Real Estate · General

Under state advertising rules, what is generally required when a licensee advertises a property or their services?

Correct answer

The advertising must not be false or misleading, and must typically identify the brokerage (and licensee status) — 'blind ads' that hide that the advertiser is a real estate professional/brokerage are generally prohibited

  1. A Nothing specific
  2. B The advertising must not be false or misleading, and must typically identify the brokerage (and licensee status) — 'blind ads' that hide that the advertiser is a real estate professional/brokerage are generally prohibited
  3. C Only the price
  4. D Only the agent's personal phone number

Why this is the answer

ADVERTISING REQUIREMENTS: State license laws regulate real estate advertising to protect consumers. COMMON RULES: Advertising must NOT be FALSE or MISLEADING; must typically include the BROKERAGE name (and disclose that the advertiser is a licensed real estate professional/brokerage); BLIND ADS (ads that conceal the fact that the advertiser is a licensee/brokerage — making it look like a private 'for sale by owner') are generally PROHIBITED; the licensee must advertise under their broker's name/supervision; TEAM/PERSONAL names may have specific disclosure requirements; ONLINE/SOCIAL MEDIA: Same rules apply to digital advertising, websites, and social media; PROPERTY ADS: Must be accurate (don't misrepresent features, price, availability); fair housing compliance (no discriminatory language or steering); AUTHORITY TO ADVERTISE: A licensee generally must have the seller's permission to advertise a property; CONSEQUENCES: False/misleading advertising or blind ads violate license law and can result in discipline; the requirements that advertising be truthful, not misleading, and properly identify the brokerage (no blind ads) are standard state advertising rules tested on the exam — designed to ensure consumers know they're dealing with a licensed professional.
Source: Real Estate State — License Law, Advertising Rules