Where this fits on the exam
| Official syllabus topic | Real Estate Practice in Georgia: 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
Perform and promote
The broker follows the engagement and seeks a sale on the stated or acceptable terms, subject to the contract-status limits in Section 10-6A-5.
Offers and accounting
All offers to and from the seller are timely presented even when the property is under contract, and money or property in which the seller has an interest is accounted for.
Confidentiality
Information is protected when made confidential by express request or instruction, unless later permitted or disclosure is required by law.
Adverse facts
Disclose actually known adverse physical facts about the property that a reasonably diligent buyer inspection would not reveal. This is different from a duty to discover unknown defects. A seller's instruction cannot cancel a required disclosure.
Immediate neighborhood
The duty also reaches actually known adverse physical conditions within one mile that the buyer could not discover through diligent neighborhood inspection or reasonably available governmental records and maps. A known concealed contamination problem can matter; the broker is not required to investigate every unknown neighborhood condition.
Decision rule
Georgia rule and national contrast
Worked Georgia example
Scenario. A listed home is under contract when a second written offer arrives. The listing engagement does not require seeking backup offers.
Reason it through. The broker may not have to seek additional offers, but Section 10-6A-5 still requires timely presentation of offers to and from the seller.
Answer. Present the second offer timely and let the seller decide within existing contractual obligations.
Common exam traps
- Confusing seeking with presenting offers
- Disclosing confidential motivation
- Diagnosing beyond expertise
- Inventing a duty to discover unknown defects
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 listing broker knows the home's septic field still leaks after a temporary repair. A buyer's ordinary inspection would not reveal it. The seller asks the broker not to mention it. What must the broker do?
- A. Keep it confidential, since the seller expressly asked.
- B. Mention it only if a buyer asks a direct question.
- C. Disclose it, since it is a known hidden physical defect.
- D. Suggest the buyer hire an inspector and say nothing more.
Show answer and explanation →
Answer: C. Disclose it, since it is a known hidden physical defect.
A seller's broker must disclose actually known adverse physical facts about the property that a reasonably diligent inspection would not reveal. The seller's request cannot turn a required disclosure into a confidence. Suggesting an inspection looks plausible, but the stem says an inspection would not find this defect.
- A. Incorrect. A seller's confidentiality request cannot suppress a required hidden-defect disclosure.
- B. Incorrect. The known concealed physical defect must be disclosed without waiting for a question.
- C. Correct. The leak is actually known, adverse, and hidden from a reasonably diligent inspection.
- D. Incorrect. An inspection recommendation does not satisfy disclosure of a defect the stated inspection would miss.
Question 2A death from natural causes occurred in a listed home two years ago. No buyer has asked about it. Under Georgia law, what must the listing broker do?
- A. Nothing unless a buyer asks, then answer truthfully.
- B. Disclose it in writing to every prospective buyer.
- C. Refuse to answer even if a buyer asks about it directly.
- D. Disclose it only to buyers who have no broker of their own.
Show answer and explanation →
Answer: A. Nothing unless a buyer asks, then answer truthfully.
Georgia does not require a licensee to volunteer a natural death. A direct question requires a truthful answer to the best of the licensee's knowledge unless answering would violate fair housing or other law. The written-disclosure answer treats a stigma as if it were a physical defect.
- A. Correct. A natural death need not be volunteered, but a direct question calls for a truthful lawful answer to the broker's knowledge.
- B. Incorrect. Georgia does not require every prospective buyer to receive unsolicited written disclosure of a natural death.
- C. Incorrect. The broker must answer a direct question truthfully unless a legal restriction applies.
- D. Incorrect. The buyer's representation status does not alter the rule for voluntary stigma disclosure.
Question 3A buyer asks the listing broker whether a crack in the basement wall is structural. The broker has no special knowledge of the crack. What should the broker do?
- A. Say it looks cosmetic, based on the broker's experience.
- B. Recommend that the buyer get a structural engineer's opinion.
- C. Say it is structural, to guard against a later complaint.
- D. Decline to discuss it, since the buyer is not the client.
Show answer and explanation →
Answer: B. Recommend that the buyer get a structural engineer's opinion.
A broker recommends expert advice on matters beyond brokerage expertise, and whether a crack is structural is an engineering question. Guessing either way would be diagnosing beyond expertise. Calling it cosmetic from experience is plausible because it sounds helpful, but it could mislead the buyer.
- A. Incorrect. Without special knowledge, the broker should not diagnose the crack as cosmetic.
- B. Correct. A structural engineer is an appropriate expert to assess the crack.
- C. Incorrect. Guessing that the crack is structural can mislead just as guessing that it is cosmetic can.
- D. Incorrect. The broker may recommend expert advice to a customer without becoming the customer's advocate.
Ready to move on?
You are ready for the next lesson when all of these are true.
- Distinguish seeking offers from presenting offers while property is under contract.
- Recognize known hidden physical defects that must be disclosed.
- Apply the immediate-neighborhood rule without treating the broker as a property inspector.
- Answer the practice questions without looking back, then explain why the other choices fail.
- Explain the worked example in your own words and identify the fact that decides the answer.
- Retest this topic on another day in a mixed question set.
Recommended next lesson
Continue with Duties of a Georgia Broker Engaged by a Buyer. The buyer's broker lesson mirrors this one from the other side, with the same rule on presenting offers during a pending contract and a duty to disclose known adverse facts about the buyer's ability to perform.
Return to the Real Estate Practice in Georgia hub for the complete official branch and the full lesson list for this Georgia group.