PSI Oklahoma Real Estate Practice Test

What is the status of A, a resident manager negotiating leases for an apartment complex?

1. Violating the law due to lack of license

2. In compliance with the law as they are exempt

3. Working illegally without authorization

4. Committing fraud as no written authority exists

The correct answer is: In compliance with the law as they are exempt

The correct response indicates that the resident manager, A, is in compliance with the law because they are exempt from the licensing requirement. In many jurisdictions, resident managers or on-site property managers who negotiate leases and handle day-to-day management of the property often fall under specific exemptions in real estate laws. Typically, these exemptions apply because such individuals are acting on behalf of the owner of the property and are not engaging in real estate transactions as a separate business. Their primary responsibility is to manage the property, which can include negotiating leases directly with tenants, maintaining the facilities, and addressing tenant concerns. This role does not constitute a breach of licensing laws, provided that they are operating within the scope of their position and under the authority granted by the property owner. Thus, as long as A is following the established regulations for resident managers in their jurisdiction, they are acting legally and with compliance.