MN Real Estate State Test Practice
Under the Minnesota statute of frauds, which of the following agreements would NOT be enforceable?
A homeowner and landscaper entered into a verbal agreement for $1,500 in plants and labor, but the landscaper backed out before any goods or money changed hands.
In Minnesota, an area where a petroleum leak has occurred is known as what?
A petroleum tank release site
When is the lump-sum payment due in a contract for deed arrangement?
At the end of the loan term
Which of these statements about earnest money in Minnesota is true?
Disbursal of earnest money depends on the terms of the contract.
Which of the following actions would violate the Minnesota statute related to trust account requirements?
Disbursing trust funds upon written request of the buyer
Pria is a Minnesota real estate salesperson. She provided services to both a buyer and seller in the same transaction, but didn't represent either party. Which term best defines her role?
Facilitator
Bonnie just sold a property in Duluth with an underground storage tank. She should ______.
File a change of ownership form within 30 days
Jerome just finished working on a remodel for the Simmons family. If the Simmons refuse to pay him, what's the most drastic measure Jereome can legally take in Minnesota?
Foreclose on the property
Janice and Tom's home is subject to foreclosure. Their deed of trust includes a power-of-sale clause. Which form of foreclosure will most likely be used?
Foreclosure by advertisement
Georgina is a Minnesota escrow agent who's holding funds for several transactions. Which of these statements about how she'll disburse these funds is true?
If the transaction doesn't close, Georgina will disburse the earnest money as instructed by the parties or according to state law.
Simpson is a buyer in Minnesota. He made an offer and supplied earnest money on a property on Thursday. That offer was rejected by the seller on Friday. What happens to Simpson's earnest money?
It must be returned to Simpson by Monday.
What is true of dual agency disclosure in Minnesota?
It's required for all parties to a potential dual agency residential transaction.
In Minnesota, which one of these scenarios would require a real estate license?
Janice is searching for a new home for a friend moving into town. After the friend buys a property, Janice will receive 2% of the sales price for her time.
What type of rights to the property does a Minnesota seller have during the contract for deed process?
Legal title rights
What's a possible penalty for providing false information on a license renewal application?
License suspension
Lynn wants to sell her Minnesota home, which includes a septic system that isn't large enough to serve the home. This issue is considered a(n):
Material adverse fact
Patti, a buyer in Minnesota, was considering entering into a contract for deed arrangement. Six business days after receiving the contract for deed disclosure from the seller, Patti decided to terminate the contract because she doesn't want to finance that way. Can Patti do this?
No, she only had five business days in which to make that decision.
Sue is selling a property outside Minneapolis with a private well. What must she do?
Provide written disclosure of the well's location and status.
Sally signed a lease for a unit in a new apartment building in Minneapolis. Her landlord, Jamal, deposited Sally's security deposit on August 4. When will the security deposit begin accruing interest?
September 1
Marvin, a broker for PDQ Realty, died unexpectedly. The Department of Commerce will allow a licensee to serve as temporary broker as long as ______.
The licensee has at least three years of experience, even if the licensee doesn't hold a broker's license
Which of the following best describes a "person" as defined in Minnesota license law?
"Person" means an individual, association, estate, trust, partnership, firm, company, or corporation.
What is the maximum civil penalty that can be imposed for a license law violation in Minnesota?
$10,000
Marin was the victim of a Minnesota real estate licensee's dishonest practices. She received a final judgment in court but hasn't been paid, despite going through all legal proceedings, reviews, and appeals. She's seeking recovery from the Real Estate Education, Research, and Recovery Fund. What's the maximum she'd be paid?
$150,000
What's the Real Estate Education, Research and Recovery Fund fee for a Minnesota license renewal applicant?
$20
What's the Real Estate Education, Research, and Recovery Fund fee for an initial license applicant in Minnesota?
