Kansas Real Estate Salesperson Exam — All Questions
16 questions
Which agency licenses and regulates real estate salespersons and brokers in Kansas?
- a.The Kansas Association of Realtors
- b.The Kansas Department of Revenue
- c.The Kansas Real Estate Commission✓
- d.The Kansas Corporation Commission
Real estate licensing in Kansas is administered by the Kansas Real Estate Commission (KREC) under the Kansas real estate license law. The Commission issues, renews, and disciplines licenses and enforces the license law and the Brokerage Relationships in Real Estate Transactions Act. A trade association such as the Kansas Association of Realtors is a private group with no licensing authority.
The Kansas Real Estate Recovery Revolving Fund exists primarily to:
- a.Reimburse a consumer for an actual loss from certain fraudulent acts of a licensee when a court judgment cannot be collected✓
- b.Guarantee the resale value of listed properties
- c.Provide grants to real estate schools
- d.Pay the Commission's staff salaries
The Kansas Real Estate Recovery Revolving Fund (K.S.A. 58-3066 et seq.) may reimburse a member of the public who obtains a final judgment against a licensee for an actual loss caused by fraud, misrepresentation, deceit, or conversion of funds in a real estate transaction and who cannot otherwise collect, subject to statutory limits. When the fund pays a claim in satisfaction of a judgment, the licensee's license is revoked and is not reinstated until the fund is repaid. It is not an insurance, guaranty, or grant program.
In Kansas, a salesperson may perform licensed real estate activity only when:
- a.Affiliated with and supervised by a licensed supervising broker✓
- b.Working independently once the license is issued
- c.Individually approved by KREC for each sale
- d.Registered with the local register of deeds
A Kansas salesperson's license is valid only while the salesperson is affiliated with and supervised by a licensed broker. All licensed activity is conducted for the broker, who is responsible for supervision and trust funds. A salesperson may not be paid a commission directly by a consumer; compensation is paid through the supervising broker.
Two buyers were defrauded in the same Kansas closing and both won judgments against the licensee. What is the total the Kansas Real Estate Recovery Revolving Fund can pay on that one transaction?
- a.$15,000✓
- b.$30,000, the annual cap per licensee
- c.$50,000, the lifetime cap per licensee
- d.$25,000
Payments for claims arising out of the same transaction are limited in the aggregate to $15,000 regardless of how many claimants or parcels are involved, and a single claimant's recovery is capped at the same figure. Cite: K.S.A. 58-3067(b) and 58-3069(c) (limits set by L. 2008, ch. 155).
Kansas caps what the Recovery Revolving Fund will pay out on judgments against any one licensee. Those caps are:
- a.$15,000 each year and $30,000 in total
- b.$25,000 each year and $75,000 in total
- c.$30,000 a year and $50,000 in total✓
- d.$50,000 a year with no lifetime limit
Payments on judgments against any one broker or salesperson may not exceed $30,000 in any calendar year, and may never exceed $50,000 in the aggregate. Cite: K.S.A. 58-3067(c) (amounts set by L. 2008, ch. 155).
What happens when the balance in the Kansas Real Estate Recovery Revolving Fund drops below $100,000?
- a.Payments from the fund stop for that year
- b.Every broker is assessed $10 and every salesperson $5✓
- c.The legislature must appropriate the shortfall
- d.License renewal fees double until it is restored
The commission must assess each licensed broker $10 and each licensed salesperson $5 without delay, and a licensee who does not pay within 30 days of the mailed notice may have the license suspended until it is paid. Cite: K.S.A. 58-3066(b).
A consumer holds a final Kansas judgment against a licensee and wants to claim from the Recovery Revolving Fund. How long does she have?
- a.Six months after the judgment
- b.One year after the judgment
- c.Three years after the judgment
- d.Two years after the judgment✓
The claim must be made within two years after the date final judgment is entered, and the claimant must also have executed on the judgment and searched for assets without being made whole. Cite: K.S.A. 58-3068(b)(2).
