Kovats Real Estate School Practice Test 2025 – 400 Free Practice Questions to Pass the Exam

The principal broker for a corporation is required to be responsible for every licensee and must be clothed with full authority. This role typically involves overseeing all activities of the real estate agents within the corporation, ensuring that they are compliant with relevant laws and regulations. The principal broker is the person legally accountable for the actions of the licensed agents and is expected to have the necessary authority to make decisions affecting the company’s operations and comply with state licensing laws.

This authority is essential not only for the oversight of agents but also for the integrity and ethical standing of the corporation in the real estate market. Such a responsibility includes training agents, implementing company policies, and taking responsibility for the actions of the licensees. Being fully responsible and having the appropriate authority ensures that the principal broker can effectively manage the team, uphold the company’s reputation, and navigate any legal or compliance issues that may arise.