Pass the Real Estate Maryland Real Estate Maryland-Real-Estate-Salesperson Questions and answers with Dumpstech

In subdivision and zoning review, density is evaluated using physical and regulatory site controls—minimum lot size, setbacks, yard requirements, lot coverage, height limits, open space ratios, and boundaries—to determine how many dwelling units may be placed per acre and how they’re arranged. While property values and federal approvals can be relevant to other processes, density determinations rest primarily on local zoning metrics such as setbacks and boundaries.

Appreciation refers to the increase in a property's value over time due to factors such as market demand, improvements, inflation, or location desirability.

It is the opposite of depreciation, which is a decline in value. Appreciation may result from physical improvements (e.g., renovations) or external factors (e.g., neighborhood development).

This concept is emphasized in the Maryland 60-Hour Course within the “Real Estate Appraisal and Valuation” module as a key element of market analysis and investment potential.

In settlement prorations, prepaid items (e.g., prepaid property taxes or HOA dues) are credited to the seller and debited to the buyer, because the seller has paid for a period that extends beyond the closing date, and the buyer reimburses the seller for the buyer’s post-closing share. Conversely, accrued but unpaid items (e.g., the current year’s unpaid property taxes) are debited to the seller and credited to the buyer. The Maryland course teaches these conventions in the Closing and Math sections.

Under the federal Fair Housing Act, “handicap” (disability) is a protected class. HIV/AIDS is considered a disability, and making statements or disclosures that identify or single out someone based on a protected characteristic is prohibited. Disclosing that an owner (or occupant) has HIV is treated as discriminatory, violates fair housing standards, and also breaches confidentiality. Maryland fair housing law mirrors and expands federal protections, and the pre-licensing course emphasizes that licensees must never disclose information tied to protected classes because it can facilitate or signal discriminatory treatment (e.g., steering, discouraging, or differential terms).

Real property is real estate (land and improvements) plus the bundle of rights (interests, benefits, and rights inherent in ownership), such as possession, control, enjoyment, exclusion, and disposition.

Land refers to the earth’s surface, subsurface, and airspace (naturally occurring).

An estate is a degree, quantity, nature, or extent of interest in real property (e.g., fee simple, life estate).

Personal property (chattel) is movable and not affixed to real estate.

References (Pre-Licensing Core Content):

Maryland 60-Hour Pre-Licensing Course: “Real Property and the Law” (definitions of land, real estate, real property, personal property; bundle of rights).

Common-law property definitions widely adopted in real estate education.

For pre-1978 residential properties, federal law (Title X) requires disclosure of any known lead-based paint or hazards, provision of the EPA pamphlet, and a 10-day inspection opportunity (unless waived). Licensees must ensure required disclosure forms are completed and disclose known material facts, but they must not state lead exists if they do not actually know. Licensees are not responsible for abatement and must never assist in concealing hazards.

In real property conveyance, certain interests and transfers occur by operation of law and therefore supersede contrary provisions in a will. Common examples include joint tenancy with right of survivorship, tenancy by the entirety, life estates with a named remainderman, and properly created transfer-on-death/beneficiary designations. These interests vest automatically at death and are not controlled by the decedent’s will.

“Intestate” refers to dying without a valid will and does not itself take precedence over a will. The heirs’ wishes have no legal effect against properly vested interests. Therefore, where applicable, operation of law controls over will terms regarding those interests.

Maryland practice (as taught in pre-licensing) recognizes a customary 50/50 split of transfer and recordation taxes between buyer and seller, subject to local custom and negotiation. Parties may allocate differently in the contract, and some jurisdictions have varying defaults; however, exam-prep materials present 50/50 as the standard custom unless otherwise agreed.

A complaint against a real estate licensee in Maryland must be filed with the Maryland Real Estate Commission (MREC).

The complaint can be submitted online via the Commission’s official website or by mail using the form provided by the MREC.

The Commission investigates alleged violations of the Real Estate Brokers Act, including misconduct, ethical breaches, or failure to comply with license law.

Complaints are not handled by the brokerage or individual agents.

In the sales comparison approach, after making market-supported adjustments to comparable sales, the appraiser engages in reconciliation—a professional judgment process that weighs the quality and relevance of each comparable (e.g., similarity, extent and reliability of adjustments, data verification) and does not simply average the indicated values.

Bracketing is a selection technique (choosing comps slightly superior and inferior to the subject), and conformity is an appraisal principle (value is maximized when properties are similar). Neither is the final weighing process.