MN portion

In order to enforce an override clause, the broker must furnish their former client a protective list within ___ hrs.

72

The percentage penalty rate applied to delinquent property taxes is based upon all of the following EXCEPT A) assessed value of the property. B) date of tax payment. C) homestead classification. D) postmark on the tax statement envelope.

A) assessed value of the property.

A licensed broker must retain copies of representation contracts, facilitation agreements, and trust account transaction records for at least A) six years. B) three years. C) seven years. D) five years.

A) six years.

All of the following would be subject to the Minnesota Common Interest Ownership Act EXCEPT A) a planned community. B) a condominium. C) a cooperative. D) a fourplex.

D) a fourplex.

For a selling sales person to receive an offer with a promissory note for earnest money, the sales person must

receive the seller's permission to accept a promissory note.

The maximum amount of the real estate education, research and recovery fund per individual licensee

$250,000

The mortgage registry tax

0.23% of mortgage amount paid by buyer

The Minnesota state deed/transfer tax

0.33% of the sales price paid by seller

Broker needs to report address change to the Commissioner of Commerce within ____ days

10

Licensee who has been charged with a felony must notify the Commissioner of Commerce within ____ days of learning of the charges.

10

Aboveground commercial fuel storage tank will be removed from the property. The PCA commissioner must receive notice at least _____ days _____.

10, beforehand

The landlord must return the deposit with an explanation and give the tenant notice of the intent to dispose of the personal property within how many days?

21 days for the deposit and 14 days' notice to dispose of personal property

Septic tank certificate of compliance is good for

3 years

The principal (primary) broker at XYZ Realty has died. The commissioner may issue a temporary permit to a qualified salesperson that will last how many days?

45 days

What type property would have a 12-month statutory redemption period

45-acre parcel

Loan broker receives an advance payment from a client to be applied toward the discount point and closing costs for a loan. The loan broker must deposit the fees within ____ in an ____ account.

48 hours, escrow

A developer purchased an apartment building and plans to convert the building into a condominium project. The developer must give the tenants an option to purchase the unit they occupy for at least how long after delivery of the notice to vacate?

60 days. To vacate, 120 days' notice.

Which of these contracts does Minnesota law require to be in writing? A) 1-year lease in a 12-unit apartment building B) 1-year lease in an office building C) None of these D) 1-year retail lease in a shopping center

A) 1-year lease in a 12-unit apartment building While the Minnesota statute of frauds allows verbal leases of 12 months or less, Minnesota landlord-tenant law requires all leases in residential buildings with 12 or more units to be written.

In order to enforce the statutory new home warranty, the homeowner must report to the contractor in writing within how long after the homeowner discovers (or should have discovered) the defect? A) 6 months B) 12 months C) 120 days D) 24 months

A) 6 months New homeowners have six months, sometimes referred to as 180 days, to notify the contractor in writing after discovering a defect.

In which of these circumstances would the seller be required to provide a written seller's property disclosure? A) A bank selling a property acquired through foreclosure B) Selling to a tenant currently in possession of the property C) Giving the property to a family member D) Selling a commercial property

A) A bank selling a property acquired through foreclosure The other three choices are exemptions to the seller disclosure requirement. A lender selling a bank-owned property, however, is not exempt from the disclosure requirement.

Under Minnesota real estate law, which of the following would be required to have a real estate license? A) Any person or entity that negotiates, lists, sells, and manages real property B) Any person or entity that sells, lists, exchanges, and manages personal property C) Any person or entity that appraises, lists, and exchanges personal property D) Any person or entity that sells, lists, and exchanges mobile homes not attached to land

A) Any person or entity that negotiates, lists, sells, and manages real property

he seller has accepted an offer in which the buyer will present a diamond brooch in lieu of earnest money. The seller had informed the listing salesperson the seller would accept offers accompanied by $5,000 earnest money. What should the listing salesperson do? A) Have the broker hold the brooch in a safe-deposit box B) Have the buyer and an escrow agent sign an escrow agreement C) Hold the brooch until closing D) Have the brooch appraised and have the buyer sign a promissory note for any shortages

A) Have the broker hold the brooch in a safe-deposit box When a nondepositable item is accepted as an earnest deposit, the licensee must make certain that the item is held by an escrow agent and a written escrow agreement is signed by the escrow agent and the buyer.

