Virginia Real Estate Study Guide 2026 — Free Cheat Sheet

A real estate broker is any individual or business entity (partnership, association, corporation, or LLC) who, for compensation or valuable consideration, performs specified real estate acts. This includes selling/offering to sell, buying/offering to buy, negotiating purchases, sales, or exchanges of real estate (including condominium units, cooperative interests, and time-shares even if deemed securities), or leasing/renting real estate or improvements for others.

• ✓A broker must act 'for compensation or valuable consideration' to fall under the definition
• ✓A broker can be an individual OR a business entity (partnership, association, corporation, or LLC)
• ✓Broker activities include sales, purchases, exchanges, leasing, and renting of real estate for others

A real estate salesperson is any individual or business entity who, for compensation or valuable consideration, is employed directly or indirectly by, or affiliated as an independent contractor with, a real estate broker to sell, buy, negotiate, or lease real estate or improvements.

• ✓A salesperson must be affiliated with a broker (as employee or independent contractor) to act
• ✓A salesperson acts for compensation or valuable consideration
• ✓Salesperson activities mirror broker activities but must be performed under a broker

Certain persons and acts are exempt from licensing requirements, including owners/lessors managing their own property, attorneys-in-fact acting without compensation for final performance, attorneys-at-law performing their duties, court-appointed persons (receivers, trustees, executors), trustees under trust/deed/will, certain rental housing management corporations, existing tenants receiving referral fees, licensed auctioneers (with 48-hour bidding limit), and out-of-state licensees assisting with commercial real estate.

• ✓Owners or lessors dealing with their own property are exempt from licensure
• ✓Attorneys-at-law performing their legal duties are exempt
• ✓Auctioneers selling real estate at public auction must keep bidding open no longer than 48 hours and cannot advertise they are authorized to sell real estate
• ✓Out-of-state licensees may assist with commercial real estate transactions in Virginia and be compensated by a Virginia broker but may not otherwise act as a broker/salesperson

The Real Estate Board is composed of nine members: seven who have been licensed real estate brokers or salespersons for at least five consecutive years before appointment, and two citizen members. Board members serve four-year terms. The Board elects a chairman from its membership and adopts a seal to authenticate proceedings.

• ✓The Board has nine members: seven licensed professionals and two citizen members
• ✓Professional members must have been licensed for at least five consecutive years before appointment
• ✓Board member terms are four years
• ✓The Board elects its own chairman from its membership

Every applicant for an initial salesperson license must have at least a high school diploma or its equivalent and must complete a course in the principles of real estate carrying at least four semester hours (not less than 60 hours) of classroom, correspondence, or distance learning instruction from an accredited or approved institution.

• ✓Salesperson applicants must have at minimum a high school diploma or equivalent
• ✓Salesperson applicants must complete a principles of real estate course of at least 60 hours (4 semester hours)

Every applicant for an initial broker license must have at least a high school diploma or its equivalent and must complete not less than 12 semester hours of classroom, correspondence, or distance learning instruction in real estate courses from an accredited or approved institution.

• ✓Broker applicants must have at minimum a high school diploma or equivalent
• ✓Broker applicants must complete at least 12 semester hours of real estate courses

The Board requires all salespersons to complete at least a 30-hour post-license educational curriculum within the first year of licensure. Failure to complete it within one year from the last day of the month the license was issued results in the license being placed on inactive status until completed. This post-licensure education is in lieu of continuing education for new licensees.

• ✓New salespersons must complete a 30-hour post-license curriculum within one year of licensure
• ✓Failure to complete places the license on inactive status until the curriculum is finished
• ✓Post-licensure education replaces continuing education requirements for new licensees
• ✓Curriculum covers topics like contract writing, deposits, listing/leasing, agency, flood hazard areas, association law, and landlord-tenant law

A real estate team is two or more individuals, at least one of whom is a licensed salesperson or broker, who work together as a unit within the same brokerage firm, represent themselves to the public as working together as one unit, and designate themselves by a fictitious name.

• ✓A real estate team must include at least one licensed salesperson or broker
• ✓All three conditions must be met: work as a unit in same firm, present as one unit publicly, and use a fictitious name
• ✓Team members must all operate within the same brokerage firm

A supervising broker is a real estate broker designated by a principal broker to supervise the provision of real estate brokerage services by associate brokers and salespersons assigned to a branch office or a real estate team.

• ✓A supervising broker is designated by the principal broker
• ✓Supervision applies to associate brokers and salespersons at a branch office or real estate team

Any licensee may prepare written contracts for the sale, purchase, option, exchange, or rental of real estate, provided the preparation is incidental to a transaction in which the licensee is involved and the licensee does not charge a separate fee for preparing the contracts. Licensees may also assist parties in obtaining translation of documents but may not charge a fee for such assistance or referral.

• ✓Contract preparation must be incidental to a transaction the licensee is involved in
• ✓The licensee may not charge a separate fee for preparing contracts
• ✓A licensee assisting with translation cannot charge a fee and is not liable for translation inaccuracies

A salaried person employed by a licensed broker on behalf of an owner may perform limited leasing activities without a license if actions are limited to exhibiting residential units (if employed on-premises), providing factual leasing information, accepting applications, and accepting security deposits and rentals. Such employees may not negotiate deposit/rental amounts or leases.

• ✓The salaried employee's activities are strictly limited to four permitted acts
• ✓The employee may NOT negotiate security deposit or rental amounts or negotiate leases
• ✓Deposits and rentals must be made payable to the owner or the broker employed by the owner

A licensee of the Board must comply with the Board's regulations even if the licensee would otherwise be exempt from licensure under subsection A. However, this does not require a person to be licensed if they are otherwise exempt.

• ✓A licensee must follow Board regulations even when performing otherwise-exempt activities
• ✓Being a licensee does not eliminate an available exemption from licensure

The Board may do all things necessary and convenient to carry out the chapter and may promulgate necessary regulations. It establishes minimum educational requirements, sets quality criteria for courses, may define permitted activities of unlicensed assistants, and may take disciplinary cases under advisement, defer findings, and dismiss actions on terms and conditions.

• ✓The Board may promulgate regulations necessary to carry out the chapter
• ✓The Board may establish criteria for permitted activities of unlicensed individuals
• ✓The Board may defer a finding in a disciplinary case and dismiss it upon set terms and conditions

Every applicant for relicensure as an active salesperson or broker must complete CE requirements prior to each renewal or reinstatement; this also applies to inactive licensees applying for active status. Military personnel on active duty may complete CE within six months of release. For distance learning, the Board establishes testing procedures and requires a notarized affidavit, but may not require testing for classroom courses.

