Mississippi Real Estate Salesperson Exam — All Questions
11 questions
Which agency issues and regulates real estate licenses in Mississippi?
- a.The Mississippi Secretary of State
- b.The Mississippi Association of Realtors
- c.The Mississippi Real Estate Commission✓
- d.The county chancery clerk
Real estate licensing in Mississippi is administered by the Mississippi Real Estate Commission (MREC) under the state's real estate license law, Miss. Code Title 73, Chapter 35. The Commission issues, renews, and disciplines licenses and adopts the rules that govern practice. A trade association such as the Mississippi Association of Realtors is a private group with no licensing authority.
In Mississippi, a salesperson may perform licensed real estate activity only when:
- a.Placed with and supervised by a licensed responsible broker✓
- b.Registered with the local tax assessor
- c.Approved by MREC for each individual transaction
- d.Operating independently under the salesperson's own license
A Mississippi salesperson's license is valid only while the salesperson is placed with and supervised by a licensed responsible broker. All licensed activity is conducted for the responsible broker, who supervises the salesperson and is responsible for trust funds. A salesperson may not accept compensation directly from a consumer; commissions are paid through the responsible broker.
The Mississippi Real Estate Commission may discipline a licensee for which of the following?
- a.Commingling client trust funds with the broker's own funds✓
- b.Referring a buyer to a licensed lender
- c.Advertising a listing with the seller's consent
- d.Belonging to a Realtor association
Commingling or converting client trust money is a serious violation of Mississippi license law and a common basis for discipline, along with fraud, misrepresentation, and dishonest dealing. MREC may reprimand, fine, suspend, or revoke a license after due process. Lawful referrals, association membership, and authorized advertising are not violations.
A Mississippi buyer asks the broker whether the seller's deed conveys good title. The broker may:
- a.give an opinion on the validity of title if the broker says it is not legal advice
- b.not give an opinion on title, though an earnest money contract form may be used✓
- c.prepare a deed for the parties if neither side has hired an attorney
- d.charge a separate fee for reviewing the title work before closing
A Mississippi broker who is not a licensed attorney may not practice law, act as a public conveyancer, give opinions on the legal effect of instruments or the validity of title, or prepare documents fixing the parties' legal rights; the broker may use an earnest money contract form and may not discourage a party from hiring an attorney. Cite: Miss. Code Ann. sec. 73-35-21(2) (MREC License Law, rev. 7-01-2026).
An individual is convicted of a FIRST violation of Mississippi's real estate license law. The statutory penalty is:
- a.a fine of not more than $500, with no possibility of jail
- b.a fine of $2,000 to $5,000, or six months in jail, or both
- c.a fine of $1,000 to $2,000, or six months in jail, or both
- d.a fine of $500 to $1,000, or up to 90 days in jail, or both✓
On conviction of a first violation an individual is punished by a fine of not less than five hundred dollars ($500) nor more than one thousand dollars ($1,000), or imprisonment not to exceed ninety (90) days, or both; the higher ranges apply to corporations and to second or subsequent violations. Cite: Miss. Code Ann. sec. 73-35-31(1) (MREC License Law, rev. 7-01-2026).
An unlicensed person in Mississippi collects a $9,000 commission in violation of the license law. In addition to criminal penalties, that person may be liable to an aggrieved party for:
- a.not less than the sum received and not more than four times it✓
- b.the sum received plus interest at the legal rate from the date paid
- c.twice the sum received, as liquidated damages fixed by statute
- d.the sum received, but only if the Commission first holds a hearing
A person who received money as commission, compensation or profit in consequence of a violation is liable to a penalty of not less than the sum received and not more than four (4) times that sum, as the court determines, recoverable by any aggrieved person for that person's own use and benefit. Cite: Miss. Code Ann. sec. 73-35-31(2) (MREC License Law, rev. 7-01-2026).
Mississippi's seller property condition disclosure statute applies to a transfer of residential property:
- a.of one to four dwelling units, whether or not a licensee is involved
- b.of any number of dwelling units when a licensee aids the transfer
- c.of one to four dwelling units, when a licensee aids the transfer✓
- d.of one to two dwelling units occupied by the seller as a residence
The disclosure requirement reaches transfers of real property, or a residential stock cooperative, improved with or consisting of not less than one (1) nor more than four (4) dwelling units, when the transfer is executed by, or with the aid of, a duly licensed real estate broker or salesperson. Cite: Miss. Code Ann. sec. 89-1-501(1) (MREC License Law, rev. 7-01-2026).
A Mississippi seller hands the buyer the property condition disclosure statement in person two days AFTER the buyer's offer was executed. The buyer may terminate the offer:
- a.within 24 hours of delivery of the disclosure statement
- b.within three (3) days of delivery in person✓
- c.within five (5) days of delivery in person
- d.only if the disclosure reveals a material physical defect
Where a required disclosure, or a material amendment of one, is delivered after execution of an offer to purchase, the transferee has three (3) days after delivery in person, or five (5) days after delivery by deposit in the mail, to terminate the offer by written notice to the transferor or the transferor's agent. Cite: Miss. Code Ann. sec. 89-1-503(1) (MREC License Law, rev. 7-01-2026).
Who determines the structure and composition of the Mississippi seller's property condition disclosure form?
- a.The Legislature, in the statute
- b.The listing broker, subject to review by the closing attorney
- c.The Mississippi Association of REALTORS, by annual publication
- d.The Mississippi Real Estate Commission✓
The required disclosures must be set forth on a copy of a disclosure form whose structure and composition are determined by the Mississippi Real Estate Commission. Cite: Miss. Code Ann. sec. 89-1-509 (MREC License Law, rev. 7-01-2026).
A Mississippi seller leaves several items on the property condition disclosure statement blank. As to the information required by the disclosure statute, the real estate licensee involved:
- a.is not subject to discipline by any Mississippi licensing authority✓
- b.must complete the missing items from the licensee's own knowledge
- c.must refuse to present offers until the seller completes the form
- d.is jointly liable with the seller for any resulting damages
Where the transferor fails to deliver or fails to complete part of the statement, the prospective transferee is on notice to inquire, and notwithstanding any other law no real estate licensee is subject to discipline or other action by a Mississippi licensing authority over information required to be disclosed, or its delivery. Cite: Miss. Code Ann. secs. 89-1-503(2) and 89-1-523(2) (MREC License Law, rev. 7-01-2026).
Which transfer is expressly EXCLUDED from Mississippi's property condition disclosure requirements?
- a.A sale of a rented single-family house the seller has never occupied
- b.A sale of a duplex by an owner who lives in one of the two units
- c.A sale of vacant land on which no dwelling is located✓
- d.A sale of a three-unit building to a first-time buyer
The statute lists specific exclusions, including transfers pursuant to court order, foreclosure and deed-in-lieu transfers, fiduciary transfers, transfers between co-owners or family members, transfers to or from a governmental entity, and transfers of real property on which no dwelling is located. Cite: Miss. Code Ann. sec. 89-1-501(2)(h) (MREC License Law, rev. 7-01-2026).