Nevada Real Estate Broker Exam — All Questions

Under NRS 645.633(1)(f), the Real Estate Commission may discipline a Nevada licensee for failing to:

• a.include a fixed date of expiration in a brokerage agreement, or leave a copy of one with the client✓
• b.file a copy of each brokerage agreement with the Division within 10 days of its signing
• c.have each brokerage agreement reviewed by the client's own attorney before it is signed
• d.record each exclusive brokerage agreement with the county recorder before marketing begins

NRS 645.633(1)(f) lists as a ground for action "[f]ailure to include a fixed date of expiration in any brokerage agreement or failure to leave a copy of such a brokerage agreement or any property management agreement with the client." Two distinct failures, both disciplinary. Nevada requires no filing of brokerage agreements with the Division, no attorney review and no recording with the county recorder; those answers describe procedures the chapter does not contain. What the chapter does require is retention for inspection: NRS 645.324(2) provides that a licensee shall maintain, for review and audit by the Division, each brokerage agreement entered into by the licensee, and NRS 645.630(1)(e) makes failure to do so a separate ground for discipline. NRS 645.300 governs the timing of the client's copy, and NRS 645.320(1) requires the definite termination date in an exclusive agreement.

A Nevada licensee obtains the client's signature on a listing agreement. Under NRS 645.300, the licensee must deliver a copy of the brokerage agreement to that client:

• a.within 24 hours after the signature is obtained, in every case without exception
• b.within 5 calendar days after the signature is obtained, in every case without exception
• c.at the close of escrow, together with the client's closing statement for the transaction
• d.at the time the signature is obtained if possible, and otherwise within a reasonable time after✓

NRS 645.300 provides that when a licensee prepares or has prepared a brokerage agreement authorizing or employing the licensee to purchase or sell real estate for compensation or commission, "the licensee shall deliver a copy of the brokerage agreement to the client signing it at the time the signature is obtained, if possible, or otherwise within a reasonable time thereafter," and allows the receipt for that copy to be made on the face of the agreement itself. The standard is immediate delivery where practicable, with a reasonableness backstop - not a fixed 24-hour or five-day window, and certainly not a delivery deferred to closing. A.B. 258 amended this section in 2025 only to delete a word that the amended definition in NRS 645.005 had made superfluous; the delivery duty itself is unchanged. Failing to leave the copy with the client is independently disciplinable under NRS 645.633(1)(f).

A Nevada licensee represents the seller, and the seller does not accept an offer within a reasonable time after it is presented. Under NAC 645.632(1), the licensee must give the buyer or the buyer's representative:

• a.written notice, signed by the licensee, informing the buyer that the offer has not been accepted
• b.oral notice that the offer has not been accepted, confirmed by a note in the transaction file
• c.a written counteroffer, because under Nevada practice silence operates as a rejection
• d.written notice, signed by the seller, informing the buyer that the offer has not been accepted✓

NAC 645.632(1) requires that where a licensee represents a seller and the seller does not accept an offer within a reasonable time after it is presented, the licensee "shall provide to the buyer or the representative of the buyer written notice signed by the seller which informs the buyer that the offer has not been accepted by the seller." The seller's signature is what the regulation asks for, so a notice signed only by the licensee does not satisfy it, oral notice does not satisfy it, and no counteroffer is required - silence is not a rejection under Nevada law, which is why the notice rule exists at all. Subsection 2 mirrors the duty on the other side: where the licensee represents a buyer who does not accept a counteroffer within a reasonable time, the licensee must give the seller or the seller's representative written notice signed by the buyer. NAC 645.630 sets the companion duty to deliver every bona fide offer to the seller promptly and to deliver copies of each acceptance of an offer or counteroffer to both purchaser and seller.