• ✓CE must be completed prior to each renewal or reinstatement of an active license
• ✓Military personnel on active duty may complete CE within six months of release from duty
• ✓Distance learning courses require testing and a notarized affidavit; classroom courses cannot be required to have testing

A salesperson or broker inactive more than three years must meet remedial educational requirements and the education requirements in effect at the time they become active. The Board may waive these requirements if, during inactivity, the holder was engaged in an occupation where real estate knowledge is retained, OR is a servicemember/spouse permanently assigned outside Virginia who remained current in the field. Proof of identity is required before taking the state exam.

• ✓Inactive more than three years triggers remedial education requirements
• ✓Reactivating applicant must meet education requirements in effect at time of reactivation
• ✓Waiver available for real-estate-related occupation or military assignment outside Virginia with continued currency
• ✓Proof of identity required before taking the state examination

No business entity (other than a sole proprietorship) may act as a real estate firm without a firm license, which may be granted in a fictitious name. Every actively participating managing member/officer/partner/associate must hold a broker's license, and every salesperson employee/contractor must be licensed. A broker may operate a sole proprietorship he owns without further licensure but not under a fictitious name. A non-broker-owned sole proprietorship must obtain a license.

• ✓Business entities (except sole proprietorships) need a firm license, obtainable in a fictitious name
• ✓Every actively participating owner/officer/partner must hold a broker's license
• ✓A broker may operate a sole proprietorship he owns without further licensure but not in a fictitious name
• ✓A non-broker-owned sole proprietorship must obtain a license

No individual may act as a broker without a broker's license, and a broker may act as a salesperson for another broker. No individual may act as a salesperson without a salesperson's license. A business entity may act as a salesperson only with a separate business entity salesperson's license, requiring every actively participating owner/officer to hold a salesperson or broker license.

• ✓Individuals need a broker's or salesperson's license to act in those capacities
• ✓A licensed broker may act as a salesperson for another broker
• ✓A business entity salesperson needs a separate license and all active owners/officers must be licensed

A group of brokers/salespersons acting as a real estate team must first obtain a business entity salesperson's license; the team may hire unlicensed assistants. If a principal broker maintains more than one place of business in Virginia, a branch office license is required for each, and a copy must be kept on the branch premises.

• ✓Real estate teams must obtain a business entity salesperson's license before operating
• ✓A branch office license is required for each additional place of business, with a copy kept on premises

No licensee or agent may divert or misuse funds held in escrow or for another. When the Board believes a licensee cannot adequately protect involved parties' interests, it may petition a court with equity jurisdiction, which may enjoin activity, protect and disburse funds, and appoint a receiver. Receiver expenses are paid by the licensee, or if unable, from the Transaction Recovery Fund or Board funds; if the licensee is found without fault, the Board pays.

• ✓Licensees may not divert or misuse escrow or other funds held for another
• ✓Board may petition an equity court to protect funds and appoint a receiver
• ✓Receiver fees paid by the licensee, or by Board/Recovery Fund if licensee unable or found without fault

Rent paid to a licensee for a landlord client must be placed in escrow by the end of the fifth business banking day after receipt unless the principals agree otherwise in writing. Security deposits follow the same fifth-business-banking-day rule. Application deposits must be placed in escrow by the end of the fifth business banking day following landlord approval of the rental application. Funds remain in escrow until disbursed per the lease, management agreement, or statute.

• ✓Rent and security deposits go to escrow by end of the fifth business banking day after receipt
• ✓Application deposits go to escrow by end of the fifth business banking day after landlord approves the application
• ✓Funds remain in escrow until properly disbursed

Upon contract ratification, an earnest money deposit received by the principal/supervising broker or their agent must be placed in escrow by the end of the fifth business banking day after ratification, unless the principals agree otherwise in writing, and must remain there until the transaction is consummated or terminated.

• ✓Earnest money deposited into escrow by end of the fifth business banking day after ratification
• ✓Funds remain in escrow until the transaction is consummated or terminated

If a transaction is not consummated, the broker holds funds in escrow until: (i) all principals agree in writing; (ii) a court orders disbursement; (iii) funds are interpleaded into court; or (iv) the broker releases funds to the party entitled under the contract's clear and explicit terms. The broker may send written notice that funds will be released unless a written protest is received within 15 calendar days. A broker complying with this section is immune from liability to the parties.

• ✓Broker holds disputed earnest money until written agreement, court order, interpleader, or release per clear contract terms
• ✓Broker may release funds if no written protest is received within 15 calendar days of notice
• ✓A complying broker is immune from liability to the parties

Each place of business, branch office, and real estate team must be supervised by a supervising broker who exercises reasonable and adequate supervision of brokerage services by assigned associate brokers and salespersons. The broker may designate another broker to assist but remains responsible. Reasonable and adequate supervision includes being available to review/approve documents, ensuring written policies on escrow, fair housing, advertising, contracts, unlicensed assistants, agency relationships, and disclosures, and maintaining required records for three years.

• ✓Each office, branch, and team must have a supervising broker exercising reasonable and adequate supervision
• ✓Delegation to another broker does not relieve the supervising broker of responsibility
• ✓Supervising broker must ensure written policies on escrow, fair housing, advertising, contracts, and disclosures
• ✓Required records must be maintained for three years and furnished to the Board on request

The Board must establish procedures allowing licensees to carry over CE credits completed in the current license period to the next renewal period. The Board may also grant exemptions or waive/reduce required CE hours in cases of certified illness or demonstrated undue hardship.

• ✓Board must establish CE carryover procedures from current period to next renewal
• ✓Board may waive or reduce CE hours for certified illness or undue hardship

The Real Estate Board must develop and maintain on its website a residential property disclosure statement form under the Virginia Residential Property Disclosure Act, plus a one-page acknowledgment form signed by the parties confirming the purchaser was advised of the disclosures listed on the Board's website.

• ✓Board maintains residential property disclosure statement form on its website
• ✓Board maintains a one-page acknowledgment form signed by parties confirming buyer was advised of disclosures

The Board may issue a cease and desist order against any unlicensed person acting as a broker or salesperson. The order is effective on entry and becomes final unless the person appeals under the Administrative Process Act within 21 days. Continued unlicensed activity may be referred for enforcement, and the Board may impose a civil penalty up to $1,000 per transaction (or the compensation received, whichever is greater), with penalties paid to the Literary Fund.

• ✓Cease and desist order is effective upon entry; appeal within 21 days or it becomes final
• ✓Civil penalty up to $1,000 per transaction or the compensation received, whichever is greater
• ✓Collected penalties go to the Literary Fund after Board administrative costs

When renewing a firm or sole proprietorship license, the principal or supervising broker must certify that the firm's operations, policies, and procedures have been audited for compliance with the chapter and Board regulations. The audit must be conducted at least once per licensure term, and the signed completed audit form must be kept on the premises and produced upon Board request.

