California Real Estate Practice Exam

Under what circumstances is a blind ad in a newspaper considered acceptable?

1. If it includes the broker's license number

2. If it is for a residential property only

3. If it includes the price of the property

4. Under no circumstances

The correct answer is: Under no circumstances

A blind ad is an advertisement that does not disclose the identity of the individual or company responsible for the ad, such as a broker or real estate agent. In California real estate practice, blind ads are generally not acceptable because they do not provide sufficient information to the consumer regarding who they are dealing with in a real estate transaction. This lack of transparency can lead to consumer confusion and is likely to violate the state's advertising regulations. In the context of the choices given, the correct understanding is that blind ads should not be used at all. Therefore, the assertion that under no circumstances is a blind ad acceptable holds true. Real estate advertising must adhere to specific guidelines that protect the interests of consumers by ensuring they can identify the parties involved in a transaction. The other options imply scenarios where a blind ad might be permissible, but each of these would still fail to meet the necessary standards for transparency in real estate advertising. For instance, including a broker's license number or pricing does not rectify the absence of the broker's identity, which remains a fundamental requirement in real estate advertisements.