New Mexico Real Estate Broker Basics Practice Questions and Answers

New Mexico Real Estate Broker Basics Practice Questions and Answers Which of the following REQUIRES a real estate license? A. Sale of 20 lots in a subdivision by an employee B. Three-week rental of a condominium C. Sale of time-share units D. Sale of more than 20 personally owned properties - Correct Answer ️️ -C. Sale of time-share units The New Mexico Real Estate Commission may NOT impose A. licensing requirements B. penalties for Code of Ethics violations C. disciplinary penalties D. a recovery fund assessment - Correct Answer ️️ -B. penalties for Code of Ethics violations The responsibilities of the New Mexico Real Estate Commission do NOT include A. regulating brokerage fees B. enforcing license law C. enforcing rules and regulations D. refusing a license for cause - Correct Answer ️️ -A. regulating brokerage fees The governor of the State of New Mexico A. appoints members to the New Mexico Real Estate Commission with the advice and consent of the state legislature B. fills vacancies on the New Mexico Real Estate Commission for unexpired terms C. may remove any member without cause D. all of these - Correct Answer ️️ -B. fills vacancies on the New Mexico Real Estate Commission for unexpired terms Paying a referral fee to an unlicensed person for information leading to a listing A. is a violation of license law B. is permissible if the unlicensed person performs no further acts C. is permissible if paid only to the employing broker D. violates the statement of principles - Correct Answer ️️ -A. is a violation of license law A broker's license can be revoked if the broker A. fails to account for funds that belong to others B. is unwilling to act as a broker C. pays a commission to a broker of another state D. entrusts earnest money with another cooperating broker - Correct Answer ️️ -A. fails to account for funds that belong to others Which of the following are exempt from the provisions of the real estate license law? A. A trustee acting under a deed of trust B. A trustee acting under a trust agreement C. A person who deals exclusively in mineral leases D. All of these - Correct Answer ️️ -D. All of these Once a Notice of Contemplated Action (NCA) is issued by the Commission, the respondent has how many days to respond to the Commission to request a hearing? A. 7 days B. 10 days C. 20 days D. 30 days - Correct Answer ️️ -C. 20 days The MAXIMUM fine the commission may impose is A. $1,000 B. $1,000 per violation C. $1,500 D. $1,500 per violation - Correct Answer ️️ -B. $1,000 per violation Brokerage office signage MUST do all of the following EXCEPT A. be legible B. be near the office entrance C. contain the trade name of the brokerage D. list the license number - Correct Answer ️️ -D. list the license number An associate broker involved in a real estate transaction may accept compensation from A. the real estate firm's QB B. the seller C. the lending institution when creating a new loan D. the buyer - Correct Answer ️️ -A. the real estate firm's QB Records generated in connection with real estate matters pr