• ✓Principal/supervising broker must certify a compliance audit at each firm/sole proprietorship renewal
• ✓Audit conducted at least once each term of licensure
• ✓Signed audit form kept on premises and produced for Board inspection

The Virginia Real Estate Transaction Recovery Act uses specific defined terms. A 'Regulant' is any person or entity licensed by the Real Estate Board as a broker or salesperson. A 'Claimant' is a person with an unsatisfied judgment against a regulant who has filed a verified claim. 'Improper or dishonest conduct' is limited to wrongful/fraudulent taking or conversion of money, property, or value, or material misrepresentation or deceit. A 'Verified claim' is a completed Board application, notarized before a notary public, with required supporting documentation, properly received by the Department.

• ✓'Regulant' means a person, partnership, association, corporation, agency, firm or entity licensed by the Real Estate Board as a broker or salesperson
• ✓'Improper or dishonest conduct' includes ONLY wrongful/fraudulent taking or conversion of money/property, or material misrepresentation or deceit
• ✓A verified claim must be attested to before a notary public with all required supporting documentation
• ✓An order of dismissal is NOT considered a judgment for Fund purposes

Each initial regulant is assessed $20 at licensure, specifically assigned to the Fund. The minimum balance of the Fund is $400,000. If the balance falls below the minimum and interest earnings are insufficient, the Board assesses each regulant a sum to restore the minimum, but no regulant may be assessed more than $20 during any biennial license period. When the Fund exceeds $2 million at fiscal year-end, the excess is transferred to the Virginia Housing Trust Fund.

• ✓Each initial regulant is assessed $20 at time of licensure, assigned to the Fund
• ✓The minimum balance of the Fund is $400,000
• ✓No regulant may be assessed more than $20 total during any biennial license period (expiring June 30 of even-numbered years)
• ✓Fund balance exceeding $2 million at fiscal year close is transferred to the Virginia Housing Trust Fund
• ✓No license shall be renewed or reinstated until outstanding assessments are paid

A claimant may recover from the Fund after obtaining a final judgment against a regulant for improper or dishonest conduct that occurred while the person was a regulant acting in the capacity of a broker or salesperson (not as a principal or on his own account). Certain persons are excluded: the regulant, the regulant's personal representative, the spouse/child of the regulant against whom judgment was awarded (or their representative), and lending/financial institutions or persons in construction/development of real property.

• ✓Recovery requires a final judgment for improper or dishonest conduct against a regulant
• ✓The conduct must have occurred while the person was a regulant acting as broker/salesperson, not as a principal or on his own account
• ✓A claimant cannot be the regulant, the regulant's personal representative, or the spouse/child of the regulant
• ✓A claimant cannot be a lending/financial institution or a person in the construction/development of real property

Before filing, the claimant must serve a copy of the complaint on the Board by certified mail, provide subsequent pleadings to the Board, conduct (or reasonably attempt) debtor's interrogatories to find assets, and take all legally available actions to apply any disclosed assets. A verified claim must be filed with the Director no later than 12 months after entry of the final judgment from which no appeal exists. If the debtor filed bankruptcy, the claimant must first file with the bankruptcy court, and file with the Board within 12 months of the bankruptcy discharge or dismissal.

• ✓A verified claim must be filed no later than 12 months after entry of the final non-appealable judgment
• ✓The claimant must serve a copy of the complaint on the Board by certified mail (or equivalent)
• ✓The claimant must conduct or attempt debtor's interrogatories and pursue available assets before filing
• ✓If the debtor filed bankruptcy, the claim must be filed with the Board within 12 months of the bankruptcy discharge or dismissal

Recovery from the Fund is subject to statutory caps. For a single transaction, the aggregate of all claims against one regulant is limited to $50,000, and any one claimant's maximum recovery for a single transaction is $20,000 (regardless of the unpaid judgment amount). Across multiple transactions during a biennial license period, aggregate claims against one regulant are limited to $100,000. Interest and punitive damages are excluded from the recoverable amount, but court costs and attorney fees may be included.

• ✓Aggregate claims against one regulant for a single transaction are limited to $50,000
• ✓Maximum claim of one claimant for a single transaction is limited to $20,000
• ✓Aggregate claims against one regulant across multiple transactions in a biennial period are limited to $100,000
• ✓Interest and punitive damages are excluded; court costs and attorney fees may be included
• ✓Excess claims are prorated among claimants in proportion to unpaid judgments

Upon Board direction, the Director pays the claimant from the Fund after the claimant assigns to the Board his rights against the regulant to the extent satisfied. Upon payment, the Board immediately revokes the license of the regulant whose conduct caused the payment. That regulant cannot apply for a new broker/salesperson license until he repays the Fund in full plus interest at the judgment rate from the date of payment. Payment from the Fund does not waive or limit the Board's separate disciplinary authority.

• ✓The claimant must assign rights against the regulant to the Board to the extent satisfied from the Fund
• ✓The Board immediately revokes the license of the regulant whose conduct resulted in Fund payment
• ✓The regulant cannot reapply for licensure until repaying the Fund in full plus interest at the judgment rate
• ✓Payment from the Fund does not limit the Board's authority to take disciplinary action

Section 54.1-2130 defines the core terms used throughout the brokerage relationship article. 'Agency' means every relationship where a licensee acts for or represents a person as an agent by express authority in a commercial or residential transaction. A 'client' is a person who has entered into a brokerage relationship, while a 'customer' is a person who has NOT entered into a brokerage relationship but for whom a licensee performs ministerial acts. There is a legal presumption that a person is a customer rather than a client unless a brokerage relationship is formed. A 'brokerage relationship' is the contractual relationship between a client and a licensee engaged to procure a seller, buyer, option, tenant or landlord.

• ✓A 'client' has entered into a brokerage relationship; a 'customer' has not
• ✓Unless a brokerage relationship is entered, a person is presumed to be a customer, not a client
• ✓'Ministerial acts' are routine acts not involving discretion or the licensee's own judgment
• ✓A licensee in an agency relationship in a residential transaction must represent the client as either a standard agent or a limited service agent

A 'standard agent' acts for or represents a client in an agency relationship in a residential transaction and has all obligations provided in the article plus any additional obligations agreed to. A 'limited service agent' acts pursuant to a brokerage agreement that provides the agent will NOT perform one or more of the duties in subdivision A 2 of §§ 54.1-2131 through 54.1-2134. A limited service agent still must provide required federal/state/local disclosures and must disclose in writing: (i) client rights under the Virginia Residential Property Disclosure Act; (ii) condominium resale certificate obligations if selling a condo; and (iii) POA disclosure packet obligations if selling property under the Property Owners' Association Act.

