Florida License Law
Under FREC rules, a Florida broker is required to perform a monthly reconciliation of the escrow account. This reconciliation must compare:
AThe checkbook balance with the bank statement only
BThe trust liability (total of all client funds owed) with the escrow account balance — all three must agree✓ Correct
COnly the current month's deposits and withdrawals
DThe broker's operating account with the escrow account
Explanation
Florida's escrow reconciliation requirement mandates a three-way reconciliation: (1) the checkbook balance, (2) the bank statement balance (adjusted), and (3) the trust liability (list of all depositors and amounts owed). All three must agree.
Related Florida Florida License Law Questions
- What is the required post-license education for a Florida real estate sales associate after receiving their initial license?
- A broker in Florida who operates as a sole proprietorship must have their license in what form?
- Under Florida law, a real estate brokerage must maintain an office in Florida if the broker:
- A Florida licensee who is found guilty of fraud in a real estate transaction faces which potential consequence?
- What is the required experience to qualify for a Florida real estate broker's license?
- Which of the following is TRUE about a Florida real estate 'broker of record'?
- A Florida broker who accepts a commission from both buyer and seller in the same transaction without full disclosure and consent from both parties has committed:
- A Florida broker receives a $5,000 earnest money deposit. The broker must deposit this money into an escrow account:
Practice More Florida Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free Florida Quiz →