Housing and Community Development (HCD) Practice Exam

Which statement about salespersons is correct?

1. May show homes without working for a dealer

2. Must report changes of residence within five days

3. Must deliver their license to the dealer upon employment

4. Must complete preliminary education before taking an examination

The correct answer is: Must deliver their license to the dealer upon employment

The statement about salespersons that is correct relates to the requirement that they must deliver their license to the dealer upon employment. This procedure is essential as it ensures that the dealer has oversight and management of their salespersons. Typically, in real estate and similar industries, the license serves as proof that the agent or salesperson is qualified, and by delivering it to the dealer, the salesperson operates under the dealer's brokerage and complies with local regulations. Working for a dealer typically involves an agreement or contract, and while salespersons are usually required to be associated with a dealer to practice legally, there are specific regulations regarding this association that may vary by jurisdiction. Reporting changes of residence often has different timelines depending on regulatory requirements, and not all industries mandate a strict five-day window. Additionally, while completing preliminary education is a common requirement before taking examinations in various fields, it is not specific to the action of delivering a license to the dealer upon employment. This context helps clarify why the other choice doesn’t align with the established processes for salespersons.