$30
Jaime purchased a property in Becker County for $350,000. She put down $70,000 and financed the remaining $280,000. How much mortgage registry tax did she owe for the purchase
$644
A homestead property owner has failed to pay their taxes by May 15th. What penalty will be assessed on July 1?
1%
A homestead property owner has failed to pay their taxes by May 15th. What penalty will be assessed during the month of May?
2%
A homestead property owner has failed to pay their taxes by May 15th. What penalty will be assessed on June 1?
2%
The broker of Merit Realty in Duluth has become incapacitated. For how long may the temporary broker serve?
45 days
Elijah is working with his primary broker to complete and submit an application for a Minnesota real estate salesperson license. How many hours of pre-licensing education must Elijah complete before he can apply for licensure?
90 hours
Jay, a Minnesota broker, is working with a prospective new salesperson. He's getting ready to submit the licensing application to the state for approval. How much pre-licensing education must Jay have completed before getting to this step?
90 hours
Which of the following properties would be classified as residential real property in Minnesota?
A building with four studio apartments
Minnesota law requires sellers to provide prospective buyers with a written disclosure of material facts related to the property's condition. Which of the following requires disclosure?
A homicide occurred on the property.
Which of the following must be provided by owners of existing buildings or developers of new, unimproved land in Minnesota who want to create a condominium project?
A legal description of the units and the common elements, including any elements that serve a single unit
Which of the following best describes a contract for deed that may be used in Minnesota?
A legally binding, written contract between a property buyer and the seller that allows the buyer to pay for the property in installments
LuAnn is a Minnesota real estate licensee. Several of her former clients were awarded final judgments related to LuAnn's illegal trust fund conversion activities. Which statement best describes any recovery that could be paid out by the Real Estate Education, Research, and Recovery Fund to LuAnn's victims?
A maximum of $150,000 may be paid per claimant, per transaction, and $250,000 per licensee.
A Minnesota court is determining whether a property should be considered abandoned. It has a bit of evidence to wade through. Which of the following items is NOT evidence of abandonment?
A police report documenting an attempted arson on the property was filed.
Which of the following could qualify for a Minnesota homestead exemption?
A primary dwelling situated upon 150 acres of land
Assuming all of the following individuals are performing these activities for another and for a fee, who must hold a Minnesota real estate license in order to legally perform the activity?
A son selling his parent's house
The amount a debtor still owes on his or her mortgage can influence the length of the statutory redemption period after a foreclosure sale in Minnesota. Which of the following scenarios would likely result in a six-month redemption period?
Adam's original mortgage balance was $300,000. He still owes $210,000.
In Minnesota, which of the following documents must you present to a potential seller client prior to entering into a listing agreement?
Agency Relationships in Real Estate Transactions form
Which of these is Minnesota broker Nancy NOT required to retain for six years?
Agency disclosure form with a consumer where no employment relationship was established and no services were performed
According to the standards of conduct, what disclosure must Minnesota licensees provide?
Agency relationships
Alex is seeking a limited broker's license in Minnesota. Which of the following statements must be true?
Alex will only engage in transactions as a principal.
Which of the following tanks must be registered with the Minnesota Pollution Control Agency?
An above-ground, 1,000-gallon tank that's used to store commercially used petroleum
Which of the following individuals would be in violation of Minnesota license law if performing the activity for a fee?
An unlicensed individual selling his brother's home
Marshall is a Minnesota real estate broker. His listing agreement with Dolly included a six-month override clause. Which of the following people should NOT be included on the protective list Marshall provided?
Anne, a real estate licensee who regularly attends open houses in the area
In Minnesota, when should you present the agency disclosure form to a potential client?
At the first substantive contact
Salesperson Terry needs emergency surgery, but has several clients for whom he's actively working. Terry is prohibited from taking which action for his clients?
Authorizing his unlicensed assistant Barbara to work with them while he's in the hospital
The Lake Superior Condominium Association was formed in June 1990. Which statement best describes their participation in the Minnesota Common Interest Ownership Act?
