In Massachusetts the amount a broker may charge for commission is:
Question & Answer
Review the question and all answer choices
6.00%
Option A is incorrect because Massachusetts law does not mandate a fixed 6% commission rate. This represents a common misconception that commission rates are standardized or set by law, rather than being negotiable terms of a contract.
Up to 6%
Option B is incorrect because Massachusetts does not impose a 6% maximum on commissions. While 6% has been a traditional benchmark in some markets, it's not a legal limitation, and brokers may charge more or less based on their agreement with the client.
Up to 7%
Option C is incorrect because Massachusetts does not establish a 7% maximum commission rate. There is no statutory cap on commission percentages in the state, making this option factually inaccurate.
Negotiable in the listing contract
Why is this correct?
In Massachusetts, commission rates are negotiable between the broker and client and must be specified in the written listing contract. There is no statutory maximum or minimum commission rate set by state law, making the listing contract the definitive document governing commission arrangements.
Continue Learning
Explore this topic in different formats
More Practice of Real Estate Videos
Continue learning with related video lessons
What is the max civil penalty per violation in Minnesota?
2:52 • 0 views
If an auditor visits a broker's office in Ohio, how many years of records are required?
2:47 • 0 views
Is commingling legal in Mississippi?
2:50 • 0 views
Utah license law has three levels of licensure. What are they?
2:03 • 0 views
Georgia has real estate license reciprocity agreements with which states?
2:44 • 0 views
Ready to Ace Your Real Estate Exam?
Access 2,000+ free video lessons covering all 11 exam topics.