KENTUCKY PORTION — REAL ESTATE
EXAM Questions and Answers
1. 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 otter over
that price.
2. 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.
3. When a licensee pays back the Recovery Fund
Answer He/she must pay back all the reimbursed funds plus 10% interest on the
amount.
4. Who appoints the members of the Kentucky real estate commission
, (KREC)?-
Answer The Governor
5. How long are the terms for members of the KREC?
Answer Three years
6. 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.
7. 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.
8. An agent changed her surname. The agent
Answer Must give written notification to the KREC of the change.
9. Kentucky have a real estate license reciprocity agreement with
Answer All States.
10. Per Kentucky Law, the specific consensual relationship between
, the principal broker and the client for a contemplated transaction,
by oral or written agree- ment
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.
11. 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.
12. Currently, the Real Estate Education, Research and Recovery
Fund aggregate amount may not exceed
Answer $20,000
13. Under Kentucky law, a broker is required to keep copies of
records for
Answer 5 years.
14. Catherines license has been revoked by the Kentucky Real
EXAM Questions and Answers
1. 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 otter over
that price.
2. 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.
3. When a licensee pays back the Recovery Fund
Answer He/she must pay back all the reimbursed funds plus 10% interest on the
amount.
4. Who appoints the members of the Kentucky real estate commission
, (KREC)?-
Answer The Governor
5. How long are the terms for members of the KREC?
Answer Three years
6. 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.
7. 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.
8. An agent changed her surname. The agent
Answer Must give written notification to the KREC of the change.
9. Kentucky have a real estate license reciprocity agreement with
Answer All States.
10. Per Kentucky Law, the specific consensual relationship between
, the principal broker and the client for a contemplated transaction,
by oral or written agree- ment
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.
11. 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.
12. Currently, the Real Estate Education, Research and Recovery
Fund aggregate amount may not exceed
Answer $20,000
13. Under Kentucky law, a broker is required to keep copies of
records for
Answer 5 years.
14. Catherines license has been revoked by the Kentucky Real