A tenant has agreed to buy the home she rents. The seller signed a purchase agreement but did not fill out a real property disclosure form. Is this legal? A) No, because a seller's disclosure is always required in residential transactions. B) Yes, because disclosures are not required for rental properties. C) No, because disclosure is required if no real estate agents were involved. D) Yes, because the buyer is a tenant.

A) No, because a seller's disclosure is always required in residential transactions.

A residential property disclosure is required by a seller in which of these situations? A) Seller is selling property "as is" B) Property is being gifted C) Qualified third party has inspected the property D) Selling the property to a current tenant

A) Seller is selling property "as is"

A licensee discriminating against a buyer based on marital status and sexual orientation is violating what fair housing laws? A) State only B) Federal only C) Federal and state D) Neither federal nor state

A) State only

A buyer, who bought a property using a contract for deed, lost her job and subsequently defaulted on the contract. How can the seller end the contract for deed? A) Termination B) Foreclosure C) Cancellation D) Equitable redemption

A) Termination

Holdover means

Automatic renewal

How long in effect is the implied warranty of being free from defects caused by faulty workmanship and defective materials under the Minnesota statutory new home warranty law? A) 2 years B) 1 year C) 5 years D) 10 years

B) 1 year

The acreage allowed in a homestead exemption may not exceed A) 320 acres. B) 160 acres. C) 240 acres. D) 640 acres.

B) 160 acres. An owner cannot obtain a homestead exemption on more than 160 acres in Minnesota.

A homeowner and a contractor entered into a verbal agreement for the construction of a deck. The contractor has not been paid. In order for the contractor to file a lien, which of the following must be TRUE? A) The contractor has the right to serve and file a lien notice up to 120 days after the work was completed. B) A lien notice must be hand-delivered or sent via certified mail to the owner within 10 days of the verbal agreement. C) The contractor may file a lien within 120-days after placing the lien notice in a newspaper or publication of record. D) A lien notice must be posted at the property within 10 days of the agreement.

B) A lien notice must be hand-delivered or sent via certified mail to the owner within 10 days of the verbal agreement. The contractor has up to 120 days after the work has been completed to actually file the lien, as long as the contractor provided proper written lien notice initially.

Which of these is a common interest community? A) Two investors co-own an apartment building as tenants in common B) A planned community C) Co-ownership of a single-family home as joint tenants D) Multi-unit residential property

B) A planned community A planned community is often a mixed-use residential development on a single parcel of land, generally offering detached units, townhomes, and condos.

Large real estate firms must include which of the following on all representation and purchase agreement forms? A) Disclosure of any affiliated business arrangement B) Dual agency disclosure and a provision for consent C) A statement explaining dual agency D) Property disclosure statement

B) Dual agency disclosure and a provision for consent

A salesperson obtained a license by claiming he had attended Courses I, II, and III, when in fact, a friend actually did the work and misrepresented the salesperson's attendance. Which of the following is TRUE? A) Because the license has been issued, the commissioner may not retroactively act to suspend or revoke the license; however, the commissioner may disallow renewal. B) The commissioner may suspend or revoke the license or censure the licensee. C) The commissioner will fine the licensee a minimum of $20,000 per violation. D) The commissioner may issue a warrant for the licensee's arres

B) The commissioner may suspend or revoke the license or censure the licensee.

After a salesperson completes all required continuing education, who actually renews the salesperson's license? A) The Minnesota Association of REALTORS® B) The salesperson's broker C) The salesperson D) The Department of Commerce

B) The salesperson's broker

According to the Minnesota Statute of Frauds, which of the following is NOT true? A) A commercial lease of 12 months or less doesn't need to be in writing to be enforced. B) To enforce a lease, it must be in writing. C) A residential lease exceeding 12 months must be in writing. D) To be enforced, a residential lease of up to 12 months doesn't need to be in writing, provided the unit being rented is in a building containing fewer than 12 units.

