Maryland Real Estate Salesperson Exam — All Questions
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Which body issues and regulates real estate salesperson licenses in Maryland?
- a.The Maryland Association of Realtors
- b.The Maryland Real Estate Commission✓
- c.The Maryland Department of Assessments and Taxation
- d.The county circuit court
The Maryland Real Estate Commission, which operates within the Maryland Department of Labor, licenses and disciplines real estate brokers, associate brokers, and salespersons under the Maryland Real Estate Brokers Act (Business Occupations and Professions Article, Title 17). Trade associations and taxing agencies do not license real estate practitioners.
A Maryland salesperson may lawfully receive compensation for brokerage services from:
- a.Any party to the transaction directly
- b.The Maryland Real Estate Commission
- c.The broker with whom the salesperson is affiliated✓
- d.The title company handling settlement
A Maryland salesperson must be affiliated with a licensed broker and may accept commissions or fees only through that broker, not directly from a buyer or seller. The broker is responsible for supervising the salesperson and for the handling of client funds. Accepting payment directly from a party is a violation of the Brokers Act.
The Maryland Real Estate Guaranty Fund is designed to:
- a.Reimburse consumers for an actual monetary loss caused by certain wrongful acts of a licensee✓
- b.Guarantee mortgage loans made to buyers
- c.Pay commissions owed between brokers
- d.Cover the Commission's administrative expenses
The Guaranty Fund compensates members of the public who obtain a final judgment against a licensee for an actual loss arising from fraud, misrepresentation, or a violation of the Brokers Act and cannot otherwise collect. Payments are subject to statutory limits, and the licensee must repay the fund before the license is restored. It is not a mortgage guaranty or commission-collection fund.