Minnesota Real Estate Salesperson Exam — All Questions

All Property Ownership Land Use Controls and Regulations Valuation and Market Analysis Financing Contracts Agency Property Disclosures Transfer of Title Practice of Real Estate Property Management Real Estate Calculations Minnesota License Law Minnesota Agency Relationships Minnesota Real Estate Practice Minnesota Licensing Requirements

3 questions

Minnesota License Law

Which state agency licenses and regulates real estate salespersons and brokers in Minnesota?

a.The Minnesota Department of Labor and Industry
b.The Minnesota Real Estate Board within the Attorney General's office
c.The Minnesota Department of Commerce✓
d.The Minnesota Association of Realtors

Real estate licensing in Minnesota is administered by the Minnesota Department of Commerce under Minnesota Statutes Chapter 82. The Commissioner of Commerce issues, renews, and disciplines licenses. A trade association such as the Minnesota Association of Realtors is a private membership group and has no licensing authority.

Minnesota License Law

In Minnesota, a real estate salesperson's license authorizes the licensee to act only when:

a.Employed by and acting on behalf of a licensed real estate broker✓
b.Working independently as long as the license is active
c.Approved individually for each transaction by the Department of Commerce
d.Registered with the local county recorder

Under Minnesota's license law, a salesperson may perform licensed real estate activity only for and in the name of the licensed broker who employs and supervises the salesperson. A salesperson cannot operate independently or accept compensation directly from a client; commissions flow through the employing broker.

Minnesota License Law

The Minnesota Real Estate Education, Research, and Recovery Fund primarily exists to:

a.Pay the operating budget of the Department of Commerce
b.Reimburse members of the public who suffer an actual monetary loss from certain licensee misconduct✓
c.Provide low-interest loans to first-time homebuyers
d.Fund the marketing efforts of licensed brokerages

The Recovery Fund compensates consumers who obtain a final court judgment against a licensee based on fraud, misrepresentation, or deceit in a licensed transaction and cannot otherwise collect. When the fund pays a claim, the licensee's license is suspended until the fund is repaid with interest. It is not a general operating or lending fund.