Arizona Real Estate Salesperson Exam — All Questions

What must appear in a clear and prominent manner in an Arizona licensee's property advertisement?

• a.The employing broker's legal or dba name✓
• b.The salesperson's own license number
• c.The seller's name and mailing address
• d.The multiple listing service number

All advertising must identify, clearly and prominently, the employing broker's legal name or a dba name that appears on the employing broker's license certificate. The designated broker is responsible for the advertising of all real estate activity. Cite: A.A.C. R4-28-502(E), (G).

Arizona's advertising rule restricts a licensee's use of the word "acre." What minimum area does it require?

• a.43,560 square feet at minimum✓
• b.One hectare, about 107,639 square feet
• c.40,000 square feet at minimum
• d.The rule prescribes no minimum area

A licensee shall not use the term "acre," either alone or modified, unless referring to an area of land representing at least 43,560 square feet. The rule exists because "builder's acre" and similar shorthand for a 40,000-square-foot lot had been used in advertising. Cite: A.A.C. R4-28-502(H).

Before an Arizona licensee places a for-sale sign on a property, what must the licensee obtain?

• a.A sign permit from the city or town
• b.Written consent from the property owner✓
• c.Notice to the homeowners association
• d.The designated broker's initials

Before placing a sign, or publishing to an electronic medium, giving notice that specific property is offered for sale, lease, rent or exchange, a licensee shall secure the written consent of the property owner, and the sign or publication shall be promptly removed on the owner's request. Cite: A.A.C. R4-28-502(I).

An Arizona brokerage advertises a listing on its website. Where must the required advertising disclosures appear?

• a.Anywhere on the web page, including in the footer
• b.On a linked page the viewer can reach
• c.In the site's terms of use section
• d.On the ad itself, without the need to scroll✓

Use of an electronic medium such as the internet, artificial intelligence or website technology that targets Arizona residents is advertising, and all requirements of the advertising rule must be satisfied on the advertisement itself without the need to scroll. Cite: A.A.C. R4-28-502(J).

A broker licensed only in Nevada signs a written cooperation agreement with an Arizona broker. What may the Nevada broker still not do?

• a.Erect its own for-sale sign on the property✓
• b.Receive a share of the Arizona broker's commission
• c.Speak with the Arizona broker about the terms
• d.Be paid compensation by the Arizona broker directly

Signs shall not be placed on real property in Arizona by an out-of-state broker, and a cooperation agreement is not authority to sell, lease, rent or exchange property to an Arizona resident. An Arizona broker may pay compensation to and receive it from a broker lawfully operating in another state, but all negotiations in Arizona must be conducted through the Arizona broker, who assumes responsibility for the out-of-state broker's acts. Cite: A.R.S. § 32-2163(A), (C), (E), (F).

An Arizona listing advertisement is written so it reads as though the owner is selling privately. Which rule does that break?

• a.The rule on premiums and promotional offers
• b.The rule requiring accurate square footage claims
• c.The bar on implying no licensee is involved✓
• d.The rule on filing development advertising with ADRE

A licensee shall not advertise property in a manner that implies that no salesperson or broker is taking part in the offer for sale, lease or exchange. The same rule requires accurate claims, bars misleading or ambiguous impressions, and makes the designated broker responsible for the advertising of all real estate activity. Cite: A.A.C. R4-28-502(A), (C), (G).

An Arizona buyer and seller sign a counteroffer in the licensee's office. What must the licensee do with the signed document?

• a.Deliver copies when escrow closes
• b.Expeditiously deliver a legible copy to each signer✓
• c.Deliver a copy to the escrow agent only
• d.Keep the original and give copies on request

On execution of any transaction document, a licensee shall expeditiously deliver a legible copy of the signed document and final agreement to each party signing it. The duty attaches at signature, not at closing, and does not depend on a request. Cite: A.A.C. R4-28-802(A).

An Arizona seller has accepted an offer. A second, higher offer arrives before closing. What must the listing licensee do?

• a.Hold it until the first contract falls through
• b.Present it only if the first buyer's loan fails
• c.Return it to the offeror as untimely now
• d.Submit it to the seller before closing✓

A licensee shall submit to the client all offers made prior to closing and is not released from that duty by the client's acceptance of an earlier offer, unless the client instructs the licensee in writing to cease submitting offers or the listing, lease or purchase contract provides otherwise. A licensee may even submit offers after the listing agreement is terminated. Cite: A.A.C. R4-28-802(B).