B) To enforce a lease, it must be in writing.

All of these would be considered commingling EXCEPT A) a property manager depositing management fees in the trust account. B) a broker depositing a commission check in the broker's personal account. C) a salesperson depositing a referral fee in the trust account. D) a broker placing earnest money in the brokerage business account.

B) a broker depositing a commission check in the broker's personal account. Commissions and management fees belong to the broker, and may be deposited anywhere but the trust account.

A salesperson working for BCD Realty has decided to leave BCD to work with WXY Realty. The process that the salesperson must use is called A) a facilitator. B) an automatic transfer. C) a dual agency agreement. D) a license application.

B) an automatic transfer.

The Minnesota Department of Commerce promulgates real estate license law by performing all these functions EXCEPT A) issuing licenses. B) investigating ethics complaints. C) conducting investigative hearings. D) disciplining licensees.

B) investigating ethics complaints. The Minnesota Department of Commerce enforces real estate license law, and may only investigate license law violations. Ethics complaints may be directed to the Minnesota Association of REALTORS®.

Upon completion of a transaction, a listing broker received a commission check from the seller. The commission check must be deposited in A) the salesperson's trust account. B) the broker's private account. C) the company's trust account. D) the broker's trust account.

B) the broker's private account.

In the event of mortgage default, each of these properties would have a six-month statutory redemption period EXCEPT A) a 9-acre hobby farm. B) when 20% of the mortgage balance has been paid off. C) 120 acres of hunting land. D) a 10-acre residential lot.

C) 120 acres of hunting land. The six-month statutory redemption period is extended if the mortgage was more than one-third paid off, the property is more than 40 acres, or the property is more than 10 acres and is in agricultural use.

How many properties is a builder allowed to sell within a 12-month period without having a real estate license or licensee representation? A) 40 properties B) 50 properties C) 25 properties D) 20 properties

C) 25 properties Builders who sell no more than 25 units per year are not required to have a real estate license. However, builders do need to have a license to sell more than 25 units. Most builders obtain a limited broker's license to fulfill this requirement.

When funds have been paid out of the Real Estate Education, Research, and Recovery Fund (REERRF) on behalf of a licensee, the commission will employ all these remedies against a licensee EXCEPT A) suspending the licensee's license. B) posting of a $40,000 bond. C) 30 hours of community service. D) requiring repayment of twice the amount paid by the fund and 12% interest.

C) 30 hours of community service. The licensee's license is suspended, and the commissioner will require repayment of twice the amount having been paid out of the fund to be repaid with 12% interest and a $40,000 bond be posted. It is at that time the commissioner will consider reinstatement of the licensee's license.

If a buyer or seller, without real estate licensee representation, wishes to participate in ______ or more transactions in any 12-month period, that buyer or seller would either have to hire a real estate licensee or become licensed. A) 10 B) 15 C) 5 D) 20

C) 5

Which of these would be required to hold a real estate license under Chapter 82 of the Minnesota statutes? A) An auctioneer working for an attorney B) The owner-manager of a 300-unit apartment C) A neighbor managing your rental house for a fee D) A caretaker showing apartments to perspective tenants

C) A neighbor managing your rental house for a fee

Mary works as a salesperson for Sold Realty and would like to make an offer on one of the brokerage's listing. Which of the following is TRUE? A) Mary would not be entitled to earn a commission on a property she purchases that is listed by her brokerage. B) Mary will need to have the primary broker draft and present the purchase offer to the seller. C) Mary must disclose the fact that she will have a future financial interest in the property as a result of such a sale. D) Mary is not allowed by law to purchase any of the brokerage's listings.

C) Mary must disclose the fact that she will have a future financial interest in the property as a result of such a sale. Licensees must always disclose their licensed status, as well as any present and future financial interest they may have in a property.

Which fair housing law includes receipt of public assistance as a protected fair housing category? A) Federal Fair Housing Act and Minnesota Human Rights Act B) Federal Fair Housing Act C) Minnesota Human Rights Act D) Neither Federal Fair Housing Act nor Minnesota Human Rights Act

C) Minnesota Human Rights Act Receipt of public assistance is not protected under federal law.

