Arkansas Real Estate Exam Flashcards

Arkansas Real Estate Exam Flashcards executive brokera licensed broker employed and supervised by a principal broker as an employee or independent contractor who can perform real estate services under the auspices of the principal broker, but who also has the authority to supervise associate brokers and salespersons.to transfer an inactive licenses to another principal broker and Commission issue the a temporary license, licensee

must:

file a transfer application signed by the new principal broker, pay fee, and submit a statement attesting to not take listings or other proprietary property of previous broker to the new principal broker requirement for brokers license60 classroom hours in real estate within a 3-year period prior to the date of application, documented by the approved school or other satisfactory evidenceTwo years experience as a licensed Arkansas salesperson, or salesperson or broker from another state, within the four-year period preceding the date of application independent dealingA licensee representing themselves as a principal broker

when he/ she is not, is an example of:

the first partial year, nor the following full year of licensureNew licensees are not required to complete the CE

requirement in:

actual introductiona referral of a principal to a licensee that occurs prior to the licensee and principal having any material discussions about a specific transaction.No comminglingIt is illegal for the principal broker to deposit non-trust fund monies into the trust account, including personal funds or the firm's operating funds, and to place trust funds into a non-trust personal or business account.Arkansas Real Estate Foundation, Inc.Trust funds in Arkansas may bear interest if the principal broker elects to follow the "Interest on Real Estate Brokers' Trust Account Program," the recipient of the interest earned by the account must be the owner of the funds; refund the feedisbursement of advance fees must be in accordance with the written agreement signed by _____. If an agreement is not completed within a reasonable time following receipt of the funds the broker must ____ to qualify for a Arkansas licenseBe of majority age (18 years old).Satisfy educational requirements.Satisfy experience requirements.Pass the appropriate licensing examination.Demonstrate a record of professional conduct.Provide evidence of honesty, trustworthiness and integrity.Complete a criminal history background check.Pay the appropriate fees.

principal brokeran individual who performs certain real estate services for another party for compensation. ultimately responsible for the company's activities, notably the activities of other licensees as well as the business's trust accounts.the government survey system or Rectangular Survey System is based on sets of intersecting lines.Economic obsolescencea loss of value resulting from extraneous factors that exist outside of the property itself over which an owner has little or no control. Causes might be proximity to nuisances, changes in land use or population, change in zoning To activate an inactive licensemust complete 6 hours of CE for every year the licensee was inactive, up to a total of 30 hours.the close of the following business dayOffers received by selling agents must be presented to the listing firm by exempt from general portion of exam if:They passed the general portion in another state, subject to Commission approval; andThe passing grade for such section is no lower; andThe examinee is licensed in another state at the time he or she takes the Arkansas exam.

• daysfollowing execution of the sales contract, the developer

may cancel the contract without penalty Within Disbursement from the Time-share trust account may only be made when The rescission period has elapsed on a contract; orThe purchaser has defaulted, at which time the developer may receive the funds; or the monies are refunded to the purchaser.cost approachrelies on the original cost of the property's land and improvements, the cost to reproduce or replace the property's improvements, and the degree to which the improvements have depreciated. Primarily used for properties with limited comparable data or income data, or for properties where the original cost is particularly applicable, such as brand new homes, non-income producing buildings, government properties or unique-purpose buildings.broker's business identification requirements are:permanently attached and clear sign bearing the firm's name.Clear terms that indicate the company is in the real estate business (broker must notify the Commission of any change signage, and furnish photographs for approval) Trust fundsmonies or other consideration given to the principal broker or subordinate licensees by other parties in connection with a transaction or the rendering of real estate services; Monies deposited in a trust fund account.requirements for non-resident licensure are: Meet the same requirements as residents; or follow commissions non-resident regulations and meet requirements such as Affiliate with a resident or

non-resident principal broker licensed by the Commission etc.The description of a recorded plat property presents (3)the property's lot number or letter, then the block identifier and the subdivision name.

licenses of the principal broker and all licensees employed or affiliated with the principal broker must be retained by the principal broker and displayed in the broker's principal place of business relationship interferencethe party desiring the referral interferes to cause a referral to be paid, or cause the transaction to fail if no referral fee is to be paid (may bring civil action against the offender) new broker requirementcomplete 30-hour broker course w/in 1 year following the end of the month of the date of the issuance of the initial license. if the broker had completed the SP's post-license course w/in 3 yrs prior to date of licensure, need only take an additional 12-hour course Range Linesare lines on either side of a principal meridian and are divided into six mile wide strips by lines that run north and south parallel to the meridian.principal brokerparty responsible for all inflows and outflows from the branch's trust account.On or about July 15ththe Commission sends licensees notice to renew licenses for the upcoming year.approved by an Arkansas attorneyAll forms used to document agreements, prior to use, must be approved by a licensed Arkansas attorney if the examinee waits more than one year he or she must re-take the exam and re-apply for the license.When a principal broker discontinues business operations, or is terminated by an owner must surrender the license and all licenses of employed brokers and salespersons of the firm to the Commission for conversion to inactive status, and all signage must be dismantled.Advance feesmonies charged and received in advance of the performance of any real estate service, such as fees for advertising, listing, or offering a property for sale.

• days following the terminationprincipal broker must within _____ notify the Commission

of the termination, and surrender the license and card to the Commission. This automatically de-activates the license

• daysInactive licensees must notify the Commission of any

change in name or address within principal broker may keep non-trust monies in a trust

account in order to:

maintain a minimum balance and to cover service charges PHYSICAL DETERIORATIONa form of depreciation caused by the action of the physical elements, such as wind or snow, or just ordinary wear and tear.

• yearsReconciliations records must be made available for

inspection by the Commission and kept for The three accepted methods of legally describing parcels

of real estate are:

recorded plat method, or lot and block methodmetes and boundsrectangular survey system, or government survey method