An Arizona buyer offers a promissory note as earnest money. What does A.R.S. § 32-2151.01 require?

• a.The contract or receipt must state the type received✓
• b.The note must be converted to cash before acceptance
• c.A note may not be used as earnest money in Arizona
• d.The note must be deposited with a neutral escrow agent

A broker shall specifically state in the real estate purchase contract, lease agreement or earnest money receipt the type of earnest money received, whether it is cash, a check, a promissory note or any other item of value. Arizona does not forbid a note as earnest money; it requires that the seller learn what was actually tendered. Cite: A.R.S. § 32-2151.01(C).

A buyer signs a contract to purchase an unimproved subdivided lot in Arizona. What rescission right does the statute give?

• a.Three business days from execution
• b.No statutory right of rescission exists here
• c.Until midnight of the seventh calendar day✓
• d.Until the public report is delivered

A contract to purchase or lease an unimproved lot or parcel may be rescinded by the purchaser without cause of any kind by written notice sent or delivered by midnight of the seventh calendar day following the day the purchaser executed the agreement, and the required rescission language must appear in bold or larger print above the signature portion. Cite: A.R.S. § 32-2185.01(D); A.A.C. R4-28-804(A).

An Arizona buyer purchased an unimproved lot without ever visiting it. What additional right does the statute give that buyer?

• a.A full refund at any time before the deed is recorded
• b.A six-month period to inspect and then rescind✓
• c.A survey at the seller's expense on demand
• d.A thirty-day period to inspect and rescind

A buyer who has not inspected an unimproved lot or parcel before executing the purchase agreement has six months after execution to inspect it and, at the time of inspection, the right to unilaterally rescind. The buyer signs an affidavit at inspection stating the lot was inspected, which the Commissioner may require to be filed with the Department. Cite: A.R.S. § 32-2185.01(E); A.A.C. R4-28-804(A).

Arizona requires a written contract for a newly constructed dwelling to carry a specific notice. What does that notice tell the buyer?

• a.That the builder's warranty runs for ten years
• b.That arbitration is the only available remedy
• c.That the buyer waives all defect claims at closing
• d.That a complaint may be filed with the Registrar✓

The contract shall contain, or provide separate notice of, the buyer's right to file a written complaint against the homebuilder with the Arizona Registrar of Contractors within two years after close of escrow or actual occupancy, whichever occurs first. The notice must be prominently displayed in at least ten-point bold type, and the buyer is not deemed to have received it unless the buyer initials it. Cite: A.R.S. § 12-1365; A.R.S. § 32-1155.

An Arizona seller is selling one of four parcels split from a larger tract in an unincorporated area of a county. What does the law require?

• a.An affidavit of disclosure at least seven days early✓
• b.A subdivision public report issued by the Commissioner
• c.A county-approved final plat before any transfer
• d.An affidavit of disclosure at the closing table

A seller of five or fewer parcels of land, other than subdivided land, in an unincorporated area of a county must complete and furnish a written affidavit of disclosure to the buyer at least seven days before the transfer, in twelve-point type, and record it when the deed is recorded. The buyer may rescind for five days after the affidavit is furnished, and a waiver of the seller's liability for an omission in it is not binding on the buyer. Cite: A.R.S. § 33-422(A) through (E).

What are the payment limits on the Arizona Real Estate Recovery Fund?

• a.$20,000 per transaction, $60,000 per licensee
• b.$30,000 per claimant, $30,000 per deal
• c.$30,000 per transaction and $90,000 per licensee✓
• d.$50,000 per transaction with no licensee cap

The fund's liability is capped at thirty thousand dollars for each transaction, regardless of the number of persons aggrieved or the number of licensees or parcels involved, and ninety thousand dollars for each licensee. Once orders authorizing payments reach that aggregate, the fund's liability for that licensee's acts is terminated. Cite: A.R.S. § 32-2186(B), (C).

Who is barred outright from recovering from the Arizona Real Estate Recovery Fund?

