Florida Real Estate Broker Exam — All Questions

In Florida, a real estate brokerage operating as a corporation or LLC generally must:

• a.Register the entity with the DBPR and have a qualifying active broker✓
• b.Register only with the Secretary of State and need no broker
• c.Be owned entirely by attorneys
• d.Avoid all FREC oversight

A brokerage entity in Florida must be registered with the DBPR and must have at least one active broker who qualifies the entity and is responsible for its real estate activities. Forming the business with the state's corporate filing office is separate from the required real estate registration. The qualifying broker supervises the firm's licensees and escrow, so entity registration is a broker-level responsibility.

A Florida broker may serve as the escrow holder for a transaction. This means the broker:

• a.May spend the escrow funds on office expenses
• b.Must give the deposit to the seller at signing
• c.Holds the good-faith deposit in the brokerage escrow account until the transaction closes or the dispute is resolved✓
• d.Cannot use a title company instead

A Florida broker may act as escrow holder, keeping the buyer's good-faith deposit in the brokerage's escrow account until closing or resolution of any dispute. The broker may alternatively let a title company or attorney hold the funds. The broker may never spend escrow money or release it prematurely; it is held in trust for the parties, not the brokerage.