Real Estate Licensing NCREC-Broker-N Exam Dumps

The Conner Act in North Carolina requires that certain real estate documents (including deeds, leases over 3 years, and easements) must be recorded in order to be enforceable against third parties. Recording a deed provides constructive notice to the world that an ownership transfer has occurred. Constructive notice is a legal concept meaning everyone is deemed to know the facts once the document is publicly recorded. Therefore, the correct answer is B.

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Under North Carolina agency rules, dual agency is permissible only if written informed consent is secured from both parties, and typically involves designated agency to avoid conflict of interest. Bernie could serve as the designated agent for the seller (listing), and Mei could serve as the designated agent for the buyer, each separately representing their client while the brokerage acts as dual agent at the firm level Option C accurately reflects this legal structure. Option A (non-designated dual agency) is rarely allowed, B leaves Bernie unrepresented for seller, and D improperly places one agent on both sides.

A group boycott occurs when two or more competitors conspire to exclude another competitor from fair participation in the market---such as refusing to show listings, denying cooperation, or encouraging others not to do business with a certain firm. This violates federal antitrust laws. Price-fixing (choice A) is another violation, but it's not a group boycott. Therefore, the correct answer is D.

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NC brokers are bound by an affirmative duty to both discover and disclose material facts to all parties in a transaction, not just their clients. This includes facts they know or should reasonably know, such as structural defects, zoning violations, or environmental issues. This duty exists regardless of whom the broker represents. Therefore, option A is correct.

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In the income approach, Net Operating Income (NOI) = Effective Gross Income Operating Expenses. Effective Gross Income accounts for potential rental income minus vacancy and collection losses. Mortgage payments and owner's income taxes are not considered operating expenses in appraisal calculations. Therefore, vacancy losses are essential in determining NOI. Correct answer: C.

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