Under NRS 645.635(4), a Nevada broker must deliver the seller a complete, detailed closing statement showing all receipts and disbursements the broker handled for the seller:

• a.within 10 business days after the transaction is closed✓
• b.within 10 calendar days after the transaction is closed
• c.within 30 calendar days after the transaction is closed
• d.before the buyer's funds are released from escrow

NRS 645.635(4) makes it a ground for discipline to fail "to deliver to the seller in each real estate transaction, within 10 business days after the transaction is closed, a complete, detailed closing statement showing all of the receipts and disbursements handled by him or her for the seller," to fail to deliver the buyer a statement showing all money received from the buyer and how and for what it was disbursed, or to fail to retain true copies of those statements in the licensee's files. Business days, not calendar days, and 10 of them - the 30-day and pre-release answers do not appear in the section. The same subsection supplies the practical escape valve most Nevada transactions rely on: "[t]he furnishing of those statements by an escrow holder relieves the broker's, broker-salesperson's or salesperson's responsibility and must be deemed to be in compliance with this provision." The copy-retention half of the duty stands whoever produces the statement.

A Nevada broker charges a client an advance fee. Under NRS 645.322, the broker must furnish that client an accounting of how the money was used:

• a.within 30 days after the fee is charged or collected
• b.within 12 months after the fee is charged or collected
• c.within 3 months after the fee is charged or collected✓
• d.only when the client asks for one in writing, and not otherwise

NRS 645.322 provides that "[a]ny person or entity who charges or collects an advance fee shall, within 3 months after the charge or collection, furnish to his or her client an accounting of the use of that money," and adds that the Real Estate Division may also demand an accounting. The duty is automatic and runs from the charge or collection, so it is neither triggered by a client request nor stretched to a year, nor compressed to 30 days. Two neighboring sections complete the topic. NRS 645.323 provides that a person shall not accept an advance fee listing unless licensed as a broker, broker-salesperson or salesperson. NRS 645.324 lets the Commission prescribe the forms of brokerage agreements containing advance-fee provisions and the reports and accounting forms to be kept, requires the licensee to maintain each brokerage agreement for the Division's review and audit, and makes any violation of the Commission's rules, orders or requirements a ground for disciplinary action.

A Nevada broker receives the buyer's earnest-money check when the purchase agreement is accepted. Unless the purchase agreement provides otherwise, NRS 645.630(1)(k) requires the broker to deposit it:

• a.before the end of the next banking day after acceptance of the agreement✓
• b.before the end of the third banking day after acceptance of the agreement
• c.before the end of the fifth calendar day after acceptance of the agreement
• d.at any point before the close of escrow on the transaction

NRS 645.630(1)(k) makes it a ground for discipline for a broker, "[u]pon acceptance of an agreement," to fail "to deposit any check or cash received as earnest money before the end of the next banking day unless otherwise provided in the purchase agreement." One banking day is the rule, acceptance is the trigger, and the parties may vary it only in the purchase agreement itself. The three- and five-day answers overstate the window, and deferring to closing abandons it. NRS 645.310(4) governs where the money goes once it is banked, and makes the broker personally responsible and liable for the deposit at all times; NRS 645.630(1)(j) governs the separate question of accepting something other than cash as earnest money in the first place.

A buyer offers a promissory note rather than cash as earnest money on a Nevada purchase. Under NRS 645.630(1)(j), the licensee may accept it only if:

• a.the owner is told before accepting the offer and the fact is shown in the earnest-money receipt✓
• b.the note is payable within 30 days and is held meanwhile in the broker's trust account
• c.the note is guaranteed by the buyer's lender in a separate written commitment to the seller
• d.the Division approves the substitution before the offer is presented to the property's owner

NRS 645.630(1)(j) makes it a ground for discipline to accept "other than cash as earnest money unless that fact is communicated to the owner before his or her acceptance of the offer to purchase and that fact is shown in the receipt for the earnest money." Two things are required and both are about the owner's knowledge: disclosure before acceptance, and the fact recorded on the receipt. The statute imposes no maturity limit on the instrument, requires no lender guarantee, and involves no Division pre-approval - those answers invent conditions the section does not contain. The rule protects a seller who would otherwise believe cash is in hand when deciding whether to take the offer off the market. Where the deposit is cash or a check, NRS 645.630(1)(k) then governs how quickly the broker must bank it, and NRS 645.310 governs the account it goes into.