Based on the type of association, participation is automatically required.
When must a Minnesota licensee disclose the licensed name of the brokerage under whom the licensee is authorized to conduct business?
Before the negotiation or consummation of any transaction
When must a Minnesota licensee disclose to the owner of real property that the licensee is a real estate agent salesperson, and in what capacity the licensee is acting, if the licensee, acquires, or intends to acquire, any interest in the owner's property?
Before the negotiation or consummation of any transaction
Kirby is a landlord in Greater Minnesota. One of his tenants hasn't been paying rent. Which of the following actions can Kirby take?
Begin eviction proceedings in court.
According to Minnesota license law, which of these situations is considered dual agency?
Boris with ABC Brokerage represents the buyer and Corben with ABC Brokerage represents the seller in the same transaction.
Consuela is a Minnesota real estate licensee, and she has three other licensees working under her supervision. What type of license does Consuela hold?
Broker
A real estate broker in Minnesota collected rent from several properties. Into which of the following accounts must those rents be deposited?
Broker's trust account
Johnnie and Mary each own a unit in a new condominium complex. According to Minnesota law, in which element do they NOT have an undivided ownership interest?
Condo units
Wayne is a real estate salesperson in Minnesota. He notified his broker that he no longer wishes to be associated with her, she then notified the commission in writing within 10 days. Which of these is NOT an option for Wayne?
Continue practicing real estate while finding a new broker to associate with.
Which of the following is an allowed expenditure from Minnesota's Real Estate Education, Research, and Recovery Fund?
Creating a university real estate department and a position to chair that department
Carmen was hired by the Navarreses to build a walk-in closet. She included a lien notice in the original contract. The Navarreses have provided final payment. What does Carmen need to do to remove the lien associated with this contract?
Deliver a lien wavier to the Navarreses.
Which of the following actions can a broker in Minnesota legally take?
Depositing personal funds in a trust account to pay account service fees
Which of these is a fraudulent practice in Minnesota?
Depositing trust funds into your personal account
According to the Minnesota standards of conduct, which of the following is a requirement for any guaranteed sale program?
Details about profit disbursement must be disclosed up front.
Minnesota broker responsibilities for salesperson supervision are outlined in the standards of conduct. Which of the following is one of these responsibilities?
Document and investigate all complaints against licensees.
Which of the following occurrences does NOT require the licensee to notify the commission within 10 days?
Driving under the influence (misdemeanor) charge
Stephanie and Carter are married owners of a Minnesota property that they wish to claim as a homestead. Which of these statements is true?
Either Stephanie or Carter can claim the homestead. The exemption would apply to either or both of their debts.
Your clients, the Guyens, have signed a contract for deed to purchase a property in Minnesota. What rights do the Guyens receive?
Equitable title and possession of the property
During an investigation, what may Minnesota's commerce commissioner do?
Examine all business records, including sales reports.
A Minnesota seller who was going to provide financing was successfully sued by a buyer for $2,500. What was the seller in violation of?
Failure to provide the buyer with the contract for deed disclosure document
How does Minnesota's Real Estate Education, Research and Recovery Fund account get funded?
Fees from license applicants
Once the disclosure form is received, how many days does a Minnesota buyer have to review and sign, or cancel the contract for deed agreement?
Five
In Minnesota, what's the rescission period after a purchaser receives a copy of the subdivision sales contract?
Five days
Meaghan is now the proud owner of an abandoned property in Minnesota, with boarded up windows, trash piled throughout the property, and no utilities turned on. She purchased the property at a foreclosure sale. How long until Meaghan can take possession of the property?
Five weeks
If a lender wants to pursue a deficiency judgment against a Minnesota homeowner, which foreclosure process would most likely be used?
Foreclosure by action
Dylan has gotten behind on her mortgage payments. Her mortgage doesn't include a power-of-sale clause. If her lender pursues a foreclosure sale, which process will most likely be used?
