ARIZONA REAL ESTATE STANDARD EXAM SHEET
2025/2026 QUESTIONS AND ANSWERS GUARANTEE A+
✔✔Temporary Broker's License - ✔✔A temporary broker's license may be issued for a
period not to exceed 90 days to the surviving spouse, next of kin, or personal
representative of the deceased broker or a broker who is disabled or incompetent.
✔✔Disposition of Funds - ✔✔Unless otherwise provided in writing by all parties to a
transaction, a broker must immediately place all monies entrusted to the broker in either
a neutral escrow depository in Arizona or in a trust fund account with a federally insured
depository located in Arizona.
✔✔Brokers in Arizona are not required to maintain a trust account - ✔✔unless they are
engaged in property management.
✔✔Trust Account Requirements - ✔✔A. Deposits must be made by deposit slips.
B. Receipts or other documents shall:
1. Identify each transaction
2. Contain the date and amount of deposit
3. State the names of the parties to the transaction.
Note: The broker's name need not appear on the receipt.
✔✔Brokers to keep records - ✔✔Earnest money type stated in contracts.
* A broker must keep records of all transactions handled for a period of at least 5 years
from the termination of the transaction.
* The records must be open at all reasonable times for inspection by the Commissioner
or their representative.
✔✔Real Estate Employment Agreements - ✔✔Listing & Buyer Broker Agreements
* An employment agreement is a contract hiring a broker to buy or sell real property for
compensation or commission.
✔✔Actions by licensees to collect compensation - ✔✔* An action for collection of
compensation earned may be taken in the courts of Arizona. Civil court.
* To begin the action, the licensee must prove that they were licensed at the time the
claim arose.
*The commissioner shall not entertain complaints regarding purely civil disputes
between licensees concerning the earning, splitting or nonpayment of compensation.
✔✔Grounds for Denial, Suspension, or Revocation of Licenses - ✔✔* The statue lists
over 30 reasons (some very specific, others very general) why a license could be
denied, suspended or revoked, including any violation of the Commissioner's Rules.
*In a disciplinary action hearing the licensee may be represented by an attorney.
* The Commissioner may issue a Cease and Desist Order to someone found violating
any "act, practice or transaction" required by statue of Commissioner's Rules.
, ✔✔Restrictions on Compensation - ✔✔* Real estate brokers may receive compensation
from anyone and may pay:
1. Their own licensed salespeople and associate brokers.
2. Other licensed designated brokers.
✔✔Personal Assistants - ✔✔* Assistants may be licensed or unlicensed.
* Unlicensed Assistants:
1. May not be compensated on any basis that relies on the ultimate sale of a property.
2. Activities are limited to:
- limited telephone duties.
- assisting a licensee at an open house.
- unlocking a property for a licensee.
- delivering documents.
✔✔Real Estate Recovery Fund - ✔✔Established to protect parties harmed due to
reliance on a licensee where the licensee either:
* Performed acts that required a license.
*Committed fraud or misrepresentation while acting as a principal in the purchase or
sale of real property.
✔✔Recovery Fund Fees - ✔✔When originating a license:
1. Broker pays $20
2. Salesperson pays $10
When renewing a license, if the fund has dipped below $600,000 on June 30th:
1. Broker pays $20
2. Sales person pays $10
✔✔Subdivision - ✔✔Is land which is divided into 6 or more lots, parcels or fractional
interests created for sale or lease.
✔✔Public Report (Subdivision Disclosure Report) - ✔✔A statement of important facts
relating to a subdivision which allows the purchaser to make an informed decision
regarding the property.
✔✔Lot Reservations - ✔✔Means an expression of interest by a prospective purchaser
in buying at some time in the future a subdivided or unsubdivided lot, unit or parcel in
this state.
✔✔Right to Rescind - ✔✔Consumers can cancel the following sales or services after
the transaction is completed: Telephone Solicitation: You can cancel the order within
three (3) business days from the delivery of the merchandise or premium (gift, bonus,
prize or award) whichever is later.
