Tennessee Realtor State Practice Exam

In Tennessee, which of the following actions could be seen as a real estate violation?

1. Using a licensed contractor for repairs

2. Drafting an agreement on a blank sheet of paper

3. Providing comparative market analysis

4. Attending a real estate open house

The correct answer is: Drafting an agreement on a blank sheet of paper

Drafting an agreement on a blank sheet of paper can be seen as a real estate violation in Tennessee because it raises concerns about the legality and enforceability of the agreement. Real estate transactions require specific formatting and language to ensure compliance with state laws and to protect the rights of all parties involved. Using a blank sheet of paper might lead to the omission of critical elements that must be clearly articulated in a contract, such as terms and conditions, disclosures, and appropriate signatures. This inadequacy could result in misunderstandings or disputes later on, and may even render the agreement unenforceable in a legal context. In contrast, utilizing a licensed contractor for repairs is a standard practice that complies with both local and state regulations. Providing a comparative market analysis is a common and acceptable activity for real estate professionals to assist clients in understanding property values. Attending a real estate open house is simply a part of the buying process and does not violate any laws or regulations. Therefore, drafting an agreement improperly stands out as the actionable violation among the choices presented.