Arkansas Real Estate License AREC Rules and Regulations Questions and Answers

Question 1

According to AREC regulations, which of the following is TRUE regarding advertising for a real estate agent in Arkansas?

Accepted Answer

The real estate firm's name must be included and be of equal or greater prominence than the agent's name.

Answer

The agent's personal phone number can be the only contact information listed.

Answer

Team names can be displayed in a way that might be construed as the firm's name.

Answer

Advertising a property for sale does not require the written permission of the owner.

Question 2

A principal broker in Arkansas receives an earnest money deposit from a buyer on a Friday afternoon. According to AREC rules, what is the LATEST the broker can deposit these funds into the trust account?

Accepted Answer

Within three business days following the execution of the contract.

Answer

Immediately upon receipt.

Answer

By the end of the next business day.

Answer

Within three calendar days following the execution of the contract.

Question 3

What are the annual continuing education (CE) requirements for an active real estate salesperson to renew their license in Arkansas?

Accepted Answer

7 hours, including a mandatory 1-hour safety course.

Answer

6 hours of electives and 2 hours of safety.

Answer

12 hours on any topic approved by the commission.

Answer

No CE is required for the first renewal period.

Question 4

An agent represents a seller in a transaction. At what point must the agent disclose their agency relationship to a potential buyer who is not represented by another agent?

Accepted Answer

At the first substantive contact with the potential buyer.

Answer

During the property inspection.

Answer

Only when a written offer is being prepared.

Answer

At the closing of the transaction.

Question 5

A buyer and seller are in dispute over the disbursement of earnest money held in a principal broker's trust account. The real estate contract does not specify how to handle such a dispute. According to AREC rules, the broker should:

Accepted Answer

Hold the funds until a written agreement between the parties is received or a court order is issued.

Answer

Immediately release the funds to the seller.

Answer

Release the funds to the party the broker believes is in the right.

Answer

Return the funds to the buyer immediately.

Question 6

Regarding license renewal in Arkansas, which of the following is correct?

Accepted Answer

Licenses expire on December 31st of each year, and renewing by September 30th avoids a late fee.

Answer

Licenses are renewed every two years on the licensee's birthday.

Answer

There is no penalty for renewing after September 30th, as long as it's before December 31st.

Answer

Continuing education must be completed after the license is renewed.