2025/2026 QUESTIONS AND ANSWERS GUARANTEE A+
✔✔Temporary Broker's License - ✔✔A temporary broker's license may be issued for a
period not to exceed 90 days to the surviving spouse, next of kin, or personal
representative of the deceased broker or a broker who is disabled or incompetent.
✔✔Disposition of Funds - ✔✔Unless otherwise provided in writing by all parties to a
transaction, a broker must immediately place all monies entrusted to the broker in either
a neutral escrow depository in Arizona or in a trust fund account with a federally insured
depository located in Arizona.
✔✔Brokers in Arizona are not required to maintain a trust account - ✔✔unless they are
engaged in property management.
✔✔Trust Account Requirements - ✔✔A. Deposits must be made by deposit slips.
B. Receipts or other documents shall:
1. Identify each transaction
2. Contain the date and amount of deposit
3. State the names of the parties to the transaction.
Note: The broker's name need not appear on the receipt.
✔✔Brokers to keep records - ✔✔Earnest money type stated in contracts.
* A broker must keep records of all transactions handled for a period of at least 5 years
from the termination of the transaction.
* The records must be open at all reasonable times for inspection by the Commissioner
or their representative.
✔✔Real Estate Employment Agreements - ✔✔Listing & Buyer Broker Agreements
* An employment agreement is a contract hiring a broker to buy or sell real property for
compensation or commission.
✔✔Actions by licensees to collect compensation - ✔✔* An action for collection of
compensation earned may be taken in the courts of Arizona. Civil court.
* To begin the action, the licensee must prove that they were licensed at the time the
claim arose.
*The commissioner shall not entertain complaints regarding purely civil disputes
between licensees concerning the earning, splitting or nonpayment of compensation.
✔✔Grounds for Denial, Suspension, or Revocation of Licenses - ✔✔* The statue lists
over 30 reasons (some very specific, others very general) why a license could be
denied, suspended or revoked, including any violation of the Commissioner's Rules.
*In a disciplinary action hearing the licensee may be represented by an attorney.
* The Commissioner may issue a Cease and Desist Order to someone found violating
any "act, practice or transaction" required by statue of Commissioner's Rules.
, ✔✔Restrictions on Compensation - ✔✔* Real estate brokers may receive compensation
from anyone and may pay:
1. Their own licensed salespeople and associate brokers.
2. Other licensed designated brokers.
✔✔Personal Assistants - ✔✔* Assistants may be licensed or unlicensed.
* Unlicensed Assistants:
1. May not be compensated on any basis that relies on the ultimate sale of a property.
2. Activities are limited to:
- limited telephone duties.
- assisting a licensee at an open house.
- unlocking a property for a licensee.
- delivering documents.
✔✔Real Estate Recovery Fund - ✔✔Established to protect parties harmed due to
reliance on a licensee where the licensee either:
* Performed acts that required a license.
*Committed fraud or misrepresentation while acting as a principal in the purchase or
sale of real property.
✔✔Recovery Fund Fees - ✔✔When originating a license:
1. Broker pays $20
2. Salesperson pays $10
When renewing a license, if the fund has dipped below $600,000 on June 30th:
1. Broker pays $20
2. Sales person pays $10
✔✔Subdivision - ✔✔Is land which is divided into 6 or more lots, parcels or fractional
interests created for sale or lease.
✔✔Public Report (Subdivision Disclosure Report) - ✔✔A statement of important facts
relating to a subdivision which allows the purchaser to make an informed decision
regarding the property.
✔✔Lot Reservations - ✔✔Means an expression of interest by a prospective purchaser
in buying at some time in the future a subdivided or unsubdivided lot, unit or parcel in
this state.
✔✔Right to Rescind - ✔✔Consumers can cancel the following sales or services after
the transaction is completed: Telephone Solicitation: You can cancel the order within
three (3) business days from the delivery of the merchandise or premium (gift, bonus,
prize or award) whichever is later.
