Minnesota (MN) Real Estate Exam Study Guide |
Complete Actual Exam Questions with 100% Verified
Correct Answers and Detailed Rationales | Latest
Update 2026/2027 Edition - Already Graded A+
Question 1
Ownership of registered property is transferred by ______ and evidenced by ______.
A. Lease, rental agreement
B. Contract, bill of sale
C. Deed, certificate of title
D. Will, probate order
Answer: C
Rationale: In Minnesota, ownership of registered (Torrens) property is transferred by
deed and evidenced by certificate of title. The certificate of title is the official document
that proves ownership.
Question 2
Which law establishes a warranty for new dwellings? The warranty does not cover
damage.
A. Homeowners Protection Act
B. Residential Lead-Based Paint Hazard Reduction Act
C. Statutory New Home Warranty Law
D. Uniform Commercial Code (UCC)
Answer: C
Rationale: The Statutory New Home Warranty Law establishes warranties for new
dwellings, covering workmanship, materials, and major structural defects.
pg. 1
,Question 3
Which act requires everyone who offers or sells interests in subdivided lands to have a
real estate broker's or salesperson's license?
A. 10, Homestead Act
B. Architecture Control Act
C. City And County Act
D. Subdivided Lands Act
Answer: D
Rationale: The Subdivided Lands Act requires licensure for anyone offering or selling
interests in subdivided lands. It applies to offerings of more than 10 parcels located
outside incorporated municipalities.
Question 4
A homeowner hires an architect to draw plans for a new home. Upon completion of the
plans, the homeowner does not pay. When could the architect record a lien against the
property?
A. Within 60 days, provided the architect has a written contract with the owner
B. Within 120 days, if proper lien notice was provided to the property owner
C. Within 180 days, but only if the owner refused to pay the invoice
D. Within 30 days, regardless of whether notice was provided to the owner
Answer: B
Rationale: A mechanic's lien must be recorded within 120 days after completion of the
work. Proper notice must have been provided to the property owner.
Question 5
Power of Sale clause allows lender to foreclose without:
A. Recording the notice of default
B. Conducting a public auction
C. Serving the borrower with notice
D. Going to court
Answer: D
Rationale: A Power of Sale clause allows foreclosure without going to court (non-
pg. 2
,judicial foreclosure). The lender can foreclose by advertisement without court
involvement.
Question 6
A closing agent may ______ for conducting a real property settlement.
A. Pay a referral fee
B. Charge a percentage of the sale price
C. Collect a fee
D. Charge a flat fee only
Answer: C
Rationale: A closing agent may collect a fee for conducting a real property settlement.
The fee must be reasonable and disclosed to the parties.
Question 7
A residential property owner is in default on a mortgage loan. If the lender forecloses,
typically how long will the statutory redemption period be?
A. 30 days
B. 90 days
C. 6 months
D. 1 year
Answer: C
Rationale: The statutory redemption period for residential property is typically 6 months
after the sheriff's sale.
Question 8
Landlord may sell or dispose of tenant's personal property 28 days after they receive
actual notice of the abandonment. The landlord is required to serve notice to tenant at
least 14 days before selling personal property. This is known as:
A. 28/14 rule for abandoned property
B. 15/30 rule for abandoned property
C. 60/20 rule for abandoned property
D. 30/10 rule for abandoned property
pg. 3
, Answer: A
Rationale: The 28/14 rule applies to abandoned tenant property. The landlord may sell
property 28 days after notice of abandonment and must serve notice at least 14 days
before sale.
Question 9
An executor selling a property after probate for a fee is ______ from licensing
requirements.
A. Exempt
B. Partially guaranteed
C. Non-exempt
D. Required
Answer: A
Rationale: An executor selling property after probate is exempt from licensing
requirements. Court-appointed trustees and executors are exempt when acting in their
official capacity.
Question 10
Leases for ______ year or less do not have to be in writing, unless property is residential
building with ______ or more units.
A. 2 years, 24
B. 90 days, 10
C. 1, 12
D. 6 months, 6
Answer: C
Rationale: Leases for 1 year or less do not have to be in writing, unless the property is a
residential building with 12 or more units.
