What is the exam-ready answer?
| Official syllabus topic | Real Estate Practice in Georgia: Real Estate Practice; Listings and Agency |
|---|---|
| Official PSI group | Real Estate Practice in Georgia |
| Published group count | 21 of the 52 Georgia questions |
| Exam portion | Georgia salesperson supplement |
| Source edition | PSI Georgia Candidate Information Bulletin dated July 1, 2026 |
The Rule
PSI publishes 16, 21, and 15 items for the three Georgia groups. It does not publish a guaranteed subtopic count. The statute, current GREC rule, contract, or other cited primary authority controls each lesson.
The lesson
Georgia questions reward the Georgia rule. A national rule that sounds right can still be the wrong answer when the question names a Georgia statute, document, role or procedure.
Broker channel
A salesperson, CAM, or associate broker is compensated through the affiliated broker rather than directly by the client, closing attorney, or another firm's salesperson.
Referrals
Broker-to-broker referral compensation can be lawful with the required knowledge and written disclosure to the principal at the prescribed time.
Rebates
A licensee may rebate compensation to a principal if the rebate is shown on the closing statement and does not mislead a lender, title provider, government agency, or other participant.
Unlicensed persons
An unlicensed person may be paid for lawful nonbrokerage work but not for negotiating, procuring prospects, or other acts requiring a license.
Decision rule
Georgia rule and national contrast
Worked Georgia example
Scenario. A salesperson promises a buyer part of the commission as a closing credit but keeps it off the closing statement so the lender will not see it.
Reason it through. A rebate may be permitted, but hiding it defeats the disclosure condition and can mislead the lender about the buyer's funds.
Answer. The undisclosed rebate is not compliant; route it through the broker and disclose it properly.
Common exam traps
- Paying the salesperson directly
- Assuming every referral fee is lawful
- Hiding a rebate
- Paying an unlicensed person for negotiation
Original practice questions with detailed explanations
These are original instructional questions mapped to the July 1, 2026 PSI outline. They are not copied from PSI or a live examination. Choose an answer before opening the explanation.
Question 1A salesperson promises a buyer a $3,000 closing credit from the commission but asks that it be left off the closing statement so the lender will not see it. Is the rebate proper under GREC rules?
- A. Yes, because the money comes from the salesperson's own share.
- B. No, because Georgia prohibits any rebate to a buyer or seller.
- C. Yes, if the buyer agrees in writing to keep the credit private.
- D. No, because a rebate must be shown on the closing statement.
Show answer and explanation →
Answer: D. No, because a rebate must be shown on the closing statement.
Rule 520-1-.10 allows a rebate to a principal only when it appears on the closing statement and does not mislead the lender or other participants. Hiding it from the lender defeats that condition. The second choice overcorrects: Georgia does allow properly disclosed rebates.
Question 2A delighted seller wants to hand the listing salesperson a $1,000 bonus at closing. How may the salesperson lawfully receive it?
- A. Through the broker who holds the salesperson's license.
- B. Directly from the seller, since it is a gift, not a commission.
- C. From the closing attorney, as a line item paid to the salesperson.
- D. Directly, as long as the salesperson reports it as income.
Show answer and explanation →
Answer: A. Through the broker who holds the salesperson's license.
An affiliated licensee in Georgia is paid for brokerage work only through the broker holding the license. A bonus tied to the transaction is compensation, whatever the seller calls it. The gift label is the plausible trap, because it does not change what the money is paid for.
Question 3A broker wants to pay an unlicensed neighbor for several kinds of help. Which payment would violate Georgia license law?
- A. An hourly wage for filing and data entry in the office.
- B. A flat fee for photographing the broker's new listings.
- C. A fee for each buyer the neighbor finds and talks into buying.
- D. Payment for repairing a listed home before it goes on the market.
Show answer and explanation →
Answer: C. A fee for each buyer the neighbor finds and talks into buying.
An unlicensed person may be paid for lawful work that needs no license, but not for procuring prospects or negotiating. Finding buyers and persuading them to buy is brokerage activity. The photography fee can look risky because it involves listings, but it is nonbrokerage work.
Ready to move on?
You are ready for the next lesson when all of these are true.
- Explain Georgia Compensation, Referrals, Rebates, and Unlicensed Persons in one clear answer without notes.
- Separate Broker channel from Referrals using a fresh example.
- Apply the decision rule to a new fact pattern and name the fact that controls the result.
- State the Georgia-specific point or explain why the national rule applies unchanged.
- Answer every practice question and explain the rule each rejected option misapplies.
- Revisit this topic later in mixed practice without category labels.
Recommended next lesson
Continue with Security Deed Versus Mortgage in Georgia. The security deed article moves from who gets paid at closing to how the buyer's loan is secured, explaining why Georgia lenders take a deed to secure debt and hold title until the loan is paid off.
Return to the Real Estate Practice in Georgia hub for the complete official branch and the full lesson list for this Georgia group.