• a.A buyer who hired an attorney for the case
• b.A claimant who settled part of the judgment
• c.A buyer whose judgment was entered by default
• d.A licensee acting as a principal in the deal✓

A licensee acting as a principal or agent in a real estate transaction has no claim against the fund, and neither do marital communities, corporations, limited liability companies or partnerships in which the licensee is a principal, member, general partner, officer or director, or in which the licensee holds a direct or indirect interest of at least ten percent. Reasonable attorney fees and court costs are payable, settlement amounts are deducted rather than disqualifying, and a judgment obtained after service by publication is expressly enforceable against the fund. Cite: A.R.S. § 32-2186(A), (D); A.R.S. § 32-2188(B), (E)(8)(h).

The Commissioner orders a payment from the Recovery Fund on a judgment against an Arizona licensee. What happens to that licensee's license?

• a.It ends until the judgment and fund are repaid in full✓
• b.It is suspended for twelve months from the payment date
• c.It continues, but a civil penalty is also assessed
• d.It goes inactive until the appeal period expires

All of the judgment debtor's licenses and license rights under Title 32, Chapter 20 are terminated effective on the date of payment, and the person is not eligible to apply for reinstatement until the underlying judgment is satisfied and the fund reimbursed for the payment, including interest at the prevailing legal rate. The debtor has thirty calendar days after receiving the notice to petition the superior court for judicial review. Cite: A.R.S. § 32-2188.04(D)(2), quoting A.R.S. § 32-2188(I).

An Arizona buyer asks the licensee whether anyone has died in the house. What does A.R.S. § 32-2156 provide?

• a.The licensee must disclose any death within five years
• b.No action lies for failing to disclose a death there✓
• c.The seller must disclose but the licensee need not
• d.Disclosure is required only if the death was a homicide

No criminal, civil or administrative action may be brought against a transferor, lessor or licensee for failing to disclose that the property is or has been the site of a natural death, suicide, homicide or any other felony; was owned or occupied by a person exposed to HIV or diagnosed with AIDS or another disease not transmitted through common occupancy; or is located in the vicinity of a sex offender. That failure is also not grounds to terminate or rescind the transaction. Cite: A.R.S. § 32-2156(A), (B).

An Arizona homeowner sends the builder a written construction defect notice under the Purchaser Dwelling Act. What is the builder's deadline?

• a.Thirty days to send a good faith written response
• b.Ninety days to complete the repairs or replacements
• c.Sixty days to send a good faith written response✓
• d.Ten days to state whether it intends to repair

Within sixty days after receipt of the purchaser's notice, the seller shall send a good faith written response by certified mail, return receipt requested, which may include a notice of intent to repair or replace or an offer of monetary compensation. If no written response comes within sixty days, the purchaser may file a dwelling action. The ten-day figure is the purchaser's own deadline to make the dwelling available for inspection after a request. Cite: A.R.S. § 12-1363(B), (C), (D).

Does the Arizona Purchaser Dwelling Act's definition of "seller" reach a real estate licensee?

• a.Yes, for any licensee involved in the sale
• b.No, not one who handles a dwelling's resale✓
• c.Yes, if the licensee also holds a contractor license
• d.No, unless the licensee drafted the purchase contract

"Seller" means any person or entity engaged in the business of designing, constructing or selling dwellings, including construction professionals, but it does not include a real estate broker or real estate salesperson as defined in A.R.S. § 32-2101 who provides services in connection with the resale of a dwelling following its initial sale. A licensee's exposure on a resale runs through Title 32 and the Commissioner's Rules instead. Cite: A.R.S. § 12-1361(10).

What is the status of the seller property disclosure statement (SPDS) under Arizona's real estate statutes and Commissioner's Rules?

• a.A.R.S. Title 32 requires it in every resale
• b.The Commissioner's Rules prescribe its form
• c.It replaces the licensee's own disclosure duty
• d.Neither mandates it; the rule states the duty✓

Neither A.R.S. Title 32, Chapter 20 nor A.A.C. Title 4, Chapter 28 names or requires an SPDS; the form is an industry document, and no reference to it appears in the 2026 ADRE Law Book. The licensee's own duty is independent of any form: disclose in writing to all other parties any information the licensee possesses that materially or adversely affects the consideration, including any known adverse material fact or material defect in the property and the existence of a lien or encumbrance. Cite: A.A.C. R4-28-1101(B).