Kentucky Broker Law Questions and
Answers | Latest Version | 2025/2026 |
Correct & Verified
Who is responsible for supervising all affiliated licensees in a Kentucky brokerage?
✔✔The principal broker
When must a Kentucky licensee disclose their license status in a personal transaction?
✔✔Before any negotiations begin
What is the minimum age required to qualify for a broker’s license in Kentucky?
✔✔Eighteen
How soon must escrow funds be deposited after receipt in Kentucky?
✔✔By the next banking day
What must be included on all real estate advertising in Kentucky?
✔✔The name of the brokerage
1
,What is the consequence of practicing real estate in Kentucky without a license?
✔✔A criminal offense and possible civil penalties
Who regulates real estate licensing and enforcement in Kentucky?
✔✔The Kentucky Real Estate Commission (KREC)
When can a licensee in Kentucky act as a dual agent?
✔✔Only with written informed consent from both parties
What is required before a licensee may advertise another broker’s listing in Kentucky?
✔✔Written consent from the listing broker
How long must a Kentucky broker retain transaction records?
✔✔Five years
What must happen if a licensee is convicted of a felony?
✔✔They must report it to the Commission within 30 days
2
,What is required to place a license in escrow in Kentucky?
✔✔A written request submitted to the Commission
When must a licensee complete continuing education to renew their license in Kentucky?
✔✔By December 31 each year
What type of agency disclosure is required in Kentucky residential transactions?
✔✔A written Agency Disclosure Statement
Who is permitted to withdraw money from a real estate escrow account in Kentucky?
✔✔Only the principal broker
What must a licensee do if a client requests a copy of a signed contract?
✔✔Provide a copy immediately
Can a broker in Kentucky pay a referral fee to an unlicensed person?
✔✔No, it is illegal
3
, When is a licensee considered in violation for inducing panic selling?
✔✔When they promote sales based on discriminatory or fear-based reasons
What type of license is required to manage rental property for others in Kentucky?
✔✔A real estate license
What must be done when an offer is received on a property?
✔✔It must be presented to the seller promptly
Can a licensee in Kentucky represent both buyer and seller in the same transaction?
✔✔Only as a dual agent with written consent from both parties
What happens if a broker closes their brokerage without notifying the Commission?
✔✔It may result in disciplinary action
What is the maximum administrative fine the Commission may impose per violation?
✔✔One thousand dollars
4
Answers | Latest Version | 2025/2026 |
Correct & Verified
Who is responsible for supervising all affiliated licensees in a Kentucky brokerage?
✔✔The principal broker
When must a Kentucky licensee disclose their license status in a personal transaction?
✔✔Before any negotiations begin
What is the minimum age required to qualify for a broker’s license in Kentucky?
✔✔Eighteen
How soon must escrow funds be deposited after receipt in Kentucky?
✔✔By the next banking day
What must be included on all real estate advertising in Kentucky?
✔✔The name of the brokerage
1
,What is the consequence of practicing real estate in Kentucky without a license?
✔✔A criminal offense and possible civil penalties
Who regulates real estate licensing and enforcement in Kentucky?
✔✔The Kentucky Real Estate Commission (KREC)
When can a licensee in Kentucky act as a dual agent?
✔✔Only with written informed consent from both parties
What is required before a licensee may advertise another broker’s listing in Kentucky?
✔✔Written consent from the listing broker
How long must a Kentucky broker retain transaction records?
✔✔Five years
What must happen if a licensee is convicted of a felony?
✔✔They must report it to the Commission within 30 days
2
,What is required to place a license in escrow in Kentucky?
✔✔A written request submitted to the Commission
When must a licensee complete continuing education to renew their license in Kentucky?
✔✔By December 31 each year
What type of agency disclosure is required in Kentucky residential transactions?
✔✔A written Agency Disclosure Statement
Who is permitted to withdraw money from a real estate escrow account in Kentucky?
✔✔Only the principal broker
What must a licensee do if a client requests a copy of a signed contract?
✔✔Provide a copy immediately
Can a broker in Kentucky pay a referral fee to an unlicensed person?
✔✔No, it is illegal
3
, When is a licensee considered in violation for inducing panic selling?
✔✔When they promote sales based on discriminatory or fear-based reasons
What type of license is required to manage rental property for others in Kentucky?
✔✔A real estate license
What must be done when an offer is received on a property?
✔✔It must be presented to the seller promptly
Can a licensee in Kentucky represent both buyer and seller in the same transaction?
✔✔Only as a dual agent with written consent from both parties
What happens if a broker closes their brokerage without notifying the Commission?
✔✔It may result in disciplinary action
What is the maximum administrative fine the Commission may impose per violation?
✔✔One thousand dollars
4
