MN Real Estate Exam Questions And Correct Verified Answers Guaranteed Success.

The Minnesota statute on contracts mentions protective lists and who may be included on them. Which of the following individuals would be an inappropriate inclusion? A. A consumer who received an advertisement about the property and contacted the broker with questions B. A consumer who scheduled a showing to see the property C. A consumer who received an advertisement related to the property D. A consumer who attended an open house for the property. - correct answer C As a Minnesota real estate licensee, in which of these situations would you need to provide a consumer with the Agency Relationships in Real Estate Transactions form? A. To a prospective buyer to whom you're showing commercial properties B. To a prospective tenant looking to lease an apartment for six months C. To a couple considering listing their home for sale D. To an open house attendee who asks about the home's square footage - correct answer C Pria is a Minnesota real estate salesperson. She provided services to both a buyer and seller in the same transaction, but didn't represent either party. Which term best defines her role? A. Dual-agency broker B. Limited agent C. General agent D. Facilitator - correct answer D Minnesota law requires sellers to provide prospective buyers with a written disclosure of material facts related to the property's condition. Which of the following requires disclosure? A. The property is in a neighborhood containing a community-based residential facility. B. A homicide occurred on the property. C. An occupant of the home is infected with HIV. D. An accidental death occurred on the property. - correct answer B Serena, a Minnesota broker, represents a seller client. A buyer made an offer on the seller's property, which was accepted contingent upon a home inspection. After the inspection is performed, the buyer's agent provides a copy of the report, which doesn't include any mention of the roof leak Serena's client told her about. What obligation does Serena have? A. Serena must receive written permission to disclose this fact to the buyer. B. Serena doesn't need to disclose this fact because the buyer had an independent inspection performed. C. Serena owes her seller client the duty of confidentiality and shouldn't disclose this fact to the other buyer. D. Serena has a duty to disclose material facts she's aware of, including facts that contradict the inspection report. - correct answer D Inigo is selling his house, which has a septic system. He's not sure it's compliant with regulations, so he's asked his plumber friend, Westley, to take a look and prepare an inspection report. He thinks this will be fine. Is he right? A. No. A certified local government inspector or licensed inspection company should prepare an inspection report. B. Yes. Westley is a plumber, so his opinion is sufficient. C. No. It's not an issue as long as the system appears to be in working order. D. No. The buyers are responsible for any septic system information. - correct answer A Five years ago, Steven purchased a home in Minnesota from Janine. To his surprise, he recently discovered that there's a well on the property. The well needs to be sealed, which will cost $1,000. Who's liable for the cost to seal the well? A. Janine is liable because she failed to disclose the well, and Steven is still within the timeframe to bring action against her. B. Janine is liable because she had the well installed on the property. C. Steven is liable because he's the current homeowner. D. Steven is liable because he failed to bring action against Janine within the appropriate timeframe. - correct answer A Which of the following tanks must be registered with the Minnesota Pollution Control Agency? A. A septic tank on a residential property B. A 1,000-gallon tank used for non-commercial purposes to store heating oil that will be used on-site C. A 275-gallon tank in a homeowner's basement that's used to store heating oil D. An above-ground, 1,000-gallon tank that's used to store commercially used petroleum - correct answer D Redmond owns a property in Minnesota that is the site of a petroleum release. The release took place before Redmond owned the property, but Redmond paid for the $200,000 cleanup, which took place last year. Can Redmond seek reimbursement for his costs? A. Yes, as the current owner who took and paid for corrective action, Redmond can seek reimbursement. B. Yes, as the responsible person, Redmond can seek reimbursement. C. No, only the responsible person can seek reimbursement for corrective action. D. No, reimbursement must be sought within 60 days of the corrective action. - correct answer A Which of the following scenarios constitutes illegal licensee compensation? A. Carrie's broker made her commission check out to "Shoe Gal, LLC," her sole-proprietor company. B. Miranda's seller client reimbursed Miranda for the special signage she paid for when marketing his property. C. Per the listing agreement, Charlotte's broker shared her listing commission with the buyer agent's broker. D. Samantha's broker paid an out-of-state broker a referral fee after he sent a local client Samantha's way. - correct answer B A Minnesota licensee who's representing a seller splits the commission earned on a transaction with the broker representing the buyer. Is this compensation permitted? A. No, a real estate broker or real estate salesperson shall not offer, pay, or give, and a person shall not accept, any compensation or other thing of value from a real estate broker or real estate salesperson. B. No, a licensee shall not pay a commission, compensation, referral fee, BPO fee, or other valuable consideration for the performance of any acts requiring a real estate license. C. Yes, commission-splitting among persons licensed to perform real estate activities is permitted with seller authorization D. Yes, commission-splitting is permitted if authorized in writing by the real estate broker representing the seller. - correct answer C In Minnesota, an area where a petroleum leak has occurred is known as what? a) A brownfield b) A petroleum tank release site c) A special use landfill d) A wetland - correct answer b A Minnesota listing agreement includes an override clause. To be effective, how soon after the agreement's expiration must the licensee provide the seller with a protective list? a) Within 24 hours b) Within 48 hours c) Within 72 hours d) Within 96 hours - correct answer c Which of the following would be considered an underground storage tank, according to Minnesota law? a) A 200-gallon tank that holds 190 gallons above the surface of the ground b) A 200-gallon tank that holds 20 gallons below the surface of the ground c) A 200-gallon tank that holds two gallons below the surface of the ground d) A 200-gallon tank that's buried at least 5% underground - correct answer b When must a Minnesota licensee disclose to the owner of real property that the licensee is a real estate agent salesperson, and in what capacity the licensee is acting, if the licensee, acquires, or intends to acquire, any interest in the owner's property? a) Before the negotiation or consummation of any transaction b) Upon closing of the transaction c) Upon request of the seller d) When purchasing the property through a trust - correct answer a In Minnesota, when may a referral fee be appropriate? a) If an unlicensed individual wants to provide one to a licensee. b) If it involves a timeshare transaction and is less than $500. c) If the recipient is licensed and the referral fee is directly related to a transaction. d) If the recipient is uninvolved in the given transaction. - correct answer c In Minnesota, which of the following documents must you present to a potential buyer client prior to entering into a buyer agency agreement with him? a) Agency Relationships in Real Estate Transactions form b) Listing agreement c) Purchase Agreement d) Seller's disclosure notice - correct answer a Which of the following situations must be disclosed to the parties in a Minnesota transaction? a) A prior occupant who had AIDS b) Data that contradicts an inspection report c) Registered sex offenders in the neighborhood d) Reported ghost sightings - correct answer b Which of the following scenarios constitutes illegal licensee compensation in Minnesota? a) Carrie's broker made her commission check out to "Shoe Gal, LLC," her sole-proprietor company. b) Miranda's seller client reimbursed Miranda for the special signage she paid for when marketing his property. c) Per the listing agreement, Charlotte's broker shared her listing commission with