Key concepts
Seven federal protected classes
Race, color, religion, sex, national origin, disability, and familial status. California adds more. Memorize all seven federal classes.
Steering, blockbusting, redlining
Three major Fair Housing violations. Steering directs buyers by protected class. Blockbusting uses fear to induce selling. Redlining denies services by area.
Transfer Disclosure Statement
Required in all CA residential 1-4 unit sales. Seller and agent disclose known defects. Buyer has 3 days to rescind after delivery.
Material fact and latent defect
Material facts must always be disclosed. Latent defects are hidden defects not visible in a standard inspection that the seller or agent knows about.
Commingling
Illegally mixing client funds with personal funds. Client money must always go into a separate trust account immediately upon receipt.
Lease types
Gross lease: landlord pays all expenses. Net lease: tenant pays some or all expenses. Triple net: tenant pays taxes, insurance, and maintenance.
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