Free Hawaii Real Estate Practice Exam Questions (December 2024) 50+

All land in the state of Hawaii is divided into four district boundaries: urban, rural, agricultural, and conservation.

No action for a judgment that subsequently results in an order for collection from the real estate recovery fund shall be started later than two years. When any aggrieved person commences an action for a judgment that may result in collection from the real estate recovery fund, the aggrieved person shall notify the commission in writing and it must be done no later than two years from the action.

It all is up to the discretion of the commission and the offense, but at the end of five years, a licensee may apply for a new one. Here is the exact quote from Hawaii Revised Statutes “No real estate broker or real estate salesperson shall be eligible to receive a new license until the expiration of at least five years from the effective date of the termination of the license and until the terminated real estate broker or real estate salesperson has repaid in full, plus interest.”

No it is not. Commingling is a breach of trust in which a fiduciary mixes funds held in care for a client with their own funds. Commingling is illegal in Hawaii.

The Hawaii Real Estate Commission consists of 9 people. Per HRS Chapter - Real Estate Brokers and Salespersons 467-3.

In Hawaii, all real estate advertising and promotional materials must include the legal name of the brokerage firm.

Yes. Six owners or less the Hawaii statute covers fractional ownership.

Any and all land ownership documents are recorded for the public record at the Bureau of Conveyances in Honolulu which is located at 1151 Punchbowl St. #120 Honolulu, HI 96813.

In Hawaii, a Tax Map Key (TMK) number is assigned to each parcel of land. Real property is mapped and indexed numerically according to a tax map key system. Based upon legal descriptions, tax map keys identify individual pieces of property for tax purposes.

The Hawaii Real Estate Commission members serve for terms of 4 years. Per HRS Chapter - Real Estate Brokers and Salespersons 467-3.

Property taxes in Hawaii are levied at the county level of government. Counties appraise properties to assess the value of each one, and this assessed value is used to calculate property taxes. Each county in Hawaii is responsible for administering and collecting property taxes.

Per Hawaii licensing laws all listing agreements for sale must be made in writing. Unilateral contracts and bilateral contracts and be both verbal and in writing depending on the specific contract.

A licensee buying property or selling their own property must disclose their license status to the principal broker or applicable/appropriate parties. Per Hawaii Administrative Rules 16-99-3 (g).

If you own and occupy a Hawaii property as your principal home, you qualify for a “home exemption,” which reduces your property taxes.

Powers and duties of commission include granting real estate licenses. Per HRS Chapter - Real Estate Brokers and Salespersons 467-4.

Dual agency is legal in Hawaii as long as there is written consent from all parties prior to entering into negotiations.

In order to be considered eligible for the Hula Mae Program, applicants must be older than 18 years of age, residents of Hawaii, and citizens or declarant aliens of the U.S. This program is designed for first-time homebuyers; any individual who has had any ownership interest in a principal residence or a beneficial interest in a land trust involving a principal residence—within or without the State of Hawaii—cannot qualify for the program. Prior recipients of the Hula Mae loan are also not eligible.

Commingling is when a licensee mixes funds held in care for a client with their own funds.

In Hawaii, with a fixed-term rental agreement, the tenant must remain in the dwelling for the entire term of the agreement or at least be making the payments that the contract deems. If not the person will be subject to liability for breach of contract.

In Hawaii, air rights usually belong to the current property owner.

Under Hawaii's Uniform Probate Code(for properties sold after July 1, 1977), a husband or wife may claim a 1/3 elective share of the other's estate at the decedent's death.

Unlike some states, in Hawaii there is no state law that dictates what a broker may charge for a commission. The commission is completely negotiable in the listing contract.

The certificate of exemption (from HARPTA) waiver needs to be given by the seller to the buyer within 14 days of the contract acceptance date. If a property seller fails to give the buyer a certificate of exemption, escrow must collect the required amount from the seller at closing and forward it to the State Department of Taxation.

