Georgia Real Estate License Laws and Rules Practice Exam 2025 – The Complete All-in-One Guide to Exam Success!

In the scenario where Baird and Carr decide to form a corporation to provide real estate brokerage services, the statement regarding the need for a qualifying broker to be hired if neither of them holds a broker's license is correct.

In Georgia, a corporation that engages in real estate brokerage activities must have a qualifying broker who holds an active broker's license. This requirement is designed to ensure that there is a licensed individual who is responsible for overseeing the brokerage's operations and ensuring compliance with Georgia real estate laws. If both Baird and Carr are not licensed brokers, they cannot operate the brokerage legally on their own; therefore, appointing a licensed qualifying broker is essential for the corporation to function within the law.

The other statements lack accuracy based on the legal requirements for brokerage operations. For example, while Baird and Carr can decide how to allocate interest in the corporation, they are not mandated to hold equal interests. Jointly naming them as qualifying brokers is not permissible unless both hold a broker's license, which may not be the case. Lastly, if one holds a real estate broker's license, it would be unnecessary to hire another broker, making the other options less aligned with the requirements of the situation.