Free Nebraska Real Estate Practice Exam

Q1.A property being sold was built in 1968 and is located near a former gas station. Under federal environmental disclosure requirements, which of the following must be addressed?

• A.Lead-based paint disclosure and potential environmental contamination investigation
• B.Only lead-based paint disclosure requirements
• C.Only environmental site assessment requirements under CERCLA
• D.No federal environmental disclosures are required for residential properties

Q2.A Nebraska real estate salesperson license has been issued and is active. Under the Nebraska Real Estate License Act, what is the continuing education requirement the salesperson must fulfill in order to renew the license at each renewal cycle?

• A.Complete a Commission-approved pre-licensing course again before each renewal
• B.Complete a set number of Commission-approved continuing education hours, including mandatory topics designated by the Nebraska Real Estate Commission
• C.Pass the Nebraska state licensing examination again at each renewal period
• D.Submit proof of at least five completed real estate transactions during the renewal period

Q3.A Nebraska employing broker fails to review and countersign transaction files prepared by affiliated salespersons for a period of several weeks. Under Nebraska Real Estate Commission rules, this would most likely constitute a violation of the broker's duty regarding:

• A.Trust account reconciliation requirements
• B.Mandatory continuing education supervision
• C.Adequate supervision of licensed salespersons
• D.The requirement to maintain errors and omissions insurance

Q4.When a Nebraska licensee acts as a limited agent (dual agent) with the consent of both parties, which of the following duties is the licensee MOST likely required to limit?

• A.Treating both parties honestly
• B.Disclosing known material defects to the buyer
• C.Disclosing one party's confidential negotiating position to the other party
• D.Providing accurate information about the property

Q5.Under the Nebraska Real Estate License Act, which of the following acts by a licensed salesperson would constitute a prohibited practice subject to license revocation or suspension?

• A.Presenting a written offer to purchase to the seller even after the salesperson's employing broker has verbally instructed the salesperson not to submit that particular offer.
• B.Advertising the salesperson's own licensed name in a property advertisement without including the employing broker's name.
• C.Accepting a referral fee directly from a cooperating broker in another state with the written consent of the salesperson's employing broker.
• D.Showing a listed property to a buyer who is already represented by another licensed Nebraska broker.

Q6.When reviewing a title insurance policy, which of the following risks would typically NOT be covered by a standard owner's title insurance policy?

• A.A previously undisclosed easement that affects the property's use
• B.Forged signatures on a deed in the chain of title
• C.An outstanding mortgage that was not properly satisfied of record
• D.Environmental contamination from a prior owner's activities

Q7.The EPA's authority to regulate wetlands under the Clean Water Act extends to which types of water bodies?

• A.Only navigable waterways that cross state lines
• B.All water bodies within 1,000 feet of a navigable waterway
• C.Waters of the United States, including wetlands with significant nexus to navigable waters
• D.Only coastal wetlands and major rivers

Q8.Which federal law requires sellers and landlords to disclose the presence of asbestos-containing materials to buyers and tenants in most commercial buildings, and establishes work-practice standards for asbestos abatement?

• A.CERCLA
• B.The Toxic Substances Control Act (TSCA) and EPA's Asbestos Hazard Emergency Response Act (AHERA)
• C.The Safe Drinking Water Act
• D.The Resource Conservation and Recovery Act (RCRA)

Q9.In Nebraska, which state agency is responsible for issuing and regulating real estate salesperson licenses?

• A.Nebraska Department of Banking and Finance
• B.Nebraska Real Estate Commission
• C.Nebraska Secretary of State
• D.Nebraska Department of Labor

Q10.A property is held in joint tenancy with right of survivorship. One owner dies. How does title pass?

• A.Through the probate court based on the deceased owner's will
• B.Automatically to the surviving joint tenant(s) without probate
• C.To the deceased owner's heirs equally regardless of survivorship language
• D.By court order after creditor claims are resolved

Q11.Under the Nebraska Real Estate License Act, when a payment is made from the Real Estate Recovery Fund on behalf of a licensee, what is the consequence to that licensee's license?

• A.The licensee receives a public reprimand but retains the active license
• B.The licensee's license is automatically suspended until the full amount paid from the Fund, plus interest, is repaid to the Fund
• C.The licensee must complete additional continuing education but no license suspension occurs
• D.The licensee is placed on probation for one year and the license remains active during that period

Q12.Under the Fair Housing Act, which advertising practice would be considered discriminatory steering?

• A.All of the above practices constitute illegal steering
• B.Advertising properties only in newspapers serving specific ethnic communities
• C.Using models of only one race in all real estate advertising materials
• D.Describing neighborhood demographics to discourage certain protected classes from viewing properties

Q13.A licensed Nebraska property manager is holding security deposits and monthly rent payments for multiple residential properties. Under Nebraska law and the Nebraska Real Estate Commission's rules, which of the following correctly describes the required handling of these funds?

• A.Security deposits and rent payments may be commingled with the property manager's operating funds as long as accurate records are maintained in the manager's general ledger.
• B.All tenant funds must be deposited into a single pooled trust account, and the property manager is prohibited from maintaining separate ledgers for individual properties.
• C.Security deposits and rents collected on behalf of clients must be deposited into a separate trust account and must not be commingled with the licensee's personal or business operating funds, with accurate records maintained for each client.
• D.Nebraska law requires that security deposits be held in an interest-bearing account and that all accrued interest be paid directly to the tenant upon lease termination.

Q14.CERCLA (Comprehensive Environmental Response, Compensation, and Liability Act) primarily addresses which environmental concern in real estate?

• A.Noise pollution from airports
• B.Energy efficiency standards
• C.Hazardous waste contamination and cleanup
• D.Water conservation requirements

Q15.A Nebraska real estate salesperson affiliated with Broker Gonzalez lists a property and, without the designated broker's knowledge, negotiates a side agreement with the seller to receive an additional cash bonus directly from the seller at closing, separate from the brokerage commission. Which of the following statements best describes the legal consequences under the Nebraska Real Estate License Act?

• A.The arrangement is permissible because Nebraska law allows salespersons to negotiate compensation directly with clients, provided the amount is disclosed in writing to all parties before closing.
• B.The arrangement violates Nebraska law because a salesperson may only receive compensation for licensed activity through the salesperson's designated broker, and accepting payment directly from a principal is prohibited.
• C.The arrangement is permissible if the salesperson discloses it to the Nebraska Real Estate Commission within ten days of closing.
• D.The arrangement violates Nebraska law only if the bonus exceeds the amount of the brokerage commission originally agreed upon in the listing agreement.