Alabama License LawIntermediateAlabama Exam
The Alabama Real Estate Recovery Fund provides compensation to members of the public who have suffered losses due to:
AMarket value declines
BThe fraudulent or dishonest acts of a licensed Alabama real estate agentCorrect
CNatural disasters affecting real property, though this can vary by county
DTitle defects discovered after purchase
Why The fraudulent or dishonest acts of a licensed Alabama real estate agent Is Correct
Answer B: The fraudulent or dishonest acts of a licensed Alabama real estate agent
The Alabama Real Estate Recovery Fund compensates consumers who have suffered financial losses caused by the fraudulent or dishonest acts of a licensed Alabama real estate licensee.
People Also Study
Related Alabama Questions
- The Alabama Real Estate Recovery Fund provides compensation to:Alabama License Law
- The Alabama Real Estate Recovery Fund compensates:Alabama License Law
- Under Alabama law, a licensee who has had their license revoked due to a Recovery Fund claim may have their license reinstated only after:Alabama License Law
- Alabama's license law provisions that protect consumers from dishonest licensee conduct include which remedy?Alabama License Law
- In Alabama, which form must be provided to consumers at the first substantive contact with a real estate licensee?Agency
- Which government right allows Alabama to take private property for public use with just compensation?Property Ownership
Key Terms to Know
Title Insurance
Insurance protecting against financial loss from defects in a property's title that existed before closing but were unknown at the time of purchase.
AgencyA legal relationship in which a licensee (agent) acts on behalf of a principal (buyer or seller) in a real estate transaction.
Loan-to-Value Ratio (LTV)The ratio of a mortgage loan amount to the appraised value or purchase price of a property, expressed as a percentage.
AppraisalA professional estimate of a property's market value prepared by a licensed or certified appraiser.
Math Concepts
State-Specific Concepts
License Law
Practice More Alabama Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free Alabama Quiz →