Foreclosure by action, which is a judicial process requiring court supervision
Robbie's lender notifies him of an impending foreclosure, and is told that his property will be sold at public auction. Six months after the auction occurs, Robbie receives a notice of eviction for which the lender had to petition a court. What does this describe?
Foreclosure by advertisement
The Wilsons hired Gary to build an addition onto their house in Minnesota. Gary subcontracted out the electrical work to Oliver. Within how many days must Gary and Oliver deliver lien notices to the Wilsons?
Gary has 10 days from the original contract date, and Oliver has 45 days from the date he first provides labor or materials.
Gerald purchased a property under a contract for deed arrangement. He missed some payments, received notice that the seller was going to terminate the contract, and today was evicted. Which of the following statements is most likely true?
Gerald received notice of default at least 60 days ago.
Brody was hired by the Petersons to build an addition onto their house in Minnesota. He didn't include the lien notice in the original contract they signed yesterday, so is now providing it separately. How can he deliver the notice to the homeowner?
Hand delivery or certified mail
Walter is the new owner of an abandoned property in eastern St. Paul. He was the winning bidder at a foreclosure sale three weeks ago. He has the certificate of sale in hand. Which of the following actions can he NOT legally perform?
Haul away any personal property scattered throughout the property.
When a Minnesota real estate transaction is financed using a contract for deed, what advice should real estate agents give to their clients?
Have an attorney review the contract.
Thomas is a builder in Minnesota. He regularly acquires land to construct residential, commercial, or industrial buildings with the intent to sell the property after construction is complete. He doesn't have a real estate license, but isn't violating any license laws. Which of the following is true?
He performs fewer than 25 transactions in a 12-month period
Harry dabbles in real estate in Minnesota by buying and selling several properties for himself throughout the year. He's unlicensed and isn't represented by a real estate licensee in these transactions. The real estate commission hasn't knocked on his door yet, so which of the following is most likely true about Harry?
He's the principal in four or fewer transactions during a 12-month period.
Which of the following is true about special assessments in Minnesota?
Improvements for which special assessments are levied must benefit the properties they are levied against.
A Minnesota home warranty vendee notified the vendor of a defect with a window 10 months after the warranty date. What does the vendor need to do next?
Inspect the defect within 30 days of the notification.
What's true in Minnesota about interest earned on a security deposit?
Interest accrues at the first day of the month following its deposit.
Which of the following actions is the Minnesota commerce commissioner NOT empowered to perform?
Investigate a complaint that a licensee acted unethically.
Which of the following properties in Minnesota may be claimed as a homestead?
Isaac owns a property that sits on 160 acres and he uses it as his primary dwelling.
Katherine is a buyer in Minnesota. She made an offer on a property and provided earnest money payment on Tuesday. The seller accepted the offer on Wednesday. What happens to Katherine's earnest money?
It must be deposited by Monday.
Ian is a buyer in Minnesota. He made an offer and supplied earnest money on a property, but the offer was rejected by the seller. What happens to Ian's earnest money?
It must be returned to Ian no later than the next business day after rejection.
Bartholomew was a practicing real estate licensee in Minnesota, but spent some time dabbling in other careers for a few years before deciding to get back into real estate. He's studying to take the licensing examination again. Which of the following is most likely true?
It's been at least two years since Bartholomew's last renewal deadline.
Five years ago, Steven purchased a home in Minnesota from Janine. To his surprise, he recently discovered that there's a well on the property. The well needs to be sealed, which will cost $1,000. Who's liable for the cost to seal the well?
Janine is liable because she failed to disclose the well, and Steven is still within the timeframe to bring action against her.
Joshua was hired by the Carters to remodel a bathroom. He included a lien notice in the original contract. How many days does he have to file the lien if he doesn't receive payment for this job?