• ✓A standard agent has all statutory duties plus any additional agreed obligations
• ✓A limited service agent may omit one or more subdivision A 2 duties but must state this in the brokerage agreement
• ✓A limited service agent must still deliver all required disclosures and disclose the client's rights under the Residential Property Disclosure Act, condo resale, and POA packet obligations in writing

A 'dual agent' or 'dual representative' has a brokerage relationship with both parties (both seller and buyer, or both landlord and tenant) in the same transaction. A dual agent has an agency relationship; a dual representative has an independent contractor relationship — and a dual representative shall only act as an independent contractor. A 'designated agent' or 'designated representative' is a licensee assigned by a principal or supervising broker to represent a client when a different client is also represented by the same broker in the same transaction; a designated representative shall only act as an independent contractor.

• ✓A dual agent/representative represents both sides (buyer and seller, or landlord and tenant) in one transaction
• ✓A dual representative and a designated representative shall only act as independent contractors
• ✓A designated agent is assigned by the principal/supervising broker when the broker represents both clients in the same transaction

Sections 54.1-2131 through 54.1-2134 impose parallel statutory duties on licensees engaged by sellers, buyers, landlords and tenants. In each case the licensee must: (1) perform per the brokerage agreement; (2) promote the client's interests (marketing/seeking property, drafting and negotiating offers, timely presentation of all written offers and counteroffers even when a contract already exists, providing reasonable assistance to settlement); (3) maintain confidentiality of personal and financial information and any information the client requests be kept confidential; (4) exercise ordinary care; (5) account in a timely manner for all money and property; (6) disclose material facts related to the property or transaction of which the licensee has actual knowledge; and (7) comply with the article, fair housing laws, and other applicable statutes/regulations.

• ✓All client duties: perform, promote interests, maintain confidentiality, exercise ordinary care, account for funds, disclose actual-knowledge material facts, and comply with law
• ✓Licensees must present all written offers and counteroffers in a timely manner even when the property is already subject to a contract or lease
• ✓Confidentiality of personal and financial information continues unless the law requires disclosure or the client consents in writing

Under subsection B of each duty statute, licensees must treat all prospective buyers, sellers, tenants and landlords HONESTLY and shall not knowingly give them false information. A licensee engaged by a seller (or landlord) must disclose to prospective buyers/tenants all material adverse facts pertaining to the PHYSICAL CONDITION of the property that are actually known. 'Physical condition of the property' means the land and improvements only — it does NOT include matters outside the boundaries, adjacent properties, governmental land use regulations, or highways/public streets. Disclosures must be made in writing. No cause of action arises against a licensee for revealing information required by law.

• ✓Licensees must treat all parties honestly and never knowingly give false information
• ✓A seller's/landlord's agent must disclose in writing all actually known material adverse facts about the property's physical condition
• ✓'Physical condition' excludes off-site matters, adjacent properties, land-use regulations, and highways/public streets

Under § 54.1-2135, a property manager must: perform per the property management agreement; exercise ordinary care; timely disclose material facts of which the manager has actual knowledge; maintain confidentiality; and account timely for money and property. A manager does not breach duty by representing other owners. A manager may also represent the owner as seller or landlord if the brokerage relationship so provides. Residential property management agreements must be in writing and must have a definite termination date or duration (defaulting to 90 days after the agreement date if unspecified), state the management fees and how/when paid, state services rendered, and include other agreed terms. Section 54.1-2135 does NOT apply to commercial real estate transactions.

• ✓Residential property management agreements must be in writing with a definite termination date/duration
• ✓If no termination date is specified, the agreement terminates 90 days after its date
• ✓The agreement must state management fees (amount and payment terms) and services rendered
• ✓The property management duty provisions do not apply to commercial transactions

Every brokerage agreement must be in writing and contain specific mandatory terms. It must state the amount of brokerage fees and how/when they are paid, describe the services to be rendered by the licensee, include all other agreed terms, and—where dual representation is consented to—include the § 54.1-2139(A) disclosures.

• ✓Brokerage agreement must state the amount of brokerage fees and how and when they are to be paid
• ✓Must state the services to be rendered by the licensee and include other agreed terms
• ✓Where dual representation is consented to, must include disclosures set out in § 54.1-2139(A)

After termination, expiration, or completion of a brokerage agreement, a licensee owes no further duties to the client except two: (i) to account for all moneys and property relating to the relationship, and (ii) to keep confidential all personal/financial information and any other information the client requested be kept confidential—unless the law requires disclosure or the client consents in writing.

• ✓Post-termination, licensee must account for all moneys and property relating to the brokerage relationship
• ✓Post-termination duty of confidentiality continues unless otherwise provided by law or client consents in writing
• ✓These continuing duties apply except as otherwise agreed in writing

Upon having a substantive discussion about a specific property with an unrepresented actual/prospective buyer or seller who is not the licensee's client, the licensee must disclose any brokerage relationship with another party. Except under §§ 54.1-2139 or 54.1-2139.1, disclosure must be in writing at the earliest practical time, no later than when specific real estate assistance is first provided. If combined with other disclosures, it must be conspicuous (bold, all caps, underlined, or in a separate box).

• ✓Disclosure triggered by a substantive discussion about a specific property with an unrepresented non-client
• ✓Written disclosure required at the earliest practical time, no later than when specific real estate assistance is first provided
• ✓Disclosure must be conspicuous—bold lettering, all capitals, underlined, or within a separate box

A licensee may act as a limited service agent in a residential transaction only under a written brokerage agreement that (i) discloses the licensee is a limited service agent, (ii) lists the specific services provided, and (iii) lists the specific standard-agent duties that will NOT be provided. This disclosure must be conspicuous (bold or all caps, and underlined or in a separate box). A limited service agent must also disclose dual agency per § 54.1-2139.

• ✓Limited service agency requires a written brokerage agreement disclosing that status
• ✓Agreement must list specific services provided AND specific standard-agent duties not provided
• ✓Disclosure must be conspicuous and the limited service agent must still disclose dual agency per § 54.1-2139

A licensee may not act as a dual agent/representative in a residential transaction without first obtaining written consent of all parties after written disclosure of the consequences. A dual agent has an agency relationship; a dual representative has an independent contractor relationship. Disclosure must be in writing and given to both parties before dual agency/representation begins. Disclosures are invalid if not signed by the client or if given within a purchase agreement, lease, or other transaction document.

