NEW MEXICO REAL ESTATE SALESPERSON
& BROKER PRACTICE EXAM QUESTIONS
AND CORRECT ANSWERS (VERIFIED
ANSWERS) PLUS RATIONALES 2025
1. What is the minimum age requirement to apply for a New Mexico real
estate license?
A. 18
B. 21
C. 25
D. 30
New Mexico requires applicants to be at least 21 years old to apply
for a real estate license.
2. A New Mexico broker must complete how many hours of continuing
education every three years?
A. 24 hours
B. 36 hours
, C. 30 hours
D. 40 hours
Brokers are required to complete 36 hours of CE, including ethics and
legal updates.
3. Which of the following duties does a qualifying broker in New Mexico
have?
A. Write property tax assessments
B. Supervise all affiliated licensees
C. Approve zoning variances
D. Conduct property appraisals
Qualifying brokers are responsible for the supervision and conduct of
all licensees affiliated with them.
4. What is the purpose of the New Mexico Real Estate Commission?
A. To regulate and license real estate professionals
B. To buy and sell government land
C. To appraise real estate statewide
D. To develop housing for the state
The Commission oversees the practice and licensing of real estate
professionals in New Mexico.
5. In New Mexico, which of the following must a licensee do when acting
as a transaction broker?
A. Represent only the buyer
B. Represent only the seller
, C. Remain neutral and facilitate the transaction
D. Provide legal advice
A transaction broker in NM acts as a neutral party, helping facilitate
a deal without advocating for either party.
6. What is the statute of limitations for filing a complaint against a real
estate licensee in NM?
A. 3 years
B. 5 years
C. 2 years
D. 1 year
New Mexico law allows a person to file a complaint against a
licensee within three years of the incident.
7. How long must a broker in New Mexico retain real estate transaction
records?
A. 3 years
B. 2 years
C. 6 years
D. 10 years
Transaction records must be retained for six years per New Mexico
regulations.
8. Which of the following forms of agency is NOT recognized in New
Mexico?
A. Dual agency
, B. Designated agency
C. Transaction brokerage
D. Exclusive agency
New Mexico does not allow dual agency; instead, licensees act as
transaction brokers.
9. What is the maximum amount payable from the New Mexico Real
Estate Recovery Fund for one licensee?
A. $100,000
B. $50,000
C. $150,000
D. $200,000
The Recovery Fund caps at $200,000 per licensee.
10. A New Mexico licensee must disclose their license status in a
transaction involving:
A. A buyer they represent
B. Themselves or a family member
C. Any lender
D. A listing from another broker
When involved in a transaction personally or with family, licensees
must disclose their licensed status.
11. A broker who fails to account for earnest money may be charged
with:
& BROKER PRACTICE EXAM QUESTIONS
AND CORRECT ANSWERS (VERIFIED
ANSWERS) PLUS RATIONALES 2025
1. What is the minimum age requirement to apply for a New Mexico real
estate license?
A. 18
B. 21
C. 25
D. 30
New Mexico requires applicants to be at least 21 years old to apply
for a real estate license.
2. A New Mexico broker must complete how many hours of continuing
education every three years?
A. 24 hours
B. 36 hours
, C. 30 hours
D. 40 hours
Brokers are required to complete 36 hours of CE, including ethics and
legal updates.
3. Which of the following duties does a qualifying broker in New Mexico
have?
A. Write property tax assessments
B. Supervise all affiliated licensees
C. Approve zoning variances
D. Conduct property appraisals
Qualifying brokers are responsible for the supervision and conduct of
all licensees affiliated with them.
4. What is the purpose of the New Mexico Real Estate Commission?
A. To regulate and license real estate professionals
B. To buy and sell government land
C. To appraise real estate statewide
D. To develop housing for the state
The Commission oversees the practice and licensing of real estate
professionals in New Mexico.
5. In New Mexico, which of the following must a licensee do when acting
as a transaction broker?
A. Represent only the buyer
B. Represent only the seller
, C. Remain neutral and facilitate the transaction
D. Provide legal advice
A transaction broker in NM acts as a neutral party, helping facilitate
a deal without advocating for either party.
6. What is the statute of limitations for filing a complaint against a real
estate licensee in NM?
A. 3 years
B. 5 years
C. 2 years
D. 1 year
New Mexico law allows a person to file a complaint against a
licensee within three years of the incident.
7. How long must a broker in New Mexico retain real estate transaction
records?
A. 3 years
B. 2 years
C. 6 years
D. 10 years
Transaction records must be retained for six years per New Mexico
regulations.
8. Which of the following forms of agency is NOT recognized in New
Mexico?
A. Dual agency
, B. Designated agency
C. Transaction brokerage
D. Exclusive agency
New Mexico does not allow dual agency; instead, licensees act as
transaction brokers.
9. What is the maximum amount payable from the New Mexico Real
Estate Recovery Fund for one licensee?
A. $100,000
B. $50,000
C. $150,000
D. $200,000
The Recovery Fund caps at $200,000 per licensee.
10. A New Mexico licensee must disclose their license status in a
transaction involving:
A. A buyer they represent
B. Themselves or a family member
C. Any lender
D. A listing from another broker
When involved in a transaction personally or with family, licensees
must disclose their licensed status.
11. A broker who fails to account for earnest money may be charged
with:
