Mississippi Real Estate Broker Exam — All Questions
3 questions
Which body licenses and regulates real estate brokers in Mississippi?
- a.The Mississippi Association of Realtors
- b.The Mississippi Secretary of State
- c.The Mississippi Real Estate Commission (MREC)✓
- d.The chancery court of the county where the broker practices
The Mississippi Real Estate Commission, acting under the Real Estate Brokers License Law (Title 73, Chapter 35 of the Mississippi Code), issues, renews, and disciplines broker and salesperson licenses. A trade association is a private membership group with no licensing authority, and neither the Secretary of State nor the chancery court regulates real estate licensing.
In Mississippi, which act may a licensed broker perform that a licensed salesperson may not?
- a.Show listed property to a prospective buyer
- b.Independently operate a real estate firm and hold client escrow money✓
- c.Prepare a comparative market analysis
- d.Attend a real estate closing
The broker license is the higher tier. A broker may operate independently, maintain a place of business, hold escrow money, and supervise affiliated licensees. A salesperson may perform licensed acts only in the name of and under the supervision of a responsible broker and must be paid through that broker. Showing property, preparing a market analysis, and attending closings can all be done by a salesperson.
Which of the following is a common ground for the Mississippi Real Estate Commission to discipline a broker?
- a.Belonging to a national trade association
- b.Advertising property that is properly listed with the firm
- c.Earning a commission through the responsible broker
- d.Commingling client escrow money with the broker's own funds✓
Commingling or converting client trust money is a serious violation of Mississippi license law and a frequent basis for discipline, along with substantial misrepresentation and failure to account for escrow funds. Belonging to a trade association, lawfully advertising listed property, and being paid through the responsible broker are all permissible activities.