A Nevada broker holds rents and earnest money belonging to clients. Under NRS 645.310, that money must be:

• a.deposited promptly in the brokerage's operating account at a bank in this State and tracked by a separate ledger for each client
• b.deposited promptly in a separate account at a bank or credit union in this State, designated a trust account✓
• c.held in the broker's own personal account until the transaction closes or is terminated
• d.remitted to the Real Estate Division, which disburses it when the transaction closes

NRS 645.310(4) requires a broker who receives money belonging to others as a broker to "promptly deposit the money in a separate checking account located in a bank or credit union in this State which must be designated a trust account," and directs that all down payments, earnest money deposits, rents or other money received on behalf of a client or any other person be deposited there unless everyone with an interest in the money has agreed otherwise in writing. Subsection 3 forbids commingling client money or property with the broker's own, and subsection 4 separately forbids letting advance payments belonging to others sit in the broker's business or personal account. The operating-account and personal-account answers are therefore both commingling, which NRS 645.630(1)(h) makes a ground for discipline in its own right. The Division audits trust accounts; it does not hold client money. Trust accounts must designate the broker as trustee and allow withdrawal without previous notice, and under subsection 6 the broker must tell the Division which banks and credit unions hold them and the names of the accounts.

A Nevada seller has signed an acceptance of one offer, but the listing broker does not yet know of it when two further written offers arrive. Under NRS 645.635(8), the broker must:

• a.hold those offers unopened, because the seller's written acceptance ended the duty at once
• b.submit those offers to the seller, because the duty runs until the broker knows of the acceptance✓
• c.return those offers to the offerors with written notice, signed by the seller, that the property is already sold
• d.submit those offers only if the first transaction later fails to close as scheduled

NRS 645.635(8) makes it a ground for discipline to fail "to submit all written bona fide offers to a seller when the offers are received before the seller accepts an offer in writing and until the broker has knowledge of that acceptance," except where the client has waived the duty under NRS 645.254(4). The duty therefore has two endpoints, and the later one controls: the seller's written acceptance alone does not stop it while the broker is still unaware of it. That is the whole point of the phrase "and until the broker has knowledge of that acceptance" - a broker cannot be excused by a fact he does not yet know, and a seller cannot be deprived of an offer that arrived in the gap. Holding the offers, returning them, or waiting to see whether the first transaction closes all leave the seller uninformed during exactly the window the subsection covers. Related timing duties sit alongside it: NRS 645.635(3) requires delivery of a completed copy of any purchase agreement or offer to the purchaser and seller within a reasonable time, and NRS 645.635(7) requires a bona fide offer to be reduced to writing when the proposed purchaser asks for that.

Under NAC 645.650, a Nevada broker must keep complete real estate transaction and property management records for at least:

• a.3 years after the closing or the last activity involving the property
• b.5 years after the date the client signed the brokerage agreement
• c.7 years after the calendar year in which the commission was reported
• d.5 years after the closing or the last activity involving the property✓

NAC 645.650(1) requires a broker to "keep complete real estate transaction and property management records for at least 5 years after the date of the closing or the last activity involving the property, including, without limitation, offers that were not accepted and transactions that were not completed, unless otherwise directed by the Division." Two details in that sentence are commonly missed: the clock starts at closing or last activity, not at the signing of the brokerage agreement, and the duty covers files that never became transactions at all. Three and seven years are not the period, and a commission-reporting year is not the trigger. Subsection 2 supplies the other clock in the same regulation: a salesperson or broker-salesperson must provide any paperwork to the broker with whom he or she is associated "within 5 calendar days after that paperwork is executed by all the parties." A different and shorter retention rule applies to subdivision sales under NRS 119.182(1).

Under NAC 645.655, where must a Nevada broker's complete record of each real estate transaction be kept, and what must the broker do before moving those records?

