Arizona Real Estate License Arizona Real Estate Statutes 3 — Questions and Answers
Question 1: Under Arizona law, what document must a broker provide to a buyer detailing material facts about a resale home?
- Affidavit of Value
- Seller's Property Disclosure Statement (SPDS) (Correct answer)
- Quitclaim deed
- Homestead declaration
Correct answer: Seller's Property Disclosure Statement (SPDS)
The Seller's Property Disclosure Statement (SPDS) discloses material property facts to the buyer as required practice under Arizona statutes.
Question 2: How many continuing education hours must an Arizona salesperson complete each two-year renewal period?
- 12 hours
- 24 hours (Correct answer)
- 30 hours
- 6 hours
Correct answer: 24 hours
Arizona requires 24 hours of continuing education, distributed across mandated categories, per two-year renewal.
Question 3: Under A.R.S. §32-2153, which act is grounds for license suspension or revocation?
- Filing a required disclosure
- Substantial misrepresentation to a party (Correct answer)
- Depositing earnest money in escrow
- Completing continuing education
Correct answer: Substantial misrepresentation to a party
Substantial misrepresentation is a statutory ground for disciplinary action against a licensee.
Question 4: In Arizona, what is required before a subdivider may sell lots in a subdivision?
- A public report from the Commissioner (Correct answer)
- A federal permit
- A city council vote
- An MLS listing
Correct answer: A public report from the Commissioner
The Commissioner must issue a public report for the subdivision before lots may be offered or sold.
Question 5: What Arizona tax document reports the sale price and is filed with the county recorder at closing?
- Affidavit of Property Value (Correct answer)
- Homestead exemption
- Deed of trust
- Preliminary title report
Correct answer: Affidavit of Property Value
The Affidavit of Property Value records the sale price for county assessment purposes at recording.
Question 6: Under Arizona statute, a licensee's advertising must NOT do which of the following?
- Include the brokerage name
- Be false or misleading (Correct answer)
- State an accurate price
- Identify the property
Correct answer: Be false or misleading
A.R.S. §32-2153 prohibits false, misleading, or deceptive advertising by licensees.
Question 7: Which entity in Arizona provides a recovery fund for consumers harmed by licensee fraud?
- The Real Estate Recovery Fund (Correct answer)
- The FDIC
- The Homeowners Warranty Fund
- The State General Fund
Correct answer: The Real Estate Recovery Fund
The Arizona Real Estate Recovery Fund compensates consumers who obtain a judgment against a licensee for fraud that cannot be collected.
Arizona Real Estate License Arizona Real Estate Statutes 3
Under Arizona law, what document must a broker provide to a buyer detailing material facts about a resale home?