• ✓Dual agency/representation requires prior written consent of all parties after written disclosure of consequences
• ✓Disclosure must be given in writing to both parties before the dual relationship commences
• ✓A disclosure is invalid if not signed by the client, or if given in a purchase agreement, lease, or other transaction document

A principal/supervising broker may assign different affiliated licensees to represent different clients in the same residential transaction. This is not dual agency for the designated agents if each represents only one client, but the supervising broker IS considered a dual agent. Designated agents may not disclose client confidential information except to their broker. Use of designated agents must be disclosed conspicuously per the statutory form.

• ✓Designated agents assigned by the supervising broker each represent one client and are not dual agents
• ✓The principal/supervising broker overseeing the transaction is considered a dual agent
• ✓Designated agents may disclose confidential client information only to their own broker; use must be disclosed

An 'active' licensee is a broker or salesperson in good standing, under the supervision of a principal or supervising broker, and performing licensed real estate activities as defined in Va. Code 54.1-2100. An 'inactive status' licensee is not under a principal/supervising broker's supervision and is not performing any licensed activities. Understanding this distinction is essential because a licensee must be active to legally practice.

• ✓'Active' requires good standing, supervision by a principal/supervising broker, and performance of 54.1-2100 activities
• ✓'Inactive status' means no supervising/principal broker and no licensed activities being performed
• ✓A licensee cannot conduct real estate business while on inactive status

A 'principal broker' is the individual broker designated by each firm to ensure compliance with Chapter 21 of Title 54.1 and the regulations, and to receive board communications. In a sole proprietorship, the sole-proprietor broker is the principal broker. A 'supervising broker' is designated by the principal broker to supervise brokerage services provided by associate brokers and salespersons assigned to branch offices or real estate teams, or to supervise a designated agent.

• ✓Each firm must designate one principal broker to ensure regulatory compliance
• ✓In a sole proprietorship, the licensed sole-proprietor broker is the principal broker
• ✓A supervising broker is designated by the principal broker to oversee branch offices, teams, or designated agents
• ✓The principal broker receives all board communications and notices regarding compliance

A 'class hour or clock hour' equals 50 minutes of instruction. This is critical for calculating prelicense, post-license, and continuing education credit hours.

• ✓One class hour or clock hour equals 50 minutes of instruction
• ✓Education requirements are measured in these 50-minute hours

Every firm must secure a firm license before transacting real estate business, separate and distinct from individual licenses. Broker-owned sole proprietorships are NOT required to hold a firm license, but a nonbroker-owned sole proprietor, partnership, association, LLC, or corporation must obtain one. Applicants must disclose the name held out to the public, register trade/fictitious names with the State Corporation Commission, disclose the place of business address, and be organized under Virginia law or authorized to transact business in Virginia. Each firm must have a principal broker whose license is active.

• ✓Broker-owned sole proprietorships do not need a firm license; nonbroker-owned entities do
• ✓A firm license is separate and distinct from individual licenses of those in the brokerage
• ✓Trade or fictitious names must be registered with the State Corporation Commission (Ch. 5, Title 59.1)
• ✓Each firm must have a principal broker whose license is active

Every applicant for an individual salesperson or broker license must be at least 18 years old and have a high school diploma or equivalent. Applicants must report any disciplinary action by any board in any jurisdiction (suspension, revocation, surrender, monetary penalty, or remedial education). The board may deny licensure for prior actions, with a right to review under the Administrative Process Act. Applicants must submit to fingerprinting and disclose specific convictions and sign a statement confirming they read and understand the regulations and Chapter 21 of Title 54.1.

• ✓Applicant must be at least 18 years of age and have a high school diploma or equivalent
• ✓Applicant must report any disciplinary action against a professional/occupational license in any jurisdiction
• ✓Applicant must submit to fingerprinting and disclose misdemeanor convictions (fraud/dishonesty, sexual offense, non-marijuana drug distribution, or battery) within 5 years, plus ALL felony convictions
• ✓Applicant must sign a statement verifying they read and understand the chapter and Chapter 21 of Title 54.1

Applicants for licensure as a real estate broker must have been actively engaged as a real estate salesperson for 36 of the 48 months immediately preceding application. This experience must be verified by the principal or supervising broker for whom the applicant worked when obtaining the experience.

• ✓Broker applicants must have been actively engaged as a salesperson for 36 of the 48 months immediately preceding application
• ✓Experience must be verified by the principal or supervising broker

Licenses for salespersons, brokers, and firms expire two years from the last day of the month in which they were issued, as shown on the license. The only exception is concurrent broker licenses, which expire on the same date as the original broker license.

• ✓Salesperson, broker, and firm licenses expire two years from the last day of the issuance month
• ✓Concurrent broker licenses expire on the same date as the original broker license
• ✓Expiration date is indicated on the license itself

For subsequent renewals, active salespersons must complete at least 16 hours of continuing education each licensing term. Of these, 11 hours are mandatory: 2 hours fair housing laws, 3 hours ethics and standards of conduct, 2 hours real estate agency, 2 hours real estate contracts (contract principles, forms, escrow deposits/accounts), and 2 hours legal updates and emerging trends (including flood zone areas and the National Flood Insurance Program). The remaining 5 elective hours come from the subsection B list.

• ✓Active salespersons must complete 16 CE hours per licensing term
• ✓11 hours are mandatory board-required subjects; 5 hours are electives
• ✓Mandatory subjects include 2 hrs fair housing, 3 hrs ethics, 2 hrs agency, 2 hrs contracts, 2 hrs legal updates/emerging trends

Active brokers must complete at least 24 hours of continuing education each licensing term. Of these, 19 hours are mandatory: 8 hours supervision and management of agents and brokerage firms (2 of which cover broker supervision requirements under this chapter and Chapter 21 of Title 54.1), 2 hours fair housing, 3 hours ethics and standards of conduct, 2 hours real estate agency, 2 hours real estate contracts, and 2 hours legal updates and emerging trends (flood zones/NFIP). The remaining 5 elective hours come from subsection B.

• ✓Active brokers must complete 24 CE hours per licensing term
• ✓19 hours are mandatory; 5 hours are electives
• ✓8 mandatory hours cover supervision/management, with 2 of those on broker supervision requirements

All reinstatement applicants must meet the education requirements of 18VAC135-20-95 or -101; those wishing to activate must complete the education, while inactive-license reinstatement does not require CE. If renewal (including fee receipt) is not completed within 30 days of the expiration date, the reinstatement fee is required. A license may be reinstated up to one year after expiration by paying the reinstatement fee.

• ✓Reinstatement fee applies if renewal is not completed within 30 days of expiration
• ✓A license may be reinstated up to one year following expiration with the reinstatement fee
• ✓Inactive-license reinstatement does not require CE; activating a license does require the education

A reinstated license keeps the same license number and is assigned an expiration date two years from the previous expiration date. After one year past expiration, a license cannot be reinstated under any circumstances, and the applicant must meet all current education and examination requirements and apply as a new applicant. No individual, entity, or firm may perform activities defined in § 54.1-2100 with an expired license; doing so may be unlicensed activity subject to prosecution.

