NEW MEXICO REAL ESTATE TEST PAPER 2026/2027
QUESTIONS AND SOLUTIONS RATED A+
✔✔Broker changing address must notify commission of new address within _____ -
✔✔Within 10 days of address change
✔✔When Associate brokers request that their license is transferred, the QB shall
within________
hours return the license to the commission - ✔✔within 48 hours
✔✔When can a licensee tranferring office start working for the new QB? - ✔✔A licensee
transferring offices may start working for the new QB when the
transfer application, the license, proof of E&O insurance, and the $20 transfer
fee are stamped and received by the commission
✔✔What are the transferring fees? - ✔✔For each license transferred, a fee no to
exceed $20. If there are 11 or more affected
licenses, the total transfer fee paid shall not exceed $200.
✔✔If a license applicant or license broker is not in compliance with HSD (New Mexico
Human Services Department) child support enforcement, who will investigate? - ✔✔the
commission will
investigate.
✔✔How long does a licensee have to submit a Statement of complaince for HSD after
notification of delinquent child support. - ✔✔A licensee has 30 days
✔✔What is the E&O insurance? - ✔✔Errors and Omissions insurance is professional
liability insurance.
✔✔What does E&O insurance cover? - ✔✔Policy insures licensee against liability for
innocent or negligent mistakes, does not cover fraud or
misrepresentation.
✔✔E&O insurance additional information - ✔✔-E&O is not required for inactive
licensees
-Premiums shall not exceed $500 per year for licensee
-Minimum coverage requirements are $100,000 per individual claim, $500,000
aggregate limit per policy, and deductible is mandated by the real estate
commission - not greater than $1,000.
✔✔What course is required within the first year of licensure of broker's first licensed in
New Mexico as associate brokers on or after January 1, 2009? - ✔✔New Broker
Business Practices Course
, ✔✔What can an unlicensed assistant do? - ✔✔An unlicensed assistant can host an
open house with their responsible person present
✔✔How does real estate conduct business? - ✔✔Conduct real estate brokerage
business under the trade name and from the brokerage
address registered with the commission.
✔✔Who can a QB appoint when they cannot supervise? - ✔✔A qualifying broker may
appoint a broker-in-charge in writing to the commission when
actual supervision is not possible
✔✔Does a QB have to maintain an office in NM? - ✔✔The qualifying broker Does Not
have to maintain an office in the state of New Mexico.
✔✔Where should a broker running a virtual office place licenses? - ✔✔When a broker is
running a virtual office, photos of licenses can be on the website under
a link titled "real estate licenses"
✔✔What must be included on a sign advertising a property? - ✔✔The only Must on a
sign advertising a property is the office number and the name of
the brokerage.
✔✔Where should a QB place sign in brokerage? - ✔✔Each QB shall place and
maintain a legible sign in a conspicuous place near the entrance
to the office.
✔✔If there are 2 QB, where do they place sign in brokerage? - ✔✔Each QB shall place
and maintain a legible sign in a conspicuous place near the entrance
to the office.
✔✔Where does all monies belonging to others be placed? - ✔✔QB's are required to
place ALL monies belonging to others into a properly established
trust account in a bank, savings and loan institutions, title company or other New
Mexico QB's
✔✔Can brokers deposit commission checks into trust account? - ✔✔Brokers May Not
deposit commission checks into trust account
✔✔Are receipts tax allows into trust account? - ✔✔Gross receipts tax is not permitted to
be held in a trust account
✔✔Upon expiration of the management agreement, property manager has________
days to send
QUESTIONS AND SOLUTIONS RATED A+
✔✔Broker changing address must notify commission of new address within _____ -
✔✔Within 10 days of address change
✔✔When Associate brokers request that their license is transferred, the QB shall
within________
hours return the license to the commission - ✔✔within 48 hours
✔✔When can a licensee tranferring office start working for the new QB? - ✔✔A licensee
transferring offices may start working for the new QB when the
transfer application, the license, proof of E&O insurance, and the $20 transfer
fee are stamped and received by the commission
✔✔What are the transferring fees? - ✔✔For each license transferred, a fee no to
exceed $20. If there are 11 or more affected
licenses, the total transfer fee paid shall not exceed $200.
✔✔If a license applicant or license broker is not in compliance with HSD (New Mexico
Human Services Department) child support enforcement, who will investigate? - ✔✔the
commission will
investigate.
✔✔How long does a licensee have to submit a Statement of complaince for HSD after
notification of delinquent child support. - ✔✔A licensee has 30 days
✔✔What is the E&O insurance? - ✔✔Errors and Omissions insurance is professional
liability insurance.
✔✔What does E&O insurance cover? - ✔✔Policy insures licensee against liability for
innocent or negligent mistakes, does not cover fraud or
misrepresentation.
✔✔E&O insurance additional information - ✔✔-E&O is not required for inactive
licensees
-Premiums shall not exceed $500 per year for licensee
-Minimum coverage requirements are $100,000 per individual claim, $500,000
aggregate limit per policy, and deductible is mandated by the real estate
commission - not greater than $1,000.
✔✔What course is required within the first year of licensure of broker's first licensed in
New Mexico as associate brokers on or after January 1, 2009? - ✔✔New Broker
Business Practices Course
, ✔✔What can an unlicensed assistant do? - ✔✔An unlicensed assistant can host an
open house with their responsible person present
✔✔How does real estate conduct business? - ✔✔Conduct real estate brokerage
business under the trade name and from the brokerage
address registered with the commission.
✔✔Who can a QB appoint when they cannot supervise? - ✔✔A qualifying broker may
appoint a broker-in-charge in writing to the commission when
actual supervision is not possible
✔✔Does a QB have to maintain an office in NM? - ✔✔The qualifying broker Does Not
have to maintain an office in the state of New Mexico.
✔✔Where should a broker running a virtual office place licenses? - ✔✔When a broker is
running a virtual office, photos of licenses can be on the website under
a link titled "real estate licenses"
✔✔What must be included on a sign advertising a property? - ✔✔The only Must on a
sign advertising a property is the office number and the name of
the brokerage.
✔✔Where should a QB place sign in brokerage? - ✔✔Each QB shall place and
maintain a legible sign in a conspicuous place near the entrance
to the office.
✔✔If there are 2 QB, where do they place sign in brokerage? - ✔✔Each QB shall place
and maintain a legible sign in a conspicuous place near the entrance
to the office.
✔✔Where does all monies belonging to others be placed? - ✔✔QB's are required to
place ALL monies belonging to others into a properly established
trust account in a bank, savings and loan institutions, title company or other New
Mexico QB's
✔✔Can brokers deposit commission checks into trust account? - ✔✔Brokers May Not
deposit commission checks into trust account
✔✔Are receipts tax allows into trust account? - ✔✔Gross receipts tax is not permitted to
be held in a trust account
✔✔Upon expiration of the management agreement, property manager has________
days to send
