Iowa Real Estate Broker Exam

Iowa Real Estate Broker Exam: National Portion

The National Portion of the Iowa Real Estate Broker exam is two hours long and consists of 75 multiple-choice questions related to real estate practices and responsibilities. This portion of the exam covers 11 general topics.

• Property Ownership: This section accounts for 10% of the questions in this portion. Candidates should be prepared to answer questions about the legal possession of property, including the different categories and possible hindrances. Candidates should also be able to distinguish between real property and other types of property, as well as the various attributes of land.
• Land Use Controls and Regulations: This section makes up 5% of questions and requires test takers to have a general knowledge of how the government interacts with and oversees land's utilization. This section also requires test takers to be familiar with independent, non-governmental controls impacting landowners.
• Valuation and Market Analysis: This category comprises 7% of questions. Candidates must know the reason for appraisals and be familiar with each step in the completion of an appraisal. This section may also ask questions about examination of certain markets.
• Financing: This topic accounts for 8% of questions. Test takers are expected to have a basic understanding of real estate ideas related to finance, including the definitions of Loan-to-Value (LTV) and Principal, Interest, Taxes, Insurance (PITI). This section also tests candidates' knowledge of the different varieties of loans.
• General Principles of Agency: This section makes up 11% of questions and requires candidates to answer questions about what agencies are and how they function. Test takers should know the obligations of agents to each party.
• Property Disclosures: This topic accounts for 7% of questions. Test takers will be asked about which situations and factors require disclosure. It also requires candidates to know which property circumstances require inspection and/or investigation.
• Contracts: This topic makes up the largest section of this portion, accounting for 18% of questions. Test takers should be familiar with contracts and how they are legally executed. Candidates are also expected to know the necessary pieces and traits of purchase contracts.
• Leasing and Property Management: This section makes up 5% of questions and tests candidates' knowledge of property supervision. Test takers are expected to show an understanding of the different lease commitments. This section also covers specific legal acts, such as the Americans with Disabilities Act (ADA).
• Transfer of Title: This category comprises 7% of questions. Test takers should be familiar with insurance in these procedures and what it does (and does not) cover. This category tests candidates' understanding of deeds and the full and proper procedure for closing on a property.
• Practice of Real Estate: This section makes up 14% of questions and asks candidates to answer questions about real estate as a business, including ethical promotional materials. Candidates should know their full array of tasks as brokers.
• Real Estate Calculations: This section accounts for 8% of the questions in this section of the exam. Test takers should not only know the necessary tax procedures, they should also be able to perform other calculations related to loans and costs.

Iowa Real Estate Broker Exam: State Portion

The State Portion of the Iowa Real Estate Broker exam consists of 40 multiple-choice questions and lasts for one hour. This portion of the exam ensures candidates possess the critical knowledge in order to perform broker tasks specific to Iowa. The portion is broken up into 12 topic areas.

• Licensing Requirements: This topic will compromise two questions on the state exam. Candidates should be prepared to answer questions related to the regulations surrounding obtaining real estate licensure in this state.
• License Maintenance: Candidates should expect four questions on the state exam to cover this topic. Test takers should be prepared to demonstrate their awareness of the tasks required to maintain a real estate license.
• Disciplinary Actions: This topic comprises four questions on the Iowa Real Estate Broker exam. Candidates should be prepared to demonstrate an understanding of disciplinary actions affecting licensees, including which factors and practices can result in such actions.
• Real Estate Education: Test takers should expect two questions on the exam concerning the educational aspects of practicing real estate, such as continuing education for brokers.
• Trust Accounts: This category accounts for four questions on the exam. Candidates should be able to demonstrate knowledge of trust accounts, including their purpose in the practice of real estate.
• Contracts: This topic makes up five questions on the exam and tests candidates' understanding of the various types of real estate contracts and their functions.
• Agency: Test takers should expect four questions regarding agencies on the State Portion of the exam. Candidates should be prepared to demonstrate knowledge of the role agencies and agents play in various real estate processes.
• Prop Disclosure Requirements: This topic makes up three questions on the Iowa Real Estate Broker exam. Test takers must show an understanding of what property disclosures are and when they should be executed.
• Iowa Civil Rights Act of 1965: Candidates should expect one question on the Iowa Civil Rights Act of 1965 and how it affects the practice of real estate in Iowa.
• Unlicensed Assistants: Test takers should expect two questions on the exam to cover unlicensed assistants and what they are permitted (and not permitted) to do.
• Broker Responsibilities: This topic makes up six questions on the Iowa Real Estate Broker exam. Test takers should be familiar with brokers and their duties within the field of real estate.
• Property Management: This section accounts for three questions on the exam and requires candidates to define property management and be familiar with the responsibilities involved.