A residential property disclosure is required by a seller in which of these situations? A) Selling the property to a current tenant B) Qualified third party has inspected the property C) Seller is selling property "as is" D) Property is being gifted

C) Seller is selling property "as is"

A seller is required to make all of the following disclosures EXCEPT A) a methamphetamine disclosure. B) a well and septic disclosure. C) a seller's disclosure, provided a qualified third-party inspector's report is made available to a purchaser. D) a radon disclosure.

C) a seller's disclosure, provided a qualified third-party inspector's report is made available to a purchaser.

A salesperson working with a buyer for the first time must give the buyer a disclosure that includes A) a notice of dual agency, including seller, buyer, and broker signatures. B) a disclosure of affiliated business arrangements. C) a statement regarding dual agency. D) a consent of agency representation.

C) a statement regarding dual agency.

After receiving a default notice, the borrower may stop foreclosure before the sheriff's sale by working out an agreement with the lender, such as a mortgage modification or a payment plan to pay off the past-due amount. The time between receiving the default notice and the foreclosure sale is known as A) statutory redemption. B) the reconciliation period. C) equitable redemption. D) equitable title.

C) equitable redemption. The equitable redemption period occurs after receipt of notice of default and before the foreclosure sheriff's sale auction. The statutory redemption period occurs after the auction.

Regardless of the size, depth, or style of well, sellers must disclose the existence, location, and status of all capped and sealed wells and any wells currently in use on a property A) at the time of settlement. B) at the time of inspection. C) prior to accepting or signing an offer. D) prior to showing the property to a buyer.

C) prior to accepting or signing an offer.

The statutory redemption period is 12 months under all of these circumstances EXCEPT A) the property is more than 10 acres and used for agriculture. B) the mortgage is more than one-third paid off. C) the property is abandoned. D) the property is more than 40 acres.

C) the property is abandoned. The statutory redemption period for abandoned property is five weeks. If a property meets certain statutory requirements, the lender may ask the courts to declare the property abandoned, allowing the shortened redemption period.

Title to Torrens property transfers A) on the date the deed is recorded. B) at closing when the deed is accepted by the buyer. C) upon registration of the new certificate of title with the title registry. D) on completion of the registered land survey.

C) upon registration of the new certificate of title with the title registry.

A commercial property manager collecting rents and security deposits on behalf of the building owner must deposit the monies in A) the property manager's business account. B) the building escrow account. C) the trust account. D) the property manager's private account.

C) the trust account.

A landlord must store and care for any personal property abandoned by a tenant for a minimum of A) 60 days. B) 21 days. C) 45 days. D) 28 days.

D) 28 days. A landlord must store and care for the property for 28 days and provide a 14-day advance notice before disposing.

General contractors hire and rely upon subcontractors such as electricians and plumbers to contribute to the improvement of a property. Subcontractors have lien rights and must deliver a lien notice to the property owner within A) 120 days after the electrician finishes work on the property. B) 10 days after the subcontractor's contract with the general contractor. C) 1 year after the project is completed. D) 45 days after initially furnishing labor, skill, materials, or equipment for the improvement

D) 45 days after initially furnishing labor, skill, materials, or equipment for the improvement

The Minnesota state deed and mortgage registry taxes are paid to which of the following? A) Minnesota Department of Review B) County clerk C) Minnesota Department of the Commissioner D) County treasurer

D) County treasurer Deed/transfer taxes, mortgage registry taxes, and property taxes are all paid to the treasurer of the county in which the property is located.

How is ownership of a condominium defined? A) Severalty ownership of the unit and the common elements B) Fee simple ownership of the unit and joint tenancy in the common elements C) Fee simple ownership in a corporation that leases the unit to the owner using a proprietary lease D) Freehold ownership of the unit and tenants in common ownership in the common elements

D) Freehold ownership of the unit and tenants in common ownership in the common elements The owner of a condominium owns the unit in perpetuity, and other condominium owners are not allowed to use that owner's unit—but the common elements are shared among all unit owners.

