Kansas Real Estate Salesperson Exam Study Guide

Kansas Real Estate Salesperson Exam Study Guide

The Kansas Real Estate Salesperson Exam is a test designed to determine the competency of prospective real estate salespersons in the state of Kansas. It is an integral step in receiving real estate licensure in Kansas. The exam contains two subtests, a national portion with 80 scored questions and 5 pretest items and a state portion with 30 scored questions and 10 pretest items. Test-takers must answer a minimum of 70% of the questions on both subtests correctly: 56 questions on the national portion and 21 on the state portion. The exam is designed to be completed in four hours with 2.5 hours allotted for the national portion and 1.5 hours for the state portion.

Kansas Real Estate Salesperson Exam Study Guide: National Portion

Content Areas	% of Questions
Real Property Characteristics, Legal Descriptions, and Property Use	11% (≈ 9 questions)
Forms of Ownership, Transfer, and Recording of Title	10% (≈ 8 questions)
Property Value and Appraisal	14% (≈ 11 questions)
Real Estate Contracts and Agency	20% (≈ 16 questions)
Real Estate Practice	18% (≈ 14 questions)
Property Disclosures and Environmental Issues	10% (≈ 8 questions)
Financing and Settlement	9% (≈ 7 questions)
Real Estate Math Calculations	9% (≈ 7 questions)

The national portion of the Kansas Real Estate Salesperson Exam focuses on topics that affect the practice of real estate nationally, such as real estate concepts, definitions, laws, and policies. These concepts are covered in further detail in this part of the Kansas Real Estate Salesperson Exam study guide. The test consists of 80 scored questions and 5 unscored pretest questions that are designed to be answered in a 2.5-hour timespan. The content areas are as follows:

Real Property Characteristics, Legal Descriptions, and Property Use

This content area of the national portion of the Kansas Real Estate Salesperson Exam covers important terms and legal definitions governing land and property ownership. Questions from this content area will ask the test-taker to know the definitions of various kinds of personal property--tenant businesses, possessions on or in a property, etc.--and how they are distinguished from real property--land or anything on or attached to that land. The exam will also contain questions about procedures to follow when an owner or salesperson wants to sever an attachment on a particular property within the law. The questions will concern other qualities of real property such as how the property can be physically defined or measured for economic value. The exam also covers the methods for describing real property such as surveying land. Test-takers must know the procedure to follow when surveying land or property. Lastly, this content area covers land use policies such as public (government or police) powers over land, including eminent domain, property taxes, or zoning laws. Private powers over land can include those granted to homeowner associations (HOAs) and other private individuals or third parties. These can be restrictions, easements, or encroachments.

Forms of Ownership, Transfer, and Recording of Title

This content area of the national portion of the Kansas Real Estate Salesperson Exam contains questions about the definitions of various types of ownership and property transfers. Test-takers should know the different types of freehold estates, whether it be fee simple absolute, defeasible, or determinate They must also understand life estate and bundle of rights--all kinds of freehold ownerships with various qualifications, definitions, and procedures. A prospective real estate salesperson should also know the types of leasehold estates--the temporary rights of ownership granted to tenants or other leaseholders. These can include a lease that lasts for a specific time period, a lease that can be terminated at any time, or even usage of property after the lease terms have ended. Further, this content area covers deeds and titles. Test-takers should know the different types of deeds and the qualities that make a deed valid. Questions will also cover the various ways to transfer property titles and the proper procedures and documentation necessary for these transactions to take place.

Property Value and Appraisal

The questions from this content area of the Kansas Real Estate Salesperson exam's national portion cover the concept and principles of market value and how it is characterized. Prospective real estate salespeople should also know how market value is differentiated from market price. Questions also concern the appraisal process, and test-takers should know the procedures and federal guidelines for appraising property. Finally, this content area covers the different methods and approaches to estimating value such as through market data, various types of cost analyses, the income approach to appraisal, and getting a broker price opinion on property value. Exam-takers should also know appraisal calculations for leased properties and general real estate market analysis. Questions may also cover what to do with the results of an appraisal and the possible tax consequences that follow.

Real Estate Contracts and Agency

This content area of the national portion of the Kansas Real Estate Salesperson exam is comprised of questions that ask the test-taker to know the different types of real estate contracts and their legal implications. These can range from the differences between express and limited contracts. Prospective real estate salespeople should know the hallmarks of a valid contract and the various terms, concepts, and definitions from contract law that can affect real estate contracts. Likewise, questions can cover elements of real estate sale contracts specifically. Also covered in this content area are the guidelines for real estate agencies, such as how to create or terminate an agency, the different types of agencies, the guidelines for relationships between clients and an agency, and the agency's responsibilities to the public.