• a.In this State, and obtain the Division's written approval before removing them
• b.Anywhere in the United States, and notify the Division in writing within 10 days of the move
• c.In this State, and give the Division written notice of the new location before removing them✓
• d.At the broker's principal office only, and file an amended license application before moving

NAC 645.655(2) requires that a complete record of each real estate transaction, together with the records NRS 645.310 requires, be "[k]ept in this State" and "[o]pen to inspection and audit by the Division upon its request during its usual business hours, as well as other hours during which the licensee regularly conducts his or her business." Subsection 4 supplies the moving rule: the broker "shall give written notice to the Division of the exact location of the records of the real estate broker and shall not remove them until he or she has delivered a notice which informs the Division of the new location." Notice before the move, not approval, and not notice after the fact. Subsection 3 adds that where records are stored electronically the broker must make the computer or other equipment available for the Division's inspection or audit, and subsection 1 requires each transaction to be numbered consecutively or indexed so that an audit is possible. NRS 645.195 obliges the Division to inspect brokers' transaction files, trust records and business accounts regularly, and NAC 645.645 requires the broker on demand to supply the documents and permissions an inspection needs.

A Nevada broker manages rental houses for several owners. Under NAC 645.655(8), the brokerage's property management money must be held in:

• a.two trust accounts distinct from its other trust accounts, one for rental operations and one for security deposits✓
• b.one trust account distinct from its other trust accounts, holding rents and security deposits together
• c.one trust account for each client owner, kept distinct from the accounts held for the brokerage's other client owners
• d.the brokerage's general trust account, with a separate ledger maintained for each managed unit

NAC 645.655(8) requires a broker engaged in property management for one or more clients to "maintain two separate property management trust accounts distinct from any trust account that the real estate broker may have for other real estate transactions. One trust account must be used solely for activities relating to rental operations, and the other trust account must be used solely for security deposits." Two accounts, and both walled off from the brokerage's ordinary transaction trust account - so a single combined account, an account per owner, and a ledger inside the general trust account all fall short. The ledger requirement is real but sits on top of the account structure rather than replacing it: the broker must keep a ledger account for each unit managed, whether or not one client owns several, with all rents and deposits for a unit deposited into and credited to the corresponding account and all authorized repairs and expenses paid out of that ledger. For this purpose a "unit" means one single-family dwelling unit.

Under NRS 645.310(5) and NAC 645.655(9), a Nevada broker who maintains a trust account must:

• a.balance it monthly, reconcile it within 30 days of the bank statement, and file an annual accounting✓
• b.balance it quarterly, reconcile it within 60 days of the bank statement, and file a quarterly accounting
• c.balance it annually, reconcile it within 90 days of the bank statement, and file a biennial accounting
• d.balance it monthly, reconcile it within 10 days of the bank statement, and file a monthly accounting

NRS 645.310(5) requires a broker to keep records of all money deposited in a trust account showing the date and source of each receipt, the date of deposit, the dates of withdrawals and for whose account the money is held; to "balance each separate trust account at least monthly"; and to "provide to the Division, on a form provided by the Division, an annual accounting which shows an annual reconciliation of each separate trust account." NAC 645.655(9) adds the reconciliation deadline: property management and transaction trust accounts "must be reconciled monthly by the real estate broker or the designee of the real estate broker within 30 days after receipt of the bank statement." Monthly, 30 days, annual filing - the other combinations change at least one of the three. The same subsection carries a consequence a broker should know: permitting any trust account, including any ledger account, to fall into deficit and stay there for more than 45 consecutive days in one year exposes the broker to discipline under NRS 645.633(1)(h). Failing to balance monthly or to submit the annual accounting is itself a ground for action under NRS 645.630(1)(g).

