Agency
Under Oregon law, a broker who earns a referral fee from a lender for directing clients to that lender without disclosure is:
AActing within normal real estate industry practice
BViolating RESPA's prohibition on kickbacks and referral fees✓ Correct
CEntitled to keep the referral fee as a business incentive
DOnly required to disclose if the fee exceeds $500
Explanation
RESPA (Real Estate Settlement Procedures Act) prohibits accepting fees, kickbacks, or any thing of value for referring settlement services (including mortgage lending) if no actual service was performed. Such undisclosed referral fees are illegal regardless of amount.
People Also Study
Related Oregon Questions
- When a buyer's agent in Oregon refers a client to a mortgage lender and receives a referral fee, what must they do?Agency
- What is Oregon's 'Department of Consumer and Business Services' (DCBS) role in mortgage lending?Finance
- Under the federal Truth in Lending Act (TILA/TRID), which disclosure must a lender provide to a borrower within 3 business days of receiving a mortgage loan application?Finance
- An Oregon investor purchases a rental property for $650,000 with a down payment of 25%. The monthly mortgage payment on the financed amount at 6.5% for 30 years is $3,079. The annual NOI is $52,000. What is the annual debt service?Real Estate Math
- Under the Real Estate Settlement Procedures Act (RESPA), which of the following practices is prohibited?Finance
- A real estate licensee in Oregon who is also a licensed mortgage broker must disclose their mortgage licensing status to clients when:Oregon License Law
- A property in Oregon is located in a FEMA Special Flood Hazard Area (Zone AE). If a buyer uses a federally backed mortgage to purchase this property, the lender will require:Land Use & Zoning
- Oregon's 'Just Cause Eviction' law under SB 608 prohibits landlords from evicting tenants without cause after they have lived in the unit for:Property Management
Key Terms to Know
Lien
A financial claim against a property that serves as security for a debt or obligation, giving the creditor the right to foreclose if unpaid.
AgencyA legal relationship in which a licensee (agent) acts on behalf of a principal (buyer or seller) in a real estate transaction.
Dual AgencyA situation where a single real estate agent or brokerage represents both the buyer and the seller in the same transaction.
Fiduciary DutyThe highest legal duty an agent owes to a principal — requiring the agent to act in the principal's best interest above all others.
Study This Topic
Practice More Oregon Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free Oregon Quiz →