Minnesota law requires listing agreements to include A) the closing date. B) a notice stating that commissions are not negotiable. C) a statement that the seller does not have the right to choose closing services. D) a legal description.

D) a legal description.

A seller's property disclosure form would not be required for any of the following EXCEPT a) selling a commercial property. B) giving the property to a family member. C) selling to a tenant who is currently renting the property. D) a lender selling a bank-owned property.

D) a lender selling a bank-owned property.

All of the following are true regarding the continuing education requirements to renew a real estate license in the state of Minnesota EXCEPT A) commercial-only licensees may be granted a waiver on completing fair housing and agency requirements. B) a total of 30 hours of approved continuing education is required to renew a license. C) licensees must complete Department of Commerce-required modules. D) brokers must select and assign continuing education requirements for salespeople they employ.

D) brokers must select and assign continuing education requirements for salespeople they employ. Except for the required continuing education classes mandated by the Department of Commerce, licensees decide which continuing education to complete.

To foreclose by advertisement, a lender must do all of the following EXCEPT A) attempt to personally deliver notice of the sheriff's sale to the property occupant beginning four weeks before the sale. B) include a power of sale clause in the mortgage. C) provide six consecutive weeks of published notice of the sheriff's sale. D) file a lawsuit to obtain the power to foreclose from the court.

D) file a lawsuit to obtain the power to foreclose from the court.

A broker or salesperson must notify a member of the public that they represent a seller A) prior to writing a purchase agreement. B) verbally, at first substantive contact. C) in writing, before closing. D) in writing, at first substantive contact.

D) in writing, at first substantive contact. This notification must be made before beginning any discussions that could jeopardize a consumer's ability to negotiate.

In order to collect payment from the real estate education, research, and recovery fund (REERRF), the aggrieved party must apply to the fund A) within 120 days of receiving a final judgment against the licensee. B) no more than 1 year after the charge is filed and recorded. C) within 24 months of the final judgment against the licensee. D) no more than 1 year after the final judgment against the licensee.

D) no more than 1 year after the final judgment against the licensee.

The buyer and seller are being represented by separate salespersons, both of whom work for XYZ Realty. The seller and buyer must have provided their consent to dual agency in all of these documents EXCEPT A) the listing contract. B) the purchase agreement. C) the buyer's representation contract. D) the Agency Relationships in Real Estate Transactions disclosure form.

D) the Agency Relationships in Real Estate Transactions disclosure form.

A property owner is installing a new commercial petroleum tank. They will need to notify A) the Pollution Control Agency and the EPA. B) city zoning and the EPA to get a certificate of compliance. C) the Pollution Control Agency, zoning, and EPA. D) the Pollution Control Agency.

D) the Pollution Control Agency. The Pollution Control Agency oversees environmental issues like petroleum storage tanks on a property.

All of the following are associated with Torrens property EXCEPT A) certificate of title. B) registered land survey. C) registered property abstract. D) title transfers when the deed is delivered and accepted

D) title transfers when the deed is delivered and accepted Title to Torrens property transfers when the new certificate of title is placed into the register of titles in the county registrar's office. Title to abstract property transfers when the deed is delivered to and accepted by the grantee.

Documents pertinent to a transaction must be delivered to the parties A) at closing. B) no later than the next business day after closing. C) within 10 days after receipt of a written request. D) when they are signed or otherwise made available.

D) when they are signed or otherwise made available.

To qualify for homestead exemptions in the following property tax year, the owner of the property must occupy it by ______, and file for homestead status by ______.

Dec 1, Dec 15

According to the MN Statute of Frauds, to enforce a lease, it must or does not have to be in writing?

Does not have to be in writing.

Real estate licenses expires

June 30

Can a broker pay its past clients?

No

Once a homeowner notifies a builder of a defect covered by Minnesota's statutory new home warranty, they have how long to take legal action against the builder?

Within 180 days from when they notified the builder of the defect

Title of Torrens property transfers upon ___________ of the _____________ with the title registry.

registration, new certificate of title