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Free practice questions · CE Advertising

Social Media and Digital Advertising Practice Questions

Compliance on Instagram, TikTok, Facebook, and your own website. Where the rules trip up new agents. Below are 5 free sample questions from our 23-question Social Media and Digital Advertising bank. Each comes with the correct answer and a full explanation.

  1. Question 1 of 5

    A salesperson uses geofencing technology in their digital advertising to target users within a 1-kilometre radius of a listed property. The targeted ads promote the listing to people in the immediate area. What compliance and ethical considerations apply?

    • AGeofencing raises no compliance or ethical concerns, based on the advertising guidelines that specify content requirements, format standards, and disclosure obligations for registrant marketing materials across all platforms
    • BGeofencing is prohibited for real estate advertising, based on the advertising guidelines that specify content requirements, format standards, and disclosure obligations for registrant marketing materials across all platforms
    • CGeofencing ads must comply with TRESA advertising standards, and the registrant should consider whether the targeting methodology could inadvertently facilitate discriminatory advertising by including or excluding specific neighbourhoods based on demographic composition, which could violate the Ontario Human Rights Code
    • DGeofencing compliance is the responsibility of the advertising platform, not the registrant, under the advertising compliance framework established by TRESA and administered by RECO, which sets standards for property marketing, registrant identification, and truthful representation

    Why C is correct

    Advanced digital advertising techniques like geofencing bring new compliance considerations to real estate marketing. Geographic targeting is legitimate but must be evaluated for potential discriminatory effects. Registrants should ensure that their targeting decisions are based on legitimate marketing criteria — such as proximity to a listed property — rather than on the demographic composition of neighbourhoods.

  2. Question 2 of 5

    Salesperson Jun-ho creates a TikTok video walking through a new listing. The 60-second video shows the property's features with upbeat music and text overlays highlighting key selling points. The brokerage name flashes on screen for 1 second at the very end. Is this sufficient for TRESA compliance?

    • AYes, including the brokerage name at any point in the video satisfies the requirement
    • BTikTok videos under 90 seconds are exempt from advertising requirements
    • CNo, the brokerage name must be clearly identifiable and not obscured by brevity; a one-second flash in a 60-second video may be considered insufficient visibility
    • DThe brokerage name is only required if the video includes pricing information

    Why C is correct

    Short-form video platforms present unique compliance challenges. The brokerage name must be clearly identifiable to viewers, which may require persistent on-screen display rather than a brief flash. Best practices include using a watermark, a persistent lower-third graphic, or mentioning the brokerage name verbally during the video. Registrants should consider how the platform's typical viewing patterns affect compliance.

  3. Question 3 of 5

    A brokerage's compliance officer is developing a social media advertising policy for the brokerage's 45 salespersons. Which of the following policy elements is LEAST essential to TRESA advertising compliance?

    • ARequirement that all social media posts promoting services or listings include the brokerage name
    • BMandatory use of specific colour schemes and fonts that match the brokerage's brand guidelines
    • CPre-approval process for advertising claims that include statistics, rankings, or testimonials
    • DProhibition on making guarantees of results or outcomes in any advertising content

    Why B is correct

    Effective social media advertising policies must address TRESA compliance requirements: brokerage identification, truthfulness, prohibition of misleading claims, testimonial review, and proper representation of the registrant's status. While brand guidelines are valuable for marketing consistency, they are business decisions, not compliance obligations. A compliance-focused policy should prioritize regulatory requirements over aesthetic preferences.

  4. Question 4 of 5

    A salesperson receives a negative review on Google and wants to respond publicly. The reviewer was a client in a transaction. What compliance considerations apply to the response?

    • AThe salesperson should provide a detailed public rebuttal including transaction specifics to defend their reputation
    • BThe salesperson must protect client confidentiality when responding to reviews; the response should be professional and general, without disclosing transaction details, client information, or any facts that could identify the transaction or breach confidentiality obligations
    • CThe salesperson should have the review removed by contacting Google
    • DNegative reviews are defamation and the salesperson should threaten legal action in their response

    Why B is correct

    Responding to negative online reviews requires balancing reputation management with confidentiality obligations. Registrants should never disclose client information, transaction details, or confidential facts in a public forum. Professional, measured responses that demonstrate accountability without breaching confidentiality are the best approach.

  5. Question 5 of 5

    A brokerage's social media policy prohibits salespersons from making market predictions on social media. Salesperson Mei posts on Twitter/X: 'Toronto prices will drop 15% by year end — sell now!' Does this violate any rules?

    • AMarket predictions on social media are protected by free speech and cannot be regulated, given that the advertising content accurately represents the property or services being promoted and includes the registrant and brokerage identification required under TRESA
    • BOnly written publications can contain misleading claims, not social media posts, especially where the marketing materials comply with the brokerage's advertising policies and include all mandatory identification and disclosure elements required by RECO
    • CPredictions are only problematic if they turn out to be wrong — compliance issue is the misleading nature of the prediction when it was made, not whether it ultimately proves accurate
    • DThe post may violate TRESA's prohibition on misleading claims if the prediction is presented as fact rather than opinion, and could constitute providing professional advice that exceeds the registrant's competence; it also violates the brokerage's social media policy, which the registrant is obligated to follow

    Why D is correct

    Market commentary on social media requires careful framing. Registrants can share market observations and opinions, but should clearly label them as such, avoid presenting predictions as facts, and ensure their commentary does not mislead consumers into making harmful decisions. Brokerage social media policies provide additional boundaries that registrants must respect.

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