Kansas lets the commission spend the Recovery Revolving Fund on consumer education and an agency newsletter only above a stated balance. What is that balance?
- a.$250,000✓
- b.$100,000
- c.$500,000
- d.$1,000,000
Any amount over $250,000 may be used for the agency newsletter, monitoring education courses, expanded consumer materials, and education grants to schools for money-management and home-ownership course materials. Cite: K.S.A. 58-3068(d).
How long may a Kansas real estate license run before it expires?
- a.One year from issuance or renewal
- b.Three years from issuance or renewal
- c.Not more than two years from issuance✓
- d.Until the licensee deactivates it
Each license expires on a date set by commission schedule, which may be no more than two years from the date of issuance or renewal. Cite: K.S.A. 58-3045(a).
A Kansas salesperson forgot to renew and the license expired. What does the statute allow?
- a.Late renewal within 30 days with a $25 late fee
- b.Late renewal within six months with a $100 late fee✓
- c.Late renewal within one year with a $50 late fee
- d.Late renewal within two years with no late fee
The commission may reinstate and renew an expired license if the licensee applies within six months of the expiration date and pays the renewal fee plus a $100 late fee. Cite: K.S.A. 58-3045(c).
A Kansas license has sat on deactivated status for four straight years. What extra education is required to reinstate it?
- a.None beyond the current renewal period
- b.A repeat of the 30-hour principles course
- c.Twelve added hours for each full year deactivated
- d.Six added hours for each full year deactivated✓
A license deactivated more than two but not more than five years is reinstated on proof of six additional approved hours for each full year on deactivated status, plus the reinstatement fee and application. Cite: K.S.A. 58-3047(f).
What changes once a Kansas license has been deactivated for a continuous period of more than five years?
- a.The licensing examination must be retaken✓
- b.The license can no longer be reinstated at all
- c.The licensee must apprentice under a broker for a year
- d.The licensee must pay a double reinstatement fee
Beyond five years of continuous deactivation the licensee must pass the examination required of an original applicant and show six additional approved hours for each full year of deactivation. Cite: K.S.A. 58-3047(g).
What licensed experience does Kansas normally require of an applicant for an original broker's license?
- a.One year of active licensure immediately before applying
- b.Three continuous years as a Kansas salesperson
- c.Two years of activity within the preceding three years✓
- d.Four years of activity within the preceding six years
The applicant must have been licensed as a salesperson in Kansas or as a salesperson or broker elsewhere and actively engaged in licensed activity at least two years during the three years immediately preceding application, although the commission may accept equivalent experience or education. Cite: K.S.A. 58-3039(d) and (e).
A Kansas candidate passed both portions of the license examination but has not yet filed the application. How long do those results stay usable?
- a.Three months
- b.Six months✓
- c.One year
- d.Two years
No license may be issued on an examination if either portion was administered more than six months before the commission receives the application. Cite: K.S.A. 58-3039(f)(3).
What are the basic personal qualifications for any Kansas real estate license?
- a.At least 21 years old and a Kansas resident
- b.At least 18 years old and a Kansas resident
- c.At least 21 years old with a college degree
- d.At least 18 years old with a high school diploma✓
A broker's or salesperson's license may be granted only to a person 18 or more years of age who holds a high school diploma or its equivalent; residency is not a condition. Cite: K.S.A. 58-3039(c).
Four Kansas licensees form an LLC to run their brokerage. How does the Kansas license act treat the LLC itself?
- a.No license is granted to the entity✓
- b.The entity holds the firm license
- c.The entity is licensed as an associate broker
- d.The entity is licensed once every member is licensed
Kansas licenses only individuals. No license is granted to an association, corporation, limited liability company, limited liability partnership, partnership or professional corporation, and each owner, officer, member or employee doing licensed acts must personally hold a license. Cite: K.S.A. 58-3042(b).