Question 11
An owner discovering a defect covered by the statutory new home warranty must notify
the builder within ______ days.
pg. 4
Complete Actual Exam Questions with 100% Verified
Correct Answers and Detailed Rationales | Latest
Update 2026/2027 Edition - Already Graded A+
Question 1
Ownership of registered property is transferred by ______ and evidenced by ______.
A. Lease, rental agreement
B. Contract, bill of sale
C. Deed, certificate of title
D. Will, probate order
Answer: C
Rationale: In Minnesota, ownership of registered (Torrens) property is transferred by
deed and evidenced by certificate of title. The certificate of title is the official document
that proves ownership.
Question 2
Which law establishes a warranty for new dwellings? The warranty does not cover
damage.
A. Homeowners Protection Act
B. Residential Lead-Based Paint Hazard Reduction Act
C. Statutory New Home Warranty Law
D. Uniform Commercial Code (UCC)
Answer: C
Rationale: The Statutory New Home Warranty Law establishes warranties for new
dwellings, covering workmanship, materials, and major structural defects.
pg. 1
,Question 3
Which act requires everyone who offers or sells interests in subdivided lands to have a
real estate broker's or salesperson's license?
A. 10, Homestead Act
B. Architecture Control Act
C. City And County Act
D. Subdivided Lands Act
Answer: D
Rationale: The Subdivided Lands Act requires licensure for anyone offering or selling
interests in subdivided lands. It applies to offerings of more than 10 parcels located
outside incorporated municipalities.
Question 4
A homeowner hires an architect to draw plans for a new home. Upon completion of the
plans, the homeowner does not pay. When could the architect record a lien against the
property?
A. Within 60 days, provided the architect has a written contract with the owner
B. Within 120 days, if proper lien notice was provided to the property owner
C. Within 180 days, but only if the owner refused to pay the invoice
D. Within 30 days, regardless of whether notice was provided to the owner
Answer: B
Rationale: A mechanic's lien must be recorded within 120 days after completion of the
work. Proper notice must have been provided to the property owner.
Question 5
Power of Sale clause allows lender to foreclose without:
A. Recording the notice of default
B. Conducting a public auction
C. Serving the borrower with notice
D. Going to court
Answer: D
Rationale: A Power of Sale clause allows foreclosure without going to court (non-
pg. 2
,judicial foreclosure). The lender can foreclose by advertisement without court
involvement.
Question 6
A closing agent may ______ for conducting a real property settlement.
A. Pay a referral fee
B. Charge a percentage of the sale price
C. Collect a fee
D. Charge a flat fee only
Answer: C
Rationale: A closing agent may collect a fee for conducting a real property settlement.
The fee must be reasonable and disclosed to the parties.
Question 7
A residential property owner is in default on a mortgage loan. If the lender forecloses,
typically how long will the statutory redemption period be?
A. 30 days
B. 90 days
C. 6 months
D. 1 year
Answer: C
Rationale: The statutory redemption period for residential property is typically 6 months
after the sheriff's sale.
Question 8
Landlord may sell or dispose of tenant's personal property 28 days after they receive
actual notice of the abandonment. The landlord is required to serve notice to tenant at
least 14 days before selling personal property. This is known as:
A. 28/14 rule for abandoned property
B. 15/30 rule for abandoned property
C. 60/20 rule for abandoned property
D. 30/10 rule for abandoned property
pg. 3
, Answer: A
Rationale: The 28/14 rule applies to abandoned tenant property. The landlord may sell
property 28 days after notice of abandonment and must serve notice at least 14 days
before sale.
Question 9
An executor selling a property after probate for a fee is ______ from licensing
requirements.
A. Exempt
B. Partially guaranteed
C. Non-exempt
D. Required
Answer: A
Rationale: An executor selling property after probate is exempt from licensing
requirements. Court-appointed trustees and executors are exempt when acting in their
official capacity.
Question 10
Leases for ______ year or less do not have to be in writing, unless property is residential
building with ______ or more units.
A. 2 years, 24
B. 90 days, 10
C. 1, 12
D. 6 months, 6
Answer: C
Rationale: Leases for 1 year or less do not have to be in writing, unless the property is a
residential building with 12 or more units.
Question 11
An owner discovering a defect covered by the statutory new home warranty must notify
the builder within ______ days.
pg. 4
