Free Kansas Real Estate Practice Exam

Q1.A Kansas salesperson receives a $5,000 earnest money check from a buyer on a Friday afternoon. The employing broker is out of town. Which action is most consistent with Kansas law regarding trust funds?

• A.Deposit the funds into the salesperson's personal savings account until the broker returns Monday
• B.Hold the check uncashed in the salesperson's desk drawer until the broker returns and can make the deposit
• C.Deliver the check to the broker or the broker's designated trust account custodian as promptly as possible
• D.Deposit the funds in the brokerage's operating account to avoid weekend bank closures

Q2.A Kansas salesperson lists a property and, without disclosing the relationship to the seller, refers the transaction to a title company in which the salesperson holds a 15% ownership interest and receives a referral fee. Under K.S.A. 58-3062, this conduct is best characterized as:

• A.Permissible as long as the referral fee does not exceed the salesperson's earned commission
• B.A prohibited conflict of interest requiring disclosure of the financial interest to all parties
• C.Allowable because title company referrals are governed solely by RESPA, not Kansas law
• D.Permissible because the ownership interest is below the 25% threshold set by the Kansas Real Estate Commission

Q3.A metes and bounds legal description reads: 'Beginning at the iron pin at the southeast corner of Lot 12, thence N 45°30'15" E for 150.75 feet to an iron pin, thence N 30°15'45" W for 200.50 feet to a concrete monument...' What does the notation 'N 45°30'15" E' specifically indicate?

• A.45 degrees, 30 minutes, 15 seconds north of due east
• B.A bearing that runs northeast at exactly 45.5 degrees from north
• C.45.30 degrees northeast from the starting point
• D.45 degrees, 30 minutes, 15 seconds east of due north

Q4.The Kansas Real Estate Commission is authorized to take disciplinary action against a licensee under K.S.A. 58-3062. Which of the following grounds for disciplinary action is specifically enumerated in that statute?

• A.Failing to personally inspect every property prior to listing it for sale
• B.Pursuing a commission dispute through civil court without first filing a complaint with KREC
• C.Making a material misrepresentation in an application for licensure
• D.Refusing to join the local association of REALTORS®

Q5.Under the Housing for Older Persons Act (HOPA), a community can legally exclude families with children only if it meets one of these qualifying tests:

• A.Any community can exclude children if its CC&Rs say so
• B.(1) HUD-designated 62-and-older housing, (2) 55-and-older with at least 80% of occupied units having one resident 55+ AND published policies AND age verification, OR (3) federally funded elderly housing
• C.Any community over 30 years old qualifies automatically
• D.Communities only need a majority of residents over 50

Q6.A Kansas broker is found to have operated a branch office for 4 months without obtaining the required KREC branch office license. Under Kansas law, this constitutes:

• A.An administrative oversight excused if the broker obtains the license retroactively
• B.A civil violation only — KREC may impose a fine but cannot take license action
• C.A local zoning matter — KREC has no jurisdiction over branch office locations
• D.A prohibited act that may subject the broker to disciplinary action by KREC, including suspension, revocation, or civil fine

Q7.A Kansas salesperson represents a buyer in a transaction and, without the buyer's knowledge, also accepts compensation from the seller's broker. Under the Kansas Real Estate Brokers' and Salespersons' License Act, this undisclosed dual compensation arrangement is:

• A.Permitted as long as the total compensation is reasonable
• B.Allowed because the seller's broker, not the seller, is paying the extra fee
• C.A prohibited act because a licensee may not accept undisclosed compensation from any party other than the client
• D.Permissible if the salesperson discloses the arrangement to the Kansas Real Estate Commission within 30 days

Q8.When a broker learns that a buyer client is sending unwanted personal messages to an agent, the broker's obligation is to:

• A.Ignore it — clients are not brokerage employees and cannot create liability
• B.Wait for the agent to file a formal police report before acting
• C.Refer the agent to a different broker to avoid conflict of interest
• D.Take action: restrict communications, set written boundaries with the client, and if necessary terminate the buyer agency agreement

Q9.Under Kansas Real Estate Commission regulations, a salesperson places an online advertisement for a listed property that includes the salesperson's name and personal contact information but does not identify the supervising broker or the brokerage firm. This advertisement is:

• A.Permissible because the property address clearly identifies which brokerage listed it
• B.A violation of Kansas advertising rules, because all real estate advertising must prominently identify the supervising broker or brokerage
• C.Acceptable for online platforms, which are exempt from Kansas advertising disclosure requirements
• D.Permissible as long as the salesperson includes the broker's information within 48 hours of posting

Q10.A mortgage broker refers buyers exclusively to a title company in which the mortgage broker holds a 15% ownership interest. The mortgage broker does not disclose this arrangement to the buyers at or before the time of loan application. Under RESPA, which of the following is the MOST accurate statement regarding this arrangement?

• A.The arrangement is permissible under RESPA's Affiliated Business Arrangement (AfBA) safe harbor as long as the referral fees are reasonable and market-rate.
• B.The arrangement violates RESPA's Section 8(a) prohibition on kickbacks and unearned fees because no disclosure was made, and the AfBA safe harbor requires a written disclosure to the consumer at or before the time of referral.
• C.RESPA only prohibits cash payments between settlement service providers; an ownership interest is not covered by Section 8.
• D.The arrangement is lawful because RESPA exempts referrals between affiliated entities that share common ownership.

Q11.A Kansas licensee representing a seller as a seller's agent enters into negotiations with a buyer. Under BRRETA, which of the following duties does the seller's agent OWE to the buyer as a customer (not a client)?

• A.Promoting the seller's best interests above all other parties.
• B.Providing honest and accurate information and disclosing adverse material facts about the property.
• C.Maintaining full confidentiality of all information the seller has shared.
• D.Performing a comparative market analysis on behalf of the buyer.

Q12.Under 24 C.F.R. § 100.600(a)(2), what standard is used to evaluate hostile environment harassment?

• A.Only the frequency of the conduct
• B.Only whether the conduct was physical
• C.Whether the harasser subjectively intended to offend
• D.The totality of the circumstances

Q13.Under Kansas BRRETA, when must a brokerage relationship disclosure be made to a seller by a licensee who intends to list the seller's property as a seller's agent?

• A.No later than the first business day after the listing agreement is signed
• B.At or before the time the listing agreement is signed
• C.Within 24 hours of the first scheduled showing of the property
• D.Only at closing, as part of the settlement documents reviewed by all parties

Q14.How does A.R.S. § 32-2153(F)(1) characterize a letter of concern?

• A.A license suspension.
• B.An advisory letter used when discipline is not warranted.
• C.A civil penalty.
• D.A criminal conviction.

Q15.Under federal fair housing law, when a dual agent represents both buyer and seller in a transaction, which fiduciary duty presents the greatest legal challenge in maintaining compliance with the Fair Housing Act?

• A.The duty of confidentiality regarding financial information
• B.The duty of reasonable care in property inspections
• C.The duty of accounting for earnest money deposits
• D.The duty of loyalty when one party makes discriminatory remarks about protected classes