Joshua has 120 days from the date labor is completed or final delivery of materials is made.
This is a renewal year in Minnesota and you're applying to renew your salesperson license. When does your license expire?
June 30
Tom and Sharon, a Minnesota couple, have separated. Prior to their divorce becoming final, if Tom wants to buy a condo in his name only, what must he do?
Just put it in his name.
Tony moved into his newly constructed Minnesota home four years ago. Today, he's noted several issues concerning his home. Which of these would most likely be covered under the home warranty issued when he purchased the home?
Large crack in the foundation
Which of these is NOT an example of a trust fund as defined in the Minnesota statute?
Licensee commission
Lake Side Homeowners Association was formed in May 1994. Which statement best describes their participation in the Minnesota Common Interest Ownership Act?
MCIOA applies to all townhome associations and condominium associations created after June 1, 1994 and some parts of MCIOA apply to common interest communities created prior to that date. Most of MCIOA applies to condominium associations created before June 1, 1994, assuming they were created under an earlier version of Minnesota's condominium laws. However, MCIOA does not apply to townhome associations created before June 1, 1994, unless they specifically choose to "opt in" to MCIOA by amending their governing documents.
Margie is selling her Minnesota home to Braden. What's her responsibility to disclose the presence of wells on the property to Braden?
Margie can't accept Braden's offer until she's disclosed the location and status of any known wells on the property.
Arnie is a real estate salesperson in Minnesota. He's leaving his current broker, Marisol, and is going to immediately associate with Manny. Which of the following statements is true?
Marisol must sign a transfer application for Arnie and destroy his license. Then Manny must sign the transfer application and submit it to the commission, along with a transfer fee.
What agency oversees the Underground Storage Tank Program in Minnesota?
Minnesota Pollution Control Agency
Which of the following Minnesota laws establishes the process for condominium creation and requires certain disclosure for purchasers of condominiums?
Minnesota Uniform Condominium Act
Which of the following scenarios constitutes illegal licensee compensation in Minnesota?
Miranda's seller client reimbursed Miranda for the special signage she paid for when marketing his property.
Your cousin Steve has asked you to use your expertise to help him market and advertise his house, even though you don't yet have your Minnesota real estate license. He'll pay you a 1% commission if you help him. Can you do this?
No, because you must have a license to provide real estate services for another person for compensation.
Inigo is selling his Minnesota house, which has a septic system. He's not sure it's compliant with regulations, so he's asked his plumber friend, Westley, to take a look and prepare an inspection report. He thinks this will be fine. Is he right?
No. A certified local government inspector or licensed inspection company should prepare an inspection report.
Which of the following actions would violate Minnesota statute related to records?
Not providing the commissioner access to the records in a reasonable time
Which of the following best describes foreclosure by advertisement in Minnesota?
Notification of pending auction, public auction, notice of eviction
When a Minnesota salesperson transfers or terminates a license with the primary broker, what action must the broker take?
Notify the commissioner within 10 days
According to the Minnesota statute of frauds, a lease for real estate must be in writing and signed by the person who will be charged with the promise/agreement, or by someone who is legally authorized to sign for that person, to be enforceable. This requirement applies to a lease with a term of longer than ______.
One year
One thing that sets the Minnesota broker license apart from the salesperson license is that it allows the license holder to do what?
Own and manage their own business
Determine which the following statements regarding USTs in Minnesota is true.
Owners must provide MPCA with 30 days' notice before installing a UST.
Parker is the primary broker at a Minnesota brokerage. He has two associated licensees: Sally, who has a salesperson license, and Barry, who has a broker license. All of their licenses are coming up for renewal. Who must submit renewal applications?
Parker must submit renewal applications for himself, Sally, and Barry.
Paul owns a property in eastern Minnesota. The underground storage tank he uses to store hazardous materials on that property has leaked 10 gallons into the surrounding ground. What action should Paul take?