Real Estate Practice

Questions from this content area of the Kansas Real Estate Salesperson exam's national portion cover further real estate salesperson responsibilities such as limiting their practice to only real estate expertise and not delving into the practice of law. Also covered are the agreements between real estate salespersons and the different parties with a stake in the property at hand, whether that involves buy/selling or renting. Test-takers must know the different types of real estate listings, property management styles and guidelines, as well as the procedures for entering or ending an agreement. This content area also contains questions about national fair housing laws, possible violations, and the punishment for these violations. Prospective real estate salespeople must also know various elements of risk management including real estate agency regulations, supervision of the agency, and different types of insurance. The ramifications of violating federal regulations, antitrust laws, or fraud are also covered in this content area.

Property Disclosures and Environmental Issues

The Kansas Real Estate Salesperson exam's national portion also contains a content area that covers questions about necessary disclosures when selling or leasing a property. These disclosures include a wide array of issues such as hazardous or toxic substances in a property or its construction materials or contamination of air and water. The test-taker must be familiar with federal air and water acts, as well as the provisions of the Environmental Protection Agency (EPA) and the powers it can have over a property with contamination or toxic substances. The specific acts that give the EPA its governing capabilities are also covered.

Financing and Settlement

The Financing and Settlement content area of the national portion of the Kansas Real Estate Salesperson exam asks questions about the various methods, concepts, and laws dealing with real estate financing. Test-takers should know the correct procedure for obtaining real estate financing through loans or mortgages and the rules and regulations that govern these transactions. Questions will also cover the requirements for financing lenders such as whether they are Fair Housing or Veterans' Affairs compliant or if they possess the proper insurance. Further, prospective real estate salespeople should be aware of federal governing bodies and legislative acts that affect real estate financing.

Real Estate Math Calculations

The final content area of the national portion of the Kansas Real Estate Salesperson exam contains questions that require a knowledge of equations and the mathematical processes required for various calculations important to real estate practice. For instance, a test-taker should know how to calculate the physical characteristics of a property, the value of a property, the commission gained from sale or lease, loan payments, the costs when closing on a real estate transaction, investment or rate of return, and also property management costs and returns.

Kansas Real Estate Salesperson Exam Study Guide: State Portion

Content Areas	% of Questions
Duties and Powers of the Kansas Real Estate Commission	7% (≈ 2 questions)
Licensing Requirements	13% (≈ 4 questions)
Requirements Governing Activities of Licensees	17% (≈ 5 questions)
Prohibited Acts	27% (≈ 8 questions)
Brokerage Relationships in Real Estate Transactions Act (BRRETA)	37% (≈ 11 questions)

The state portion of the Kansas Real Estate Salesperson exam finds its focus in real estate issues and topics that are relevant to the practice specifically within the state of Kansas. The test contains 30 multiple-choice questions and 10 unscored pretest items that are designed to be completed in 1.5 hours. The content areas are:

Duties and Powers of the Kansas Real Estate Commission

The first content area of the state portion of the Kansas Real Estate Salesperson exam contains questions about the powers of the Kansas Real Estate Commission, a major governing body in the state of Kansas. Test-takers should be aware of the Commission's general duties and powers as well as the procedures and processes it follows in investigating real estate agencies. Likewise, this content area covers the rulings that the Kansas Real Estate Commission can hand down, such as the revoking or suspending a license, fining an agency, or even further criminal proceedings.

Licensing Requirements

This content area of the Kansas Real Estate Salesperson exam's state portion covers the requirements needed to be fulfilled when obtaining a valid real estate licensure in the state of Kansas. Questions can cover the processes for:

• Receiving a license
• Renewing a license
• Reinstating a lapsed license
• Getting a license deactivated or rendered invalid

Exam-takers should also be familiar with the education requirements for becoming a licensed real estate agent in the state of Kansas specifically.

Requirements Governing Activities of Licensees

The state portion of the Kansas Real Estate Salesperson exam also contains a content area covering the various requirements that licensees in the state of Kansas need to follow in order for their practice to function legally and ethically. Test-takers should know the rules overseeing how their agency is named, where it can be located, how records are to be kept or reported, and how an agency is allowed to advertise itself. Questions will also cover appropriate contract language to make the documents valid in the state of Kansas.

Prohibited Acts

The Prohibited Acts content area of the Kansas Real Estate Salesperson exam's state portion finds its focus in various legislative acts that govern the practice of real estate in the state of Kansas. It also includes past rulings by the Kansas Real Estate Commission that may affect how a real estate agency does business within the state. Test-takers should be familiar with the Kansas Real Estate Brokers' and Salespersons' License Act and the various statutes, laws, and limitations handed down by the Kansas Real Estate Commission.

Brokerage Relationships in Real Estate Transactions Act (BRRETA)

The final content area of the state portion of the Kansas Real Estate Salesperson exam asks questions about Kansas' Brokerage Relationships in Real Estate Transactions Act, also known as BRRETA. The Act contains past rulings on the responsibilities of real estate buyers, sellers, and transaction brokers in the state of Kansas, specifically procedures and ethical behaviors for all parties. For instance, BRRETA calls for the agents of buyers and sellers to have the best interests of their respective clients in mind as they perform their duties. Likewise, a transaction broker is meant to act as a reasonable third party without a vested interest in either the buyer or the seller.