A definite proposal by one party to enter into a contract, communicated to the other party for acceptance.
Why Offer matters on the exam
This term belongs to Contracts. The questions below are real items from Freehold's bank that use it - each one cites its source.
Exam questions using Offer
Every Freehold question shows why the right answer is right — and cites its source.
A buyer submits an earnest money check along with a purchase offer that has not yet been accepted by the seller. Common practice permits the broker to:
Deposit the check immediately regardless of whether the offer is accepted
Hold the check without depositing it until the offer is accepted, then deposit it within the required timeframe
Return the check to the buyer and request a certified cashier's check instead
Deposit the check into the brokerage operating account until the offer is accepted
Show answer & explanation
Hold the check without depositing it until the offer is accepted, then deposit it within the required timeframe — Because an uncashed offer may never become a binding contract, brokers commonly may hold the check until acceptance, after which the deposit-timing clock begins to run.
Source: PSI National Real Estate Exam Content Outline — Broker Supplement
Which of the following most accurately distinguishes a broker's role from an appraiser's role in valuing property?
Brokers and appraisers hold identical state licensing requirements and produce fully interchangeable formal valuation reports for lenders
Only a licensed or certified appraiser may ever discuss a property's value with a client or a customer
A broker may offer a price opinion based on market knowledge, while an appraiser follows a separate licensing and professional standards framework for formal valuations
Brokers may never under any circumstances discuss the asking price or the likely final sale price of a listed property with the seller who originally hired them for the listing
Show answer & explanation
A broker may offer a price opinion based on market knowledge, while an appraiser follows a separate licensing and professional standards framework for formal valuations — Brokers can offer informed price opinions based on market expertise, but formal, regulated appraisals fall under a distinct appraiser licensing and standards framework.
Source: PSI National Real Estate Exam Content Outline — Broker Supplement
An unlicensed personal assistant working for a real estate licensee may generally:
Negotiate the terms of a purchase contract with a buyer
Perform clerical tasks such as scheduling appointments and assembling marketing flyers
Host an open house and answer visitors' questions about price
Provide advice about which offer a seller should accept
Show answer & explanation
Perform clerical tasks such as scheduling appointments and assembling marketing flyers — Unlicensed assistants may perform administrative and clerical support tasks but may not engage in activities requiring a license, such as negotiating or advising on offers.
Source: PSI National Real Estate Exam Content Outline — Broker Supplement
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