New Mexico Real
Estate Final Exam
Questions And Correct
Answers (Verified
Answers) Plus
Rationales 2025/2026
Q&A | Instant
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1. Which entity issues real estate licenses in New Mexico?
A. New Mexico Board of Realtors
B. New Mexico Real Estate Commission
C. Department of Housing
D. County Recorder
Answer: B
,The New Mexico Real Estate Commission regulates and
licenses real estate professionals.
2. A real estate salesperson in New Mexico must work
under:
A. Any broker nationwide
B. A designated broker
C. A mortgage lender
D. A title company
Answer: B
Salespersons must be supervised by a qualifying/designated
broker.
3. Which contract is required to be in writing under the
Statute of Frauds?
A. Lease under 1 year
B. Oral listing agreement
C. Real estate sales contract
D. Open house agreement
Answer: C
Real estate sale contracts must be in writing to be
enforceable.
4. What is the purpose of escrow?
A. Increase taxes
B. Hold funds and documents until conditions are met
C. Set listing prices
,D. Approve loans
Answer: B
Escrow ensures neutral handling of funds/documents.
5. Which type of ownership includes the right of
survivorship?
A. Tenancy in common
B. Joint tenancy
C. Tenancy at sufferance
D. Severalty
Answer: B
Joint tenancy automatically passes ownership to surviving
owners.
6. A fiduciary duty requires:
A. Maximum profit for agent
B. Loyalty and honesty to client
C. Equal representation of buyer and seller
D. Public disclosure of all offers
Answer: B
Agents must act in the best interest of their client.
7. Which document transfers ownership of real property?
A. Mortgage
B. Deed
C. Promissory note
D. Lease
, Answer: B
A deed legally transfers title.
8. What is earnest money?
A. Loan interest
B. Tax payment
C. Good faith deposit
D. Commission fee
Answer: C
It shows buyer’s serious intent to purchase.
9. A property manager primarily acts as:
A. Tenant advocate
B. Independent investor
C. Agent of the owner
D. Government inspector
Answer: C
Property managers represent the property owner.
10. Which law prohibits discrimination in housing?
A. Sherman Act
B. Fair Housing Act
C. Patriot Act
D. Land Use Act
Answer: B
Fair Housing Act prevents discriminatory housing practices.
Estate Final Exam
Questions And Correct
Answers (Verified
Answers) Plus
Rationales 2025/2026
Q&A | Instant
Download Pdf
1. Which entity issues real estate licenses in New Mexico?
A. New Mexico Board of Realtors
B. New Mexico Real Estate Commission
C. Department of Housing
D. County Recorder
Answer: B
,The New Mexico Real Estate Commission regulates and
licenses real estate professionals.
2. A real estate salesperson in New Mexico must work
under:
A. Any broker nationwide
B. A designated broker
C. A mortgage lender
D. A title company
Answer: B
Salespersons must be supervised by a qualifying/designated
broker.
3. Which contract is required to be in writing under the
Statute of Frauds?
A. Lease under 1 year
B. Oral listing agreement
C. Real estate sales contract
D. Open house agreement
Answer: C
Real estate sale contracts must be in writing to be
enforceable.
4. What is the purpose of escrow?
A. Increase taxes
B. Hold funds and documents until conditions are met
C. Set listing prices
,D. Approve loans
Answer: B
Escrow ensures neutral handling of funds/documents.
5. Which type of ownership includes the right of
survivorship?
A. Tenancy in common
B. Joint tenancy
C. Tenancy at sufferance
D. Severalty
Answer: B
Joint tenancy automatically passes ownership to surviving
owners.
6. A fiduciary duty requires:
A. Maximum profit for agent
B. Loyalty and honesty to client
C. Equal representation of buyer and seller
D. Public disclosure of all offers
Answer: B
Agents must act in the best interest of their client.
7. Which document transfers ownership of real property?
A. Mortgage
B. Deed
C. Promissory note
D. Lease
, Answer: B
A deed legally transfers title.
8. What is earnest money?
A. Loan interest
B. Tax payment
C. Good faith deposit
D. Commission fee
Answer: C
It shows buyer’s serious intent to purchase.
9. A property manager primarily acts as:
A. Tenant advocate
B. Independent investor
C. Agent of the owner
D. Government inspector
Answer: C
Property managers represent the property owner.
10. Which law prohibits discrimination in housing?
A. Sherman Act
B. Fair Housing Act
C. Patriot Act
D. Land Use Act
Answer: B
Fair Housing Act prevents discriminatory housing practices.
