Arkansas Real Estate Salesperson Exam — All Questions

Real estate forms used by Arkansas licensees in the regular course of business must be approved before use by:

• a.The Arkansas Real Estate Commission
• b.The principal broker of the firm
• c.A licensed Arkansas attorney✓
• d.The Arkansas REALTORS Association

In compliance with Pope County Bar Association, Inc. v. Suggs, real estate forms used by licensees in the regular course of business must be approved by a licensed Arkansas attorney prior to use, and the licensee must be able to produce evidence of that approval. Cite: 17 CAR Sec. 220-1009(c).

An Arkansas selling licensee who receives an offer on property listed exclusively by another firm must present that offer to the listing firm:

• a.Immediately, and in no case more than two hours after receiving it
• b.Within three days after the licensee receives the written offer
• c.At the same time the earnest money is deposited in trust
• d.Not later than the close of the next business day after receipt✓

Offers received by the selling licensee must be presented to the firm holding the exclusive listing contract not later than the close of the next business day after receipt, and earnest money and deposits must be forwarded to the listing firm for deposit in its trust account. Cite: 17 CAR Sec. 220-1012(a)(2), (3).

A broker's price opinion prepared by an Arkansas licensee must not contain the terms:

• a.Market value, appraised value, or appraisal✓
• b.Probable selling price or estimate
• c.Capitalization rate or comparable sale
• d.Limiting condition or assumption

A broker's price opinion or market analysis issued by a licensee shall not contain the terms market value, appraised value, or appraisal, and use of those terms is presumed to violate the statute and subject to sanctions. Cite: Ark. Code Ann. Sec. 17-42-110(d).

Before an Arkansas licensee buys, sells, rents, or leases property for the licensee's own account, the licensee must disclose that interest and licensed status:

• a.Orally, at the first substantive contact with the other party to the deal
• b.In writing, before the sales, rental, or lease contract is entered into✓
• c.In writing, at any time before the transaction actually closes
• d.To the Commission on the disclosure form that it prescribes

Licensees must make full disclosure of the exact facts that they hold a real estate license and are acting for their own account or have an interest in the property, and all such disclosures must be made in writing before the sales, rental, or lease contract is entered into. Cite: 17 CAR Sec. 220-1010.

Which statement about property condition disclosure in Arkansas is correct?

• a.Every seller of residential property must deliver a state disclosure form before closing
• b.A seller may deliver the state form up to three days after the contract is signed
• c.No statute makes every seller disclose condition, but licensees must seek material facts✓
• d.Only sellers of homes built before 1978 must complete a condition disclosure

The Arkansas Real Estate Commission states that no state law requires every property owner to disclose the condition of the property being sold. The licensee's duty comes from Commission rule: exert reasonable efforts to ascertain facts material to the value or desirability of the property so as to avoid misrepresentation. Cite: 17 CAR Sec. 220-1005.