Connecticut Real Estate Salesperson Exam — All Questions
13 questions
In Connecticut, who is responsible for maintaining the escrow or trust account that holds client funds such as deposits?
- a.Each individual salesperson
- b.The town clerk
- c.The supervising broker✓
- d.The Department of Consumer Protection
In Connecticut the supervising broker is responsible for the brokerage's escrow or trust account. Client funds such as deposits must be placed in that account, kept separate from the broker's own funds, and properly accounted for. Commingling client funds violates Connecticut license law.
Connecticut generally requires that agency relationships between a brokerage and a client be:
- a.Oral only
- b.In writing, through a written agency or representation agreement✓
- c.Registered with the town clerk
- d.Approved individually by the Commission
Connecticut requires written agency agreements to establish a representation relationship between a brokerage and a client. A written agreement documents the relationship, duties, and terms of compensation, and helps prevent disputes over whether representation exists.
If a Connecticut seller fails to furnish the written residential condition report, the purchase agreement must require the seller to:
- a.Credit the purchaser two hundred fifty dollars at closing
- b.Credit the purchaser five hundred dollars at closing✓
- c.Credit the purchaser one thousand five hundred dollars at closing
- d.Reimburse the purchaser for a professional home inspection
Every agreement to purchase residential real estate for which a report is required must provide that the seller credit the purchaser five hundred dollars at closing if the report is not furnished. The figure rose from three hundred to five hundred dollars effective July 1, 2012. Cite: Conn. Gen. Stat. Sec. 20-327c(a).
When must a Connecticut seller deliver the residential condition report to a prospective purchaser?
- a.At the closing, attached to the settlement statement
- b.Within three days after the purchase contract is signed
- c.Before the purchaser executes a binder, contract or option✓
- d.Within ten days after the property is listed for sale
The report must be provided at any time prior to the prospective purchaser's execution of any binder, contract to purchase, option or lease containing a purchase option, and a copy bearing the purchaser's receipt is attached to the written offer, binder or contract. Cite: Conn. Gen. Stat. Sec. 20-327b(a).
Connecticut's residential condition report requirement reaches transfers of:
- a.Residential property of one to four dwelling units, including condominiums✓
- b.Any residential property of five or more dwelling units held by a single owner
- c.Only single-family houses sold through a licensed real estate broker
- d.All real property in the state, including vacant land and farm parcels
The requirement applies to sales, exchanges and leases with purchase option of residential real property of not less than one nor more than four dwelling units, including cooperatives and condominiums, whether or not a licensee is involved. Cite: Conn. Gen. Stat. Sec. 20-327b(c).
A Connecticut seller who pays the five-hundred-dollar credit rather than furnishing the report:
- a.Has satisfied every disclosure obligation owed to the purchaser
- b.May not be sued by the purchaser over the property's condition
- c.Must still obtain a home inspection at the seller's own expense
- d.Must still disclose known defects that significantly impair value✓
The credit does not excuse nondisclosure of a defect that is subject to disclosure, within the seller's actual knowledge, and significantly impairs the value of the property, the health or safety of future occupants, or its useful life; the purchaser may sue for actual damages. Cite: Conn. Gen. Stat. Sec. 20-327c(b) and (c).
Who is responsible for answering the questions on Connecticut's residential condition report?
- a.The seller; the form says the licensee cannot complete it for the seller✓
- b.The listing broker, using information gathered from the municipality
- c.A licensed home inspector retained by the seller before the listing
- d.The buyer's agent, who then files a copy of it with the Real Estate Commission
The template prescribed by the Commissioner of Consumer Protection carries the instruction to sellers in capital letters that the seller's real estate licensee cannot complete the form on the seller's behalf, and that the seller must answer all questions to the best of the seller's knowledge. Cite: Conn. Gen. Stat. Sec. 20-327b(d)(1) (2026 Supp.).
On the sale of a Connecticut home for $3,000,000, the state portion of the conveyance tax on the consideration above $2,500,000 is imposed at:
- a.Three-quarters of one per cent
- b.One and one-quarter per cent
- c.Two and one-quarter per cent✓
- d.Two and three-quarters per cent
For a residential estate conveyed for eight hundred thousand dollars or more, the state rate is three-quarters of one per cent up to $800,000, one and one-quarter per cent from $800,000 to $2,500,000, and, on and after July 1, 2020, two and one-quarter per cent on the portion above $2,500,000. Cite: Conn. Gen. Stat. Sec. 12-494(b)(2)(C).
The municipal portion of the Connecticut real estate conveyance tax is imposed at:
- a.One-tenth of one per cent of the consideration
- b.One-quarter of one per cent of the consideration✓
- c.One-half of one per cent of the consideration
- d.Three-quarters of one per cent of the consideration
The tax applies when consideration equals or exceeds two thousand dollars; the municipal share is one-fourth of one per cent and becomes general revenue of the town. Certain targeted investment communities may add up to another one-fourth of one per cent. Cite: Conn. Gen. Stat. Sec. 12-494(a)(2) and (c).
For a Connecticut listing contract on a building occupied or intended to be occupied by no more than four families, the writing must be signed by:
- a.The listing broker alone, since the broker prepared the document
- b.Any occupant of the property who is over eighteen years of age
- c.A witness and a notary public in addition to the two parties
- d.The owner of the real estate or a duly authorized written agent✓
To sue for a commission the broker needs a written contract signed by the broker and, for a listing on a building of no more than four families, signed by the owner of the real estate or by an agent authorized in a writing executed like a conveyance under Sec. 47-5. Cite: Conn. Gen. Stat. Sec. 20-325a(b)(7).
Every Connecticut written agreement fixing a broker's compensation must carry a conspicuous notice stating that:
- a.The amount or rate of broker compensation is not fixed by law✓
- b.The broker's fee is set by the local multiple listing service
- c.The compensation is regulated by the Department of Consumer Protection
- d.The seller may not renegotiate compensation after the listing begins
The agreement must state, in at least ten point boldface type or otherwise standing out from the surrounding text, that the amount or rate of real estate broker compensation is not fixed by law, is set by each broker individually and may be negotiable. Cite: Conn. Gen. Stat. Sec. 20-325b.
Since July 1, 2026, a person who contracts to orchestrate the sale of a Connecticut home for compensation without taking title must:
- a.Hold an active Connecticut real estate broker's license
- b.Post a twenty-five thousand dollar bond with the department
- c.Hold a real estate wholesaler registration from the department✓
- d.Record the wholesale contract on the town's land records
The new real estate wholesaler chapter requires registration with the Department of Consumer Protection, with a nonrefundable application fee of two hundred eighty-five dollars and a registration valid for up to two years, renewable for successive two-year periods. Cite: Conn. Gen. Stat. Secs. 20-329aaa(7) and 20-329bbb (2026 Supp.).
A Connecticut real estate wholesale contract must give the seller:
- a.A ten-day period to cancel the contract without any penalty
- b.A three-business-day period to review and cancel the contract✓
- c.A right of first refusal if the wholesaler assigns the contract
- d.A guaranteed sale price equal to the town's assessed value
The contract must give the seller three business days to review its terms with an attorney or other advisor and to cancel without reason or penalty, except to return any deposit. It also may not set a closing date more than ninety days after signing unless extended in writing. Cite: Conn. Gen. Stat. Sec. 20-329ccc(a) and (b) (2026 Supp.).