A Nevada broker sells lots in a registered subdivision. Under NRS 119.182(1), the purchaser's signed receipt for the required information, together with copies of the contracts and agreements, must be kept in the broker's files within Nevada for:

• a.5 years after the closing or the last activity involving the property, as for other transactions
• b.3 years, or 1 year after final payment has been made on the contract, whichever is longer✓
• c.1 year, or 3 years after final payment has been made on the contract, whichever is shorter
• d.7 years after the Division approves the subdivision's advertising under NRS 119.184

NRS 119.182(1) requires the information submitted under NRS 119.140 to be given to and reviewed with each purchaser by the broker or salesperson before the execution of any contract of sale, and requires the broker to obtain the purchaser's signed receipt for a copy of it. Where a contract for disposition is entered into, "the receipt and a copy of all contracts and agreements must be kept in the broker's files within the State of Nevada for 3 years or 1 year after final payment has been made on any contract for the sale of property, whichever is longer," subject to inspection and audit as the Division's regulations prescribe. That is a different clock from the general retention rule in NAC 645.650, which is exactly why it is worth knowing separately - a broker who applies the general rule to a subdivision file has applied the wrong one. The reversed "whichever is shorter" version inverts the statute, and the Division's advertising approval under NRS 119.184 starts no retention period. Subsection 2 gives the purchaser of a non-exempt subdivision interest an unwaivable right to cancel by written notice until midnight of the fifth calendar day following execution of the contract, and subsection 4 gives the developer 15 days after receiving that notice to return all payments.

A Nevada timeshare purchaser cancels the contract within the statutory period. Under NRS 119A.410, the developer must return all payments the purchaser made within:

• a.20 days after receipt of the notice of cancellation✓
• b.15 days after receipt of the notice of cancellation
• c.30 days after receipt of the notice of cancellation
• d.5 days after receipt of the notice of cancellation

NRS 119A.410(4) provides that "[t]he developer shall, within 20 days after receipt of the notice of cancellation, return all payments made by the purchaser." The 15-day answer is the corresponding figure for a subdivision sale under NRS 119.182(4) - a real Nevada deadline attached to the wrong chapter, which is the trap. Subsection 1 gives the purchaser the right to cancel by written notice "until midnight of the fifth calendar day following the date of execution of the contract," and requires the contract to state that right; subsection 2 makes the right unwaivable and renders the contract voidable by the purchaser if the developer attempts to obtain a waiver; and subsection 3 allows the notice to be delivered personally, sent by certified mail return receipt requested, or sent by express, priority or recognized overnight service with proof of service. Under NRS 119A.400, the project broker or sales agent must review the approved public offering statement with each prospective purchaser before any contract is executed and obtain a signed receipt, and where a contract is signed the project broker must keep that receipt for 3 years. NRS 119A.420 requires purchaser deposits to be held in escrow until the cancellation right has expired unescercised, unless a surety bond satisfactory to the Division is posted instead.

The buyer of Nevada ranch land is also conveyed the seller's permit to appropriate water. Under NRS 533.384, the buyer must:

• a.file a report of conveyance, including an abstract of title, with the county recorder
• b.apply to the State Engineer for a new permit to appropriate the same water
• c.file a report of conveyance, including an abstract of title, with the State Engineer✓
• d.record the deed only, since a water right always passes automatically with the land

NRS 533.384(1)(a) requires a person to whom an application or permit to appropriate public waters, a certificate of appropriation, an adjudicated or unadjudicated water right, or an application or permit to change the point of diversion, manner of use or place of use is conveyed to file with the State Engineer, together with the prescribed fee, "a report of conveyance" containing an abstract of title, a copy of any deed, written agreement or other document pertaining to the conveyance, and any other information the State Engineer requests. The filing goes to the State Engineer, not the county recorder, and it reports an existing right rather than applying for a new permit. Paragraph (b) adds a second filing with the irrigation district where the place of use lies wholly or partly within one. The State Engineer's confirmation of the report is not a determination of ownership - NRS 533.386 says only a court can decide that - and the confirmation does not establish the actual quantity of water the right yields. The underlying framework is NRS 533.025: "[t]he water of all sources of water supply within the boundaries of the State whether above or beneath the surface of the ground, belongs to the public."