Paul should immediately notify the Minnesota Pollution Control Agency.
Kuhn received notice that he defaulted on his Minnesota contract for deed arrangement when he missed last month's payment. Since receiving the notice, Kuhn has paid past due amounts, costs associated with the notice, and attorney's fees. What else must Kuhn do to avoid termination?
Pay 2% interest on the amount past due.
What's another name for Minnesota's Petroleum Tank Release Cleanup Fund?
Petrofund
In Minnesota, what's true about the disclosure of material facts?
Physical conditions that may affect the property's use must be disclosed.
Zenya works for a lender in Minnesota and is initiating foreclosure by action proceedings on a property. If you were to look at the security instrument for this property, which of these clauses is most likely missing from the instrument?
Power-of-sale clause
Preston is a condominium developer in Minnesota. He's just signed a sales contract with Brett to purchase one of the first units that will be completed. Which of the following statements must be true?
Preston provided Brett with a public offering statement at least 15 days ago.
Which of the following roles is responsible for supervision of licensed salespeople in Minnesota?
Primary broker
Someone who, for another and for compensation, negotiates the sale of real property in Minnesota is a ______.
Real estate broker
Genevieve performs real estate activities in Minnesota on behalf of Vern, a real estate broker. What type of license does she have?
Real estate salesperson
Which of the following would be prohibited in Minnesota, but would not be prohibited by federal law?
Refusing to rent to a gay person
Petra is being subjected to domestic abuse. She has provided a signed, written notice of lease termination to her landlord that includes the date she intends to vacate the property and the address where her security deposit can be sent. What else can her landlord legally do?
Require Petra to pay the full month's rent for the month she intends to leave.
A Minnesota licensee is being investigated for a possible license law violation. The commerce commissioner has asked the licensee for certain documentation. What should the licensee do to cooperate with this investigation?
Respond to commissioner requests within 30 days, unless specified otherwise.
Christopher owns four separate tracts of agricultural land in Greater Minnesota. His lender has begun foreclosure proceedings. The sale of one tract of land would be enough to satisfy Christopher's debt. What will the lender most likely do?
Sell one of the four tracts at the foreclosure sale.
What's a common term for a subsurface sewage treatment system in Minnesota?
Septic system
Serena, a Minnesota broker, represents a seller client. A buyer made an offer on the seller's property, which was accepted contingent upon a home inspection. After the inspection is performed, the buyer's agent provides a copy of the report, which doesn't include any mention of the roof leak Serena's client told her about. What obligation does Serena have?
Serena has a duty to disclose material facts she's aware of, including facts that contradict the inspection report.
Minnesota law outlines several practices considered fraudulent or deceptive. Which one of these represents fraud?
Serving as an undisclosed principal in a transaction
Jocelyn is ready to submit an application for a Minnesota real estate salesperson license. Which of the following is NOT necessarily true?
She has a high school diploma or GED.
Louise has been a licensed salesperson in Minnesota for several years. Which statement best describes her license renewal requirements?
She must complete 30 hours of continuing education in approved courses every 24-month period.
Rachel is a supervising broker in Minnesota. Which of the following is a true statement about her responsibilities?
She's responsible for all agents and associated brokers of her firm.
Simon sold his house in Minnesota under a contract for deed arrangement to Garfield, but Garfield has failed to make the last three payments. Which of the following statements is true?
Simon can keep all of the proceeds received up to that point and repossess the property.
Porter owns a house that sits on 30 acres of land. He uses the property for vacationing, hunting, and other recreational purposes. He's paid off about a quarter of the mortgage, but is now in foreclosure. If the property is sold at a foreclosure sale, how long can Porter expect the statutory redemption period to last?
Six months
Brokers in Minnesota must retain copies of transaction-related documents, including listing and buyer representation agreements, agency disclosures, deposit receipts, and trust account records for at least ______.
