Alaska Real Estate Broker Exam — All Questions

Real estate brokers in Alaska are licensed and regulated under AS 08.88 by the:

• a.Alaska Housing Finance Corporation
• b.Alaska Real Estate Commission within the Department of Commerce, Community, and Economic Development✓
• c.Alaska Court System
• d.Alaska Association of Realtors

The Alaska Real Estate Commission, housed in the Division of Corporations, Business and Professional Licensing within the Department of Commerce, Community, and Economic Development (DCCED), administers AS 08.88, the real estate licensing statute. The Commission sets licensing standards and disciplines licensees. Trade associations and the court system have no licensing authority.

In Alaska's license structure, what is the key difference between a broker and an associate broker?

• a.There is no difference; the terms are interchangeable
• b.An associate broker may hold client trust funds in a personal account
• c.A broker may operate a brokerage and supervise licensees, while an associate broker holds a broker-level license but must work under a licensed broker✓
• d.Only an associate broker may list property

Alaska recognizes salesperson, associate broker, and broker licenses. An associate broker has met broker-level qualifications but practices under a licensed broker rather than operating independently. Only the broker may operate the brokerage, maintain the trust account, and supervise the firm's licensees. Understanding this hierarchy is central to Alaska broker supervision.

Under AS 08.88, an Alaska broker who operates a brokerage must:

• a.Maintain a definite place of business and be responsible for supervising affiliated licensees and trust funds✓
• b.Personally close every transaction the firm handles
• c.Hold a separate license in each borough where property is listed
• d.Renew the license every 12 months

An Alaska broker who runs a brokerage must maintain a place of business and is responsible for supervising the firm's affiliated licensees and for the proper handling of trust funds. The broker need not personally close every deal, licenses are statewide rather than per-borough, and Alaska real estate licenses renew on a two-year cycle.

The Alaska Real Estate Commission's disciplinary authority under AS 08.88 allows it to:

• a.Award money damages to a wronged buyer in a civil lawsuit
• b.Set commission rates that all brokers must charge
• c.Convict a licensee of a felony
• d.Investigate complaints and suspend, revoke, or place conditions on a license for violations of the licensing law✓

The Commission investigates complaints and may discipline a licensee by suspension, revocation, conditions, or civil fines for violations of AS 08.88 and its regulations. It does not award civil damages (that is for the courts), cannot criminally convict, and cannot fix commission rates, which would raise antitrust concerns.