In Hawaii, written authorization from the property owner is always required to start legally advertising a property.

All individuals who hold an active Hawaii real estate license are required to complete 20 hours of Commission approved continuing education during each two year renewal period.

A division of land extending from the top of the mountain to the ocean is called an Ahupua’a. The shape of an ahupua’a is similar to a piece of pie. Each moku or district is made up of these smaller land divisions.

The Office of Planning is responsible for evaluating whether a project meets the Land Use Commission decision-making criteria and whether or not the project complies with the Hawaii state plan

Under Hawaii law, counties govern the land zoning within the districts, other than in conservation districts.

The Hawaii State Plan is the guide for future long-range development of Hawaii. The Office of Planning is responsible for evaluating whether or not a project is deemed worthy of the plan itself.

If the balance is under $350,000.00 the Hawaii department of commerce can ask for licensees for an additional payment.

If the commission has to pay out of the recovery fund its bad news. If it happens... the broker or salesperson that committed the act in (which resulted in payment from the recovery fund) gets their license immediately terminated.

In Hawaii, the total amount of all deposits cannot exceed one month's rent. This includes the security deposit and any deposits for keys, pets, etc. Per Hawaii Revised Statutes Section 521-44 (Hawaii's Residential Landlord-Tenant Code). So in our case the maximum would be $1,500.

Any person that violates Hawaii Condo Property Law may be fined no more than $25,000.00.

Property taxes in Hawaii are levied at the county level of government. Counties appraise properties to assess the value of each one, and this assessed value is used to calculate property taxes.

The Real Estate Recovery Fund is a special fund established by Hawaii Real Estate Code to provide reimbursement to persons who are victims of fraud, misrepresentation or deceit committed by real estate licensees during the course of any transaction for which a license is required. The fund is designed to protect consumers.

All individuals who hold an active Hawaii real estate license are required to complete 20 hours of Commission approved continuing education during each two year renewal period.

None, all agents and brokers are required to complete required continuing education. The only exception is if the commission waives for a nonresident license applicant but that's decided on a case by case basis and is very rare.

Under the Hawaii Real Property Tax Act (HARPTA), the buyer or transferee of a property is required to withhold and deduct a certain percentage of the sales price upon disposition of the property. The purpose of the act is to ensure compliance with state tax law by nonresidents. It is similar to how the Foreign Investment in Real Property Tax Act (FIRPTA) functions.

The general excise tax or GET is a privilege tax imposed on business activity in Hawaii. The tax is imposed on the gross income received by the person engaging in the business activity. Hawaii requires those who receive rental income to pay the general excise tax on that income.

Failure to satisfy the continuing education requirement by the license expiration date shall result in the renewed license being automatically placed on an "inactive" status.

In Hawaii, mineral rights usually belong to the state of Hawaii.

The Hawaii State Plan is the guide for future long-range development of Hawaii. The Hawaii State Planning Act created the plan and rolled it out in 1978.

Hawaii Conservation districts are governed by the Hawaii Department of Land and Natural Resources.

Hawaii is infact a good funds state. A good funds state is one that requires all funds received by escrow before the property sale can be recorded.

The Bureau of Conveyances would have the information. Any and all land ownership documents are recorded for the public record at the Bureau of Conveyances in Honolulu which is located at 1151 Punchbowl St. #120 Honolulu, HI 96813.

The liability of the real estate recovery fund shall not exceed $50,000.00 for any one licensee.

Regarding real estate licenses reciprocity, Hawaii does not have any agreements with other states or countries.

In Hawaii, with a month-to-month tenancy, landlords are permitted to raise the rent but they must give a written notice of 45 days.

In Hawaii, the total amount of all deposits cannot exceed one month's rent. PLUS a seeing eye dog is not classified as a pet so Kendrick could only charge $1,000. Per Hawaii Revised Statutes Section 521-44 (Hawaii's Residential Landlord-Tenant Code).

If lava forms land it belongs to the state of Hawaii.