Six years
Which of the following might qualify for reimbursement from the Minnesota Petroleum Tank Release Cleanup Fund (Petrofund)?
Six years ago, Miles took corrective action to remove and clean up a leaking tank on his property, taking out a loan to cover some costs.
Melanie is a Minnesota buyer who has agreed to purchase Stan's property using a contract for deed. Who holds legal title to the property during the term of the loan?
Stan
Arlene is the vendor in a contract for deed arrangement. The vendee is not making his monthly payments. What is the process Arlene can use to reclaim equitable title of the property?
Termination
When a Minnesota buyer and seller consent to dual agency, which of the following items are they acknowledging?
That confidential information communicated to the broker which regards price, terms, or motivation to buy or sell will remain confidential unless seller(s) or buyer(s) instruct(s) broker in writing to disclose this information
What legislation is being violated if a Minnesota licensee refuses to show a property to a person because that person is homosexual?
The Minnesota Human Rights Act
What's Minnesota's mortgage registry tax based on?
The debt secured by a loan on the property
Which of the following describes a homestead in Minnesota?
The house owned and occupied by a debtor as the debtor's dwelling place, and the land upon which it is situated
A consumer received payment from the Minnesota Real Estate Education, Research, and Recovery Fund to satisfy a judgment against a Minnesota licensee. Which statement best describes the consequences the licensee faces?
The license will be suspended until the licensee pays back double the amount disbursed, plus interest
What's true about getting a real estate license to sell subdivided lands in Minnesota?
The normal real estate license process applies.
A Minnesota subdivision project was registered by qualification. Which of the following must be true about the project?
The project has more than 100 lots or sales- registered by qualification Less than 100 lots or sales- Registration by notification
Which of the following facts about a property in Minnesota would a licensee need to disclose?
The property is subject to an easement which could adversely and significantly affect an ordinary purchaser's use or enjoyment
Jim and Judy's Minnesota home was sold at a foreclosure sale. The sale didn't net the amount needed to pay off what Jim and Judy owe, but the lender can't take action to recoup the shortage from the couple. Which of these statements is most likely true?
The property was sold using the foreclosure by advertisement process.
A Minnesota licensee is drafting a new advertisement. What must the licensee keep in mind?
The real estate brokerage name must be clearly and conspicuously displayed
Henry plans to convert an apartment building he owns to condominiums. Brenda is a tenant in the building. Under Minnesota law, what right does Brenda have?
The right to purchase her unit
Which of the following would NOT require the issuance of a home warranty in Minnesota?
The sale of a single-family home from the original owner and occupant to a new owner
A house in Minnesota is located near a nursing home. In which of these transactions would the seller be required to disclose this information?
The seller isn't required to disclose that the property is located near a nursing home.
A house in Minnesota is located near a registered sex offender's residence. In which of these transactions would the seller be required to disclose this information?
The seller isn't required to disclose that the property is located near a sex offender's residence, as long as written notice is given to the buyer telling them how to check this for themselves.
How does a contract for deed differ from third-party lending?
The seller provides the financing.
Jared is a buyer in Minnesota who is working with an agent. He's made an offer on a property owned by Byron, who is also working with an agent. Byron accepted Jared's offer. Assuming there are no specific instructions in the purchase agreement, what happens to Jared's earnest money?
The seller's agent must deposit the earnest money within three business days.
Marilyn and Edward own a property in Greater Minnesota, but have gotten behind on their mortgage payments. They've just received notice that foreclosure by advertisement proceedings will begin. Which of the following statements is most likely true?
Their mortgage instrument includes a power-of-sale clause.
Which of the following is true of Minnesota agency disclosure forms?
They are only required for residential transactions.
In Minnesota, what's true about written offers to purchase or lease a property?
They must be presented promptly to the seller or owner.
What's true about supervision and associate brokers in Minnesota?
They must be supervised by a primary broker.
A Minnesota homeowner decides to homestead his property. What's the advantage?
