©THEBRIGHTSTARS 2024/2025
Kentucky Portion — Real Estate Exam
Questions With Correct Answers
How often is continuing education required for Kentucky real estate salespersons? -
answer✔Every year.
An individual obtaining their first, original Kentucky license is exempt for the first two calendar
years.
When a licensee pays back the Recovery Fund: - answer✔He/she must pay back all the
reimbursed funds plus 10% interest on the amount.
Who appoints the members of the Kentucky real estate commission (KREC)? - answer✔The
Governor
Which of the following is a violation of Kentucky license law?
A) a net listing
B) a general warranty deed
C) an open listing agreement
D) selling over the sales threshold for your brokerage - answer✔A) net listing.
In Kentucky, all of the following are legal except for Net listings. A net listing is where the seller
specifies a minimum acceptable sales price, and the listing agent receives as commission any
completed offer over that price.
How long are the terms for members of the KREC? - answer✔Three years
When is KREC annual E&O coverage paid? - answer✔Coverage is paid with license renewal
and has its cost published to the licensee 30 days before license renewal.
How many members are there in the KREC? - answer✔Seven
Seven total, at least six of whom, immediately prior to the date of their appointment have been
residents of the state for ten years and whose vocation for a period of at least ten years shall have
been that of an active real estate licensee.
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An agent changed her surname. The agent - answer✔Must give written notification to the KREC
of the change.
Kentucky have a real estate license reciprocity agreement with: - answer✔All States.
Per Kentucky Law, the specific consensual relationship between the principal broker and the
client for a contemplated transaction, by oral or written agreement: - answer✔Agency.
Per 201 KAR 11:011 (5), the specific consensual relationship between the principal broker and
the client for a contemplated transaction, by oral or written agreement is an Agency.
What is one of the main purposes of the Real Estate Education, Research and Recovery Fund? -
answer✔For people to get recourse of uncollected judgement against licensees.
The Real Estate Education, Research and Recovery Fund is a special fund established by
Kentucky Real Estate Code to provide reimbursement to persons who are victims of fraud,
misrepresentation or deceit committed by real estate licensees during the course of any
transaction for which a license is required. It also funds additional things like education for
licensees as well as research; its primary focus is to protect consumers though.
Currently, the Real Estate Education, Research and Recovery Fund aggregate amount may not
exceed: - answer✔$20,000
Under Kentucky law, a broker is required to keep copies of records for - answer✔5 years.
Catherines license has been revoked by the Kentucky Real Estate Commission. When can she
apply to get her license reissued? - answer✔At the end of five years since her license was
revoked.
Broker Misty moved into her new home on April 5th. The KREC should receive notice of her
move: - answer✔By April 15th
The commission shall be notified in writing of a change of residence address within ten (10)
days.
Kentucky Real Estate Law mandates agents have errors and omissions insurance. What is the
purpose of the insurance? - answer✔The purpose is to protect agents against claims of
inadequate work or negligent actions.
Errors and omissions insurance is a type of professional liability insurance that protects agents
against claims of inadequate work or negligent actions.
How many hours of continuing education are required for Kentucky real estate salesperson's? -
answer✔All individuals who hold an active Kentucky salespersons license are required to
complete 6 hours of Commission approved continuing education during each renewal period.
Kentucky Portion — Real Estate Exam
Questions With Correct Answers
How often is continuing education required for Kentucky real estate salespersons? -
answer✔Every year.
An individual obtaining their first, original Kentucky license is exempt for the first two calendar
years.
When a licensee pays back the Recovery Fund: - answer✔He/she must pay back all the
reimbursed funds plus 10% interest on the amount.
Who appoints the members of the Kentucky real estate commission (KREC)? - answer✔The
Governor
Which of the following is a violation of Kentucky license law?
A) a net listing
B) a general warranty deed
C) an open listing agreement
D) selling over the sales threshold for your brokerage - answer✔A) net listing.
In Kentucky, all of the following are legal except for Net listings. A net listing is where the seller
specifies a minimum acceptable sales price, and the listing agent receives as commission any
completed offer over that price.
How long are the terms for members of the KREC? - answer✔Three years
When is KREC annual E&O coverage paid? - answer✔Coverage is paid with license renewal
and has its cost published to the licensee 30 days before license renewal.
How many members are there in the KREC? - answer✔Seven
Seven total, at least six of whom, immediately prior to the date of their appointment have been
residents of the state for ten years and whose vocation for a period of at least ten years shall have
been that of an active real estate licensee.
, ©THEBRIGHTSTARS 2024/2025
An agent changed her surname. The agent - answer✔Must give written notification to the KREC
of the change.
Kentucky have a real estate license reciprocity agreement with: - answer✔All States.
Per Kentucky Law, the specific consensual relationship between the principal broker and the
client for a contemplated transaction, by oral or written agreement: - answer✔Agency.
Per 201 KAR 11:011 (5), the specific consensual relationship between the principal broker and
the client for a contemplated transaction, by oral or written agreement is an Agency.
What is one of the main purposes of the Real Estate Education, Research and Recovery Fund? -
answer✔For people to get recourse of uncollected judgement against licensees.
The Real Estate Education, Research and Recovery Fund is a special fund established by
Kentucky Real Estate Code to provide reimbursement to persons who are victims of fraud,
misrepresentation or deceit committed by real estate licensees during the course of any
transaction for which a license is required. It also funds additional things like education for
licensees as well as research; its primary focus is to protect consumers though.
Currently, the Real Estate Education, Research and Recovery Fund aggregate amount may not
exceed: - answer✔$20,000
Under Kentucky law, a broker is required to keep copies of records for - answer✔5 years.
Catherines license has been revoked by the Kentucky Real Estate Commission. When can she
apply to get her license reissued? - answer✔At the end of five years since her license was
revoked.
Broker Misty moved into her new home on April 5th. The KREC should receive notice of her
move: - answer✔By April 15th
The commission shall be notified in writing of a change of residence address within ten (10)
days.
Kentucky Real Estate Law mandates agents have errors and omissions insurance. What is the
purpose of the insurance? - answer✔The purpose is to protect agents against claims of
inadequate work or negligent actions.
Errors and omissions insurance is a type of professional liability insurance that protects agents
against claims of inadequate work or negligent actions.
How many hours of continuing education are required for Kentucky real estate salesperson's? -
answer✔All individuals who hold an active Kentucky salespersons license are required to
complete 6 hours of Commission approved continuing education during each renewal period.
