KY real estate final exam practice questions
and answers
what happens with a Judicial foreclosure? - Correct Answer - the mortgaged property is sold under the
supervision of a court
broker Dean realizes he has relocation buyers. What is something he should focus on with these buyers?
- Correct Answer - finding a property with good resale value
real estate licensees should know enough about building ordinances to be able to... - Correct Answer -
alert clients of potential problems in a home
if an industrial property is described as "special-purpose" it is... - Correct Answer - unsuitable for many
uses and processes.
during the final walk-through a buyer sees that the seller did not remove a downed tree. What is the
best way of handling this? - Correct Answer - at the closing the buyer could ask for a credit from the
seller to remove the downed tree.
what is the main purpose of the Kentucky Real Estate Commission? - Correct Answer - to put into effect
and make known the administrative regulations to effectively carry out and enforce the provisions of the
Kentucky statutes governing real estate.
who must a principal broker supervise in a real estate office? - Correct Answer - all licensees Affiliated
to the principal broker and all other unlicensed employees at that office.
broker Hannah just received a $5,000 escrow money deposit how long does she have to deposit it under
Kentucky law? - Correct Answer - without unreasonable delay
what type of insurance is mandatory for all active licensees? - Correct Answer - errors and omissions
insurance
sales associate Nika is showing a property with an electronic lockbox how should she access the
property? - Correct Answer - by using the eKEY smartphone application
, what penalties May a circuit court impose on a person found violating any provision of Kentucky License
Law? - Correct Answer - a fine of between $100 and $1,000 and a jail sentence of up to six months.
why is designated agency a good alternative to traditional dual agency? - Correct Answer - even though
the same broker represent each party, both the buyer and the seller have a licensee who exclusively acts
as their agent in the transaction.
which of the following actions is illegal in Kentucky? - Correct Answer - acting for more than one party in
a transaction with the knowledge of all parties for him a licensee acts
why should broker Taylor create a website for her brokerage? - Correct Answer - to brand her firm with
a visual mission statement.
legislation became effective in July of 1999 that requires a lender to drop the PMI requirement when the
loan-to-value ratio reaches... - Correct Answer - 78% of the original value of the property.
before ordering disciplinary action against a licensee, the commission must... - Correct Answer - order a
hearing.
broker Pearl represents buyer Emma. Pearl heard that the seller Misty will accept $20,000 less than the
listed price. Under which duty is Pearl obligated to share this information with Emma? - Correct Answer
- loyalty
what type of agency cannot be revoked by the principal nor is terminated if the principal dies? - Correct
Answer - agency coupled with an interest
licensee Chad works for broker Michael. License each ad has a listing agreement was Stellar Ray.
Licensee Chad decided to transfer Brokers. What will most likely happen with Chad's listing? - Correct
Answer - it will stay with Michael's brokerage.
buyer and manuals broker find out information about the seller which will help if manual in the
transaction. Loyalty is one of the duties of... - Correct Answer - protection.
escrow monies should be held in the broker's... - Correct Answer - escrow account.
what's one thing that would be included in a property management report? - Correct Answer -
delinquent accounts
if a cooperating broker accepts the offer of sub-agency from a listing broker, to whom does the
cooperating broker owe fiduciary duties? - Correct Answer - the seller
what will happen if a payment is made to satisfy claim from The Recovery Fund against a licensee? -
Correct Answer - the licensees license will be immediately suspended or permanently revoked.
a property is sold for $185,000. The listing agreement calls for a commission of 6.5%. The listing broker
and selling broker agree to share the commission equally. All the listing agent receive if the agent is
scheduled to get 65% share from his broker? - Correct Answer - $3,908
and answers
what happens with a Judicial foreclosure? - Correct Answer - the mortgaged property is sold under the
supervision of a court
broker Dean realizes he has relocation buyers. What is something he should focus on with these buyers?
- Correct Answer - finding a property with good resale value
real estate licensees should know enough about building ordinances to be able to... - Correct Answer -
alert clients of potential problems in a home
if an industrial property is described as "special-purpose" it is... - Correct Answer - unsuitable for many
uses and processes.
during the final walk-through a buyer sees that the seller did not remove a downed tree. What is the
best way of handling this? - Correct Answer - at the closing the buyer could ask for a credit from the
seller to remove the downed tree.
what is the main purpose of the Kentucky Real Estate Commission? - Correct Answer - to put into effect
and make known the administrative regulations to effectively carry out and enforce the provisions of the
Kentucky statutes governing real estate.
who must a principal broker supervise in a real estate office? - Correct Answer - all licensees Affiliated
to the principal broker and all other unlicensed employees at that office.
broker Hannah just received a $5,000 escrow money deposit how long does she have to deposit it under
Kentucky law? - Correct Answer - without unreasonable delay
what type of insurance is mandatory for all active licensees? - Correct Answer - errors and omissions
insurance
sales associate Nika is showing a property with an electronic lockbox how should she access the
property? - Correct Answer - by using the eKEY smartphone application
, what penalties May a circuit court impose on a person found violating any provision of Kentucky License
Law? - Correct Answer - a fine of between $100 and $1,000 and a jail sentence of up to six months.
why is designated agency a good alternative to traditional dual agency? - Correct Answer - even though
the same broker represent each party, both the buyer and the seller have a licensee who exclusively acts
as their agent in the transaction.
which of the following actions is illegal in Kentucky? - Correct Answer - acting for more than one party in
a transaction with the knowledge of all parties for him a licensee acts
why should broker Taylor create a website for her brokerage? - Correct Answer - to brand her firm with
a visual mission statement.
legislation became effective in July of 1999 that requires a lender to drop the PMI requirement when the
loan-to-value ratio reaches... - Correct Answer - 78% of the original value of the property.
before ordering disciplinary action against a licensee, the commission must... - Correct Answer - order a
hearing.
broker Pearl represents buyer Emma. Pearl heard that the seller Misty will accept $20,000 less than the
listed price. Under which duty is Pearl obligated to share this information with Emma? - Correct Answer
- loyalty
what type of agency cannot be revoked by the principal nor is terminated if the principal dies? - Correct
Answer - agency coupled with an interest
licensee Chad works for broker Michael. License each ad has a listing agreement was Stellar Ray.
Licensee Chad decided to transfer Brokers. What will most likely happen with Chad's listing? - Correct
Answer - it will stay with Michael's brokerage.
buyer and manuals broker find out information about the seller which will help if manual in the
transaction. Loyalty is one of the duties of... - Correct Answer - protection.
escrow monies should be held in the broker's... - Correct Answer - escrow account.
what's one thing that would be included in a property management report? - Correct Answer -
delinquent accounts
if a cooperating broker accepts the offer of sub-agency from a listing broker, to whom does the
cooperating broker owe fiduciary duties? - Correct Answer - the seller
what will happen if a payment is made to satisfy claim from The Recovery Fund against a licensee? -
Correct Answer - the licensees license will be immediately suspended or permanently revoked.
a property is sold for $185,000. The listing agreement calls for a commission of 6.5%. The listing broker
and selling broker agree to share the commission equally. All the listing agent receive if the agent is
scheduled to get 65% share from his broker? - Correct Answer - $3,908