• ✓Reinstated license keeps the same number, expiring two years from the previous expiration date
• ✓After one year past expiration, no reinstatement is possible and the person must reapply as a new applicant
• ✓Practicing real estate with an expired license may constitute unlicensed activity subject to prosecution

The Real Estate Board has the power to impose monetary penalties and to suspend or revoke any license or certificate when a licensee or certificate holder has violated (or cooperated with others in violating) the applicable statutes and regulations. Disciplinary authority arises under Chapter 21 of Title 54.1, subdivision A 7 of § 54.1-201, § 54.1-202, and the Administrative Process Act.

• ✓The Board may impose a monetary penalty and suspend or revoke a license or certificate for violations of Chapters 1, 2, 3, and 21 of Title 54.1, Chapter 10 of Title 55.1, or any Board regulation
• ✓Cooperating with others in violating a provision is itself a disciplinable act
• ✓A licensee may be charged with a violation regardless of whether the acts were done in a personal capacity or as a real estate licensee

In addition to the statutory duties in § 54.1-2110.1, supervising brokers have specific regulatory duties to supervise brokerage services, ensure only licensees perform licensed activities, supervise unlicensed persons, and respond to cooperating brokers.

• ✓Must provide supervision of brokerage services in a timely manner
• ✓Must take reasonable steps to ensure only licensees undertake activities requiring a license (see 18VAC135-20-335 A)
• ✓Must provide adequate supervision over all unlicensed individuals or entities associated with the firm or its licensees (see 18VAC135-20-335 B)
• ✓Must act with reasonable diligence and promptness in responding to inquiries from cooperating brokers

Firms and sole proprietorships holding money in escrow must maintain federally insured escrow accounts with specific naming, labeling, and responsibility requirements. The principal broker bears primary responsibility.

• ✓If money is held in escrow, the firm or sole proprietorship must maintain one or more federally insured escrow accounts for all funds received in a real estate transaction
• ✓The escrow account must be in the name by which the firm or sole proprietorship is licensed
• ✓The principal broker is held responsible for these accounts and must have signatory authority; supervising brokers and other signatories may also be held responsible
• ✓All such accounts, checks, and bank statements must be labeled 'escrow' and designated as escrow accounts with the financial institution
• ✓The escrow account balance must at all times be sufficient to account for all funds designated to be held

Specific funds must be deposited into escrow, and while a licensee's future earnings may reside temporarily in escrow, they must be separately identified and never paid directly to licensees.

• ✓Down payments, earnest money deposits, settlement money, application deposits, rental payments, rental security deposits, and money advanced for closing expenses must be deposited into escrow unless all principals agree otherwise in writing
• ✓Funds ultimately belonging to the licensee may be in escrow if separately identified, but must be paid to the firm (not directly to licensees) when due
• ✓Money that may ultimately belong to the licensee does not constitute commingling if withdrawn at intervals of not more than six months and the licensee can always accurately identify total funds belonging to the licensee versus the firm

Escrow funds in purchase and lease transactions must be handled according to specific Code sections. Licensees have limited entitlement to funds and cannot disburse funds without sufficient deposits or deduct closing expenses improperly.

• ✓Upon ratification, an earnest money deposit must be deposited, handled, and disbursed in accordance with § 54.1-2108.2
• ✓A licensee is not entitled to any part of the earnest money deposit or commission until the transaction is consummated, unless all principals agree otherwise in writing
• ✓Lease funds (application deposit, security deposit, rent) must be deposited in escrow per § 54.1-2108.1; security deposits and prepaid rent follow the Virginia Residential Landlord and Tenant Act (Chapter 12 of Title 55.1)
• ✓A licensee must not disburse escrow moneys unless sufficient money is on deposit to the credit of the individual client or property involved
• ✓Unless all principals agree in writing, closing expenses (e.g., appraisal, insurance, credit report fees) must not be deducted from a deposit or down payment
• ✓On interest-bearing accounts, written disclosure regarding disbursement of interest must be made in the contract at the time of writing

The regulation defines specific acts that constitute improper escrow handling, including commingling and failing to properly deposit funds. These acts are grounds for discipline.

• ✓Accepting any note, nonnegotiable instrument, or anything not readily negotiable as a deposit without acknowledging its acceptance in the agreement is improper
• ✓Commingling occurs when a broker mixes clients' funds with the broker's own funds or those of the broker's corporation, firm, or association; using escrow funds to buy a CD and pledging/hypothecating it or removing the original from the broker's control constitutes commingling
• ✓Failing to deposit escrow funds in an account designated to receive only such funds (per subdivision A 1) is improper

Under 18VAC135-20-185(A), the principal broker must maintain financial records for any real estate transaction conducted under the broker's license, and these records must be readily accessible from the broker's place of business. If the principal broker's office is located outside Virginia but the firm has a Virginia branch office, a copy of these records must be readily accessible in the Virginia office.

• ✓Records must show: from whom money was received, date of receipt, place of deposit, date of deposit, final disposition of funds, and any other information required by the chapter
• ✓Financial records must be readily accessible from the broker's place of business
• ✓If the principal broker's office is outside Virginia and the firm has a Virginia branch, a copy of the records must be readily accessible in the Virginia office

18VAC135-20-185(C) sets record retention periods that the principal broker or supervising broker must observe. Brokerage agreements and dual/designated agency disclosures/consents are kept three years from execution. Transaction documents (contracts of sale, releases, leases, property management agreements, settlement statements, unrepresented-party disclosures) are kept three years from closing, or from ratification if the deal fails to close. Records of receipts and disbursements of money held for others are kept three years from closing/termination of a sale, or from termination of a lease or conclusion of the licensee's involvement in a lease.

• ✓Each brokerage agreement and each dual/designated agency disclosure and consent: retain 3 years from date of execution
• ✓All transaction documents (contract of sale, release, lease, property management agreement, settlement statement, unrepresented-party disclosure): retain 3 years from closing, or from ratification if the transaction fails to close
• ✓Records of receipts and disbursements of money received on behalf of others: retain 3 years from closing/termination of the sale, or termination of a lease or conclusion of the licensee's involvement in a lease

Under 18VAC135-20-190(A), all advertising must be under the direct supervision of the principal or supervising broker and in the name of the firm. When applicable, it must comply with the disclosure required by § 54.1-2138.1. The firm's licensed name must be clearly and legibly displayed on all advertising.