This program has two benefits for qualifying homeowners: It reduces the taxable market value of the property (for properties valued under $414,000 only), which in turn may lower taxes. It is one of the qualifying factors for homeowners to receive the State of Minnesota Property Tax Refund.
How many years' experience is a real estate professional required to have in order to become a licensed broker?
Three
Why is it so important to know what the protected classes are for fair housing in Minnesota?
To make sure you don't do something that is a violation of fair housing laws
Jewel is planning to vacate the unit she's leasing in Greater Minnesota on November 30. What obligation does she owe the landlord?
To provide at least three days' notice so the landlord can take action to prevent plumbing or pipes from freezing, if needed
Where, and by when, must a Minnesota broker provide notification of an address change?
To the Minnesota Commerce Department, within 10 days
Penelope is a broker in Minnesota who supervises five associated licensees. Her license was revoked by the commission. What do her associated licensees need to do to continue practicing real estate?
Transfer their licenses to a new broker.
A listing broker in Minnesota received a commission check from the seller at closing. The broker would be committing a license law violation if he were to deposit the check in a ______ account.
Trust
What is a subdivision, according to Minnesota's Subdivided Land Act?
Undeveloped land that is being divided into smaller lots
In which situation is the contract for deed disclosure required to be presented to a buyer in Minnesota?
When the buyer is not represented by either an attorney or a real estate licensee
In Minnesota, in which of the following situations can you sell subdivided lands without a real estate license?
When the lots are registered and are being sold as securities
Ross is interested in becoming a real estate professional. His friend Emily is a licensee and she referred Ross to her primary broker, William, with whom Ross will associate once he's licensed. Ross passed his Minnesota real estate licensing exam and is ready to submit his application. Who needs to send the application to the commission?
William, the primary broker
Jamie Lee is a Minnesota real estate licensee who's acting as a loan broker. She collected an advanced fee from a prospective client. When must she deposit this fee?
Within 48 hours of receipt
A Minnesota listing agreement includes an override clause. To be effective, how soon after the agreement's expiration must the licensee provide the seller with a protective list?
Within 72 hours
Piper just passed her Minnesota real estate licensing exam. When does her application need to be submitted to the commission?
Within the next 12 months
Xavier and Juanita Jenkins want to make a few improvements to their leased apartment in Minnesota. The couple would like to rip up the carpet in the living room and have the hardwood floors underneath restored. Which of the following statements about the improvements is true?
Xavier and Juanita need to get the landlord's permission before they make any improvements to the property.
Janet gives Warren, the buyer of a condominium in her new Minnesota development, a copy of the public offering statement two weeks after he enters into a contract to buy the unit. Five days after receiving the statement, Warren decides to cancel the contract. Can he do this?
Yes, Warren can cancel the contract without penalty within 15 days of receiving the public offering statement.
Serena hired Jasper to create a family tree painting for her new home's foyer for $500. Before they put anything in writing, Jasper completed the painting. He won't deliver it to Serena because she doesn't want to pay for the artwork. Is the contract enforceable?
Yes, an unwritten contract can still be enforced if the goods are created specifically for the buyer and can't be sold to others.
Trinity, a transgender female, feels that she's been discriminated against when a landlord denied her rental application, telling her, "Your credit's fine, but I need tenants who are easier to figure out." For housing purposes, is Trinity's gender identity a protected class under the Minnesota Human Rights Act?
Yes, as part of the protected class of sexual orientation.
Redmond owns a property in Minnesota that is the site of a petroleum release. The release took place before Redmond owned the property, but Redmond paid for the $200,000 clean-up, which took place last year. Can Redmond seek reimbursement for his costs?
Yes, since he's the current owner who took and paid for corrective action, Redmond can seek reimbursement.
Yolinda is preparing closing documents for the sale of Luis' St. Paul condo. Which of the following is true?
Yolinda is a closing agent.