• ✓All advertising must be under the direct supervision of the principal broker or supervising broker and in the firm's name
• ✓The firm's licensed name must be clearly and legibly displayed on all advertising
• ✓Advertising must comply with the § 54.1-2138.1 disclosure when applicable

18VAC135-20-190(B) requires all advertising by a firm or affiliated licensee to contain a clear, legible, and conspicuous advertising disclosure that includes the firm's name and the office contact information. The office contact information and any additional required information are specified by the principal or supervising broker in the firm's written policies, and affiliated-licensee advertising must be done under those policies.

• ✓Advertising disclosure must include (i) the firm's name and (ii) the office contact information, clearly, legibly, and conspicuously
• ✓Office contact information and additional required info are set by the principal/supervising broker in the firm's written policies
• ✓All advertising by an affiliated licensee must be done under the policies of a principal or supervising broker

Under 18VAC135-20-220(A), a licensee must disclose whom the licensee represents to an actual or prospective buyer or seller who is not the licensee's client and is not represented by another licensee, once substantive discussions occur about a specific property (per § 54.1-2138 A). Disclosure must be in writing at the earliest practical time, but no later than when specific real estate assistance is first provided.

• ✓Disclosure of who the licensee represents is required with an unrepresented buyer/seller once there are substantive discussions about a specific property
• ✓Disclosure must be in writing at the earliest practical time, no later than when specific real estate assistance is first provided
• ✓A disclosure complying with § 54.1-2138 A satisfies this requirement

18VAC135-20-220(A)(3) requires a licensee acting as a dual or designated agent/representative to obtain written consent of all clients at the earliest practical time. Consent is presumed when a client signs a disclosure complying with §§ 54.1-2139, 54.1-2139.01, and 54.1-2139.1. Disclosure must be given to and consent obtained from the buyer no later than when an offer to purchase is presented to the licensee who will present it, and from the seller no later than when the offer is presented to the seller.

• ✓A dual or designated agent/representative must obtain written consent of all clients at the earliest practical time
• ✓Buyer's consent must be obtained no later than when the offer is presented to the licensee who will present it to the listing agent/seller
• ✓Seller's consent must be obtained no later than when the offer to purchase is presented to the seller

18VAC135-20-240 requires a licensee to produce to the board or its agents, within 10 days of request, signature cards, bank records, or any document/book/record concerning a real estate transaction the licensee was involved in or is required to maintain, for inspection and copying (unless otherwise specified or per § 54.1-2108). The board may extend the 10-day period for extenuating circumstances. A licensee must respond to any other board inquiry within 21 days.

• ✓Requested records (signature cards, bank records, transaction documents) must be produced to the board within 10 days, subject to board extension for extenuating circumstances
• ✓A licensee must respond to any other board or board agent inquiry within 21 days

18VAC135-20-260 lists broad prohibited acts. Obtaining or maintaining a license by false or fraudulent representation is prohibited, as is holding more than one broker or salesperson license in Virginia except as allowed. Improperly signing (or unreasonably refusing to sign) an experience verification form is prohibited. Certain criminal convictions and disciplinary actions in other jurisdictions must be reported and can trigger discipline.

• ✓Cannot obtain, renew, reinstate, or maintain a license by false or fraudulent representation
• ✓Cannot hold more than one Virginia broker or salesperson license except as provided in the chapter
• ✓Conviction of a misdemeanor involving fraud/dishonesty, sexual offense, non-marijuana drug distribution, or battery, or any felony is a prohibited act
• ✓Must inform the board in writing within 30 days of any such conviction
• ✓Must inform the board in writing within 30 days of any disciplinary action against another professional/occupational license

A licensee found by a court or administrative body to have violated the Virginia Fair Housing Act or federal fair housing laws (Title VIII of the Civil Rights Act of 1968 or the Civil Rights Act of 1866) commits a prohibited act. Knowingly giving false, misleading, or incomplete information to a board inquiry is prohibited, as is violating or conspiring to violate Title 54.1 provisions or board regulations.

• ✓A final adjudicated fair housing violation (state or federal) is a prohibited act
• ✓Cannot knowingly provide false, misleading, or incomplete information to the board or its agents
• ✓Cannot violate, induce, cooperate, or conspire with another to violate Title 54.1 or board regulations

Subdivision 11 requires licensees to act so as to safeguard the public's interests. It enumerates broker supervision duties (ensuring accountability over financial dealings, escrow, and daily operations; proper escrow disbursement and documentation; ensuring supervised licensees hold active licenses; signatory authority on all accounts; accounting for others' funds) and licensee duties (timely submission of escrow money and documents to the broker; not practicing outside the firm; not operating unlicensed; not practicing with an inactive/expired license).

• ✓Principal/supervising broker must ensure supervision and accountability over the firm's finances, escrow account, and daily operations
• ✓Broker must have signatory authority on all firm accounts and account for/remit money belonging to others
• ✓A licensee may not perform regulated activities outside the licensee's brokerage firm (except where the licensee owns an interest in the property)
• ✓A licensee may not practice real estate with an inactive or expired license
• ✓A licensee must timely submit all escrow money, contracts, and required documents to the broker

Subdivision 12 defines improper, fraudulent, or dishonest conduct, including diverting commission from the firm, fabricating or altering documents to mislead, signing on a client's behalf without legal authority, mishandling escrow deposits, misrepresenting property ownership or who holds an escrow deposit, submitting duplicate earnest money checks with multiple offers, and taking a licensing exam for another or retaking one for a license already held.

• ✓Cannot fabricate or alter any document with intent to mislead
• ✓Cannot sign documents on a client's behalf without proper legal authorization
• ✓Cannot make an escrow deposit payable to the licensee or negotiate the check without written authority
• ✓Cannot submit copies of the same earnest money check with multiple offers
• ✓Cannot misrepresent property ownership or who is holding an escrow deposit
• ✓Cannot sit for an exam for a license already held or take an exam on behalf of another

18VAC135-20-270 defines conflict-of-interest actions. A licensee may not be active with a broker other than the licensee's principal broker without the principal broker's written consent. A licensee may not act for more than one client in a transaction governed by §§ 54.1-2139, 54.1-2139.01, and 54.1-2139.1 without first obtaining all clients' written consent (i.e., dual representation requires written consent).

• ✓Being active with another broker without the principal broker's written consent is a conflict of interest
• ✓Acting for more than one client (dual representation) requires prior written consent of all clients

18VAC135-20-280 prohibits paying valuable consideration to unlicensed persons for services requiring a license, and prohibits a salesperson/associate broker from accepting compensation from anyone other than the principal/supervising broker (absent prior written consent). It bars profiting from confidential transaction information without written consent, receiving benefit for work without written acknowledgment of the payor, and 'net' listings. Improper dealing includes offering property for sale/lease without the owner's knowledge and consent or without verifying identity, or on unauthorized terms.

• ✓Cannot pay valuable consideration to an unlicensed person for services requiring a real estate license
• ✓A salesperson/associate broker may only be paid by their principal or supervising broker unless the principal broker gives prior written consent
• ✓'Net' listings (leaving the licensee free to keep any excess over the seller's net price) are prohibited
• ✓Cannot offer property for sale/lease without the owner's knowledge and consent or on terms other than those authorized

18VAC135-20-300 defines misrepresentation/omission, including 'bait and switch' advertising, failing to disclose known material adverse physical facts, failing to promptly tender all written offers/counteroffers/rejections, failing to disclose material facts to a client, failing to give timely notice of material changes, breaching dual-agency confidentiality, omitting complete terms or identity of deposit holders, making false statements to lenders, and making false promises.

• ✓'Bait and switch' advertising is a prohibited misrepresentation
• ✓A seller's/landlord's standard agent must timely disclose material adverse facts about the physical condition actually known to the licensee
• ✓A licensee must promptly tender every written offer, counteroffer, and rejection to the client or unrepresented party
• ✓A dual agent may not disclose one client's confidential transaction information to the other client
• ✓Documents must identify all those holding any deposits

18VAC135-20-335(A) lists activities only a licensed individual or entity may perform: showing property, holding open houses, answering questions on listings/title/financing/closing/contracts/agreements/legal documents, discussing/explaining/interpreting/negotiating contracts and agreements with anyone outside the firm, and negotiating or agreeing to any commission, split, management fee, or referral fee.

• ✓Only a licensee may show property or hold an open house
• ✓Only a licensee may negotiate a contract, listing, lease, or property management agreement with someone outside the firm
• ✓Only a licensee may negotiate or agree to a commission, commission split, management fee, or referral fee

18VAC135-20-335(B) lists tasks unlicensed assistants may perform: general clerical duties, submitting listings/changes to MLS, following up on loan commitments after ratification, having keys made, computing commission checks, placing signs, courier service, scheduling appointments, recording/depositing escrow funds, accepting security deposits and rent per a rental agreement, preparing forms for licensee/broker approval, signing broker-approved rental documents, preparing advertising for approval, assembling closing documents, obtaining public records, monitoring files, and ordering routine repairs as directed.

• ✓Unlicensed assistants may perform clerical duties and provide only information shown on the listing
• ✓Unlicensed assistants may record and deposit escrow funds and accept security deposits and rent as contracted in a rental agreement
• ✓Unlicensed assistants may sign only broker-approved rental agreements and required disclosures, not negotiate them
• ✓Materials and forms prepared by unlicensed assistants require licensee and supervising broker approval

The real estate principles and practices course must be a four-semester-hour or six-quarter-hour course of at least 60 class hours. It must cover 25 required topic areas including economy/social impact of real estate, market and analysis, property rights, contracts, deeds, mortgages and deeds of trust, types of mortgages, leases, liens, home ownership, real property and title insurance, investment, taxes, real estate financing, brokerage agreements and agency contract responsibilities, marketing, property management, title search/examination/registration, title closing, appraisal, subdivision/condominium planning, regulatory statutes, housing legislation, fair housing statutes, and Real Estate Board regulations.

• ✓The principles and practices course must be at least 60 class hours (four semester hours or six quarter hours)
• ✓Required content includes fair housing statutes, housing legislation, and Real Estate Board regulations
• ✓Required content includes brokerage agreements and agency contract responsibilities, contracts, deeds, and financing topics

Brokerage must be a required specific course of three semester hours or six quarter hours, but at least 45 class hours, constituting a complete course. 'Related subjects' referenced in § 54.1-2105 must be real estate related, including property management, land planning and land use, business law, real estate economics, and real estate investments. No more than 45 class hours of broker-related courses will be accepted in lieu of the specific broker courses set forth in § 54.1-2105.

• ✓Brokerage must be a required specific course of at least 45 class hours (three semester hours or six quarter hours)
• ✓'Related subjects' must be real estate related, including property management, land planning/use, business law, real estate economics, and investments
• ✓No more than 45 class hours of broker-related courses may be accepted in lieu of specific broker courses

• A. Lawful because landlords in Virginia have absolute authority to set occupancy limits for any unit regardless of family composition
• B. Potentially unlawful if the occupancy standard is not based on legitimate factors such as health and safety codes, unit size, or building infrastructure, and functions to exclude families with children ✓ Answer
• C. Automatically lawful because any numerical occupancy cap is a facially neutral policy that cannot constitute familial status discrimination
• D. Unlawful only if the landlord also refuses to rent to single adults who wish to share the unit

• A. Only written advertisements published in newspapers are subject to the anti-discrimination provisions; online listings are regulated separately by federal law
• B. Advertisements that express a preference, limitation, or discrimination based on any protected class are prohibited, including statements suggesting a particular type of occupant is preferred ✓ Answer
• C. A landlord may state a preference for non-smokers in an advertisement without restriction because smoking is not a protected class under Virginia law
• D. Discriminatory advertising is only actionable if a qualified applicant actually applied and was rejected as a result of the advertisement

• A. The Virginia Department of Housing and Community Development exclusively
• B. The Virginia Real Estate Board under its authority to discipline licensees for violations of the Virginia Fair Housing Law ✓ Answer
• C. Only a federal court upon complaint by the U.S. Department of Justice
• D. The Virginia Attorney General's Office exclusively, with no VREB involvement

• A. Lawful screening because landlords may set any documentation requirements they choose
• B. Unlawful discrimination based on national origin because the policy has a disparate impact on non-citizen immigrants and is not justified by business necessity ✓ Answer
• C. Lawful screening because federal immigration law requires landlords to verify citizenship status
• D. Unlawful discrimination only if the applicant can prove the landlord intended to discriminate

• A. Refusing to make mortgage loans or setting less favorable loan terms based on the racial or ethnic composition of the neighborhood where the property is located ✓ Answer
• B. Requiring borrowers to pay higher interest rates when they select properties in rural areas due to increased lending risk
• C. Drawing boundaries around school districts to limit the number of applicants who qualify for federally backed loans
• D. Refusing to lend to applicants whose credit scores fall below a threshold applied uniformly to all applicants regardless of race

• A. Only a written warning for a first offense; license revocation is reserved for criminal convictions.
• B. DPOR may impose sanctions including license suspension or revocation, a monetary fine, and may require restitution to harmed clients. ✓ Answer
• C. The property manager's employing broker is solely liable; the individual property manager faces no direct DPOR sanction.
• D. DPOR may only refer the matter to the Virginia State Bar for disciplinary action.