Free Mississippi Real Estate Practice Exam Questions (April 2024) 40+

Mississippi is NOT a Community Property state. The states that have community property laws are: Louisiana, Arizona, California, Texas, Washington, Idaho, Nevada, New Mexico, and Wisconsin. Community property is property acquired that is considered to be obtained by mutual effort.

Mississippi agents owe their clients six fiduciary responsibilities: Loyalty, Obedience, Disclosure, Confidentiality, Reasonable skill, care and diligence, and Full accounting. Per Miss. Code Ann. §73-35-3 Rule 4.2 Definitions

Errors and omissions insurance is a type of professional liability insurance that protects agents against claims of inadequate work or negligent actions. Mississippi Real Estate Law mandates agents have errors and omissions insurance. Per MS Code § 73-35-16

Active Real Estate Professionals must complete 16 hours of approved CE during each full licensure renewal period.

The Mississippi Real Estate Commission is composed of five members, all of which are appointed by the Governor. Per MS Code § 73-35-5

“The commission shall require a receipt of proof of errors and omissions insurance from new licensees within thirty (30) days of licensure.” Per 73-35-16 - Real estate licensees required to obtain errors and omissions insurance coverage

“Prior to the close of business of the next banking day.” Earnest money accepted by the broker or any licensee for which the broker is responsible and upon acceptance of a mutually agreeable contract is required to deposit the money into a trust account prior to the close of business of the next banking day. Per Miss. Code Ann. 73-35-35 Rule 3.4 Earnest Money

“Upon conviction of a second or subsequent violation… by imprisonment for a term not to exceed six (6) months, or both.” Per 73-35-31 - Penalties for violations of chapter

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 of monies belonging to others with his own funds.” Per Miss. Code Ann. 73-35-21. Grounds for refusing to issue or suspending or revoking license; hearing

In Mississippi, all of the following are legal except a Net listing. Net listings create a potential conflict of interest for the broker and is prohibited in Mississippi.

Client. Mississippi agents owe their CLIENTS fiduciary responsibilities or duties.

“Every licensee shall, within ten days, notify the Real Estate Commission of any adverse court decisions in which the licensee appeared as a defendant.” Per Miss. Code Ann. §73-35-35 Rule 5.1 Notifications of Complaints to the Commission

Transparency is good, and important but not a specifically defined fiduciary responsibility per Mississippi law. Mississippi agents owe their clients six fiduciary responsibilities: Loyalty (1), Obedience (2), Disclosure (3), Confidentiality (4), Reasonable skill care and diligence (5), and Full accounting(6). Per Miss. Code Ann. §73-35-3 Rule 4.2 Definitions

“Any person violating a provision of this chapter shall, upon conviction of a first violation…..if a person, be punished by a fine of not more than One Thousand Dollars.” Per 73-35-31 - Penalties for violations of chapter

Five members. “There is hereby created the Mississippi Real Estate Commission. The commission shall consist of five (5) persons, to be appointed by the Governor with the advice and consent of the Senate.” Per MS Code § 73-35-5

Technically, the seller pays the listing broker (their sponsoring broker) who then pays the listing agent or salesperson.

“Upon conviction of a second or subsequent violation if a corporation, be punished by a fine of not less than Two Thousand Dollars ($ 2,000.00) nor more than Five Thousand Dollars ($ 5,000.00).” Per 73-35-31 - Penalties for violations of chapter

Active Mississippi Real Estate Professionals must complete approved CE during each two-year licensure renewal period.

“In the event of uncertainty as to the proper disposition of earnest money, the broker may turn earnest money over to a court of law for disposition.” Per Miss. Code Ann. §73-35-35 Rule 3.4 Earnest Money

“The following recommendation must be signed by three (3) citizens, who have been property owners for at least three (3) years, and who have known the applicant for three (3) years.” Per application for brokers license.

Mississippi has a two-month testing eligibility window. So you must take the exam within two months.

“Each appointee shall have been a resident and citizen of this state for at least six (6) years prior to his appointment, and his vocation for at least five (5) years shall have been that of a real estate broker.” Per MS Code § 73-35-5

“Each appointee shall have been a resident and citizen of this state for at least six (6) years prior to his appointment, and his vocation for at least five (5) years shall have been that of a real estate broker.” Per MS Code § 73-35-5

“The IREBEA program shall be a voluntary program based upon willing participation by real estate brokers, whether proprietorships, partnerships or professional corporations.” Per 73-35-105. Interest on Real Estate Brokers' Escrow Accounts (IREBEA) program.

“Whenever a Mississippi broker enters into a cooperative agreement under this section, the Mississippi broker shall file within ten (10) days with the commission a copy of each such written agreement.” Per 73-35-11. Nonresident may not act except in cooperation with licensed broker of state

“A real estate licensee shall immediately (at the time of signing) deliver a true and correct
copy of any instrument to any party or parties executing the same.” Per Miss. Code Ann. §73-35-35 Rule 3.2 Documents

3 months. An applicant who has failed the Mississippi salesperson's exam twice must three months to re-take the exam.

"Developer" means and includes any person who creates a timeshare plan or is in the business of selling timeshare interests, or employs agents to do the same or any person who succeeds in the interest of a developer by sale, lease, assignment, mortgage, or other transfer, but the term includes only those persons who offer timeshare interests for disposition in the ordinary course of business and does not include those sellers who sell timeshare interests on the developer's behalf. Per Miss. Code Ann. §73-35-3 Rule 8.2 Definitions

“Any person violating a provision of this chapter shall, upon conviction of a first violation… by imprisonment for a term not to exceed ninety (90) days, or both.” Per 73-35-31 - Penalties for violations of chapter

A real estate broker must keep on file for three years following its consummation, complete records relating to any real estate transaction. This includes, but is not limited to: listings, options, leases, offers to purchase, contracts of sale, escrow records, agency agreements, and copies of all closing statements. Per Miss. Code Ann. §73-35-35 Rule 3.2 Documents

Inactive licensees are NOT required to maintain Errors and Omissions Insurance. “Inactive licensees will not be required to pay the premium until changing to active status and the premium will be assessed on a pro-rata basis. However, inactive licensees will be invoiced at the beginning of the policy period. They may pay the full premium at that time if they desire.” Miss. Code Ann. 73-35-35 Rule 30-1601-9.2

“The licensee or any other person charged with a violation of this chapter shall be given fifteen (15) days' notice of the hearing upon the charges filed.” Per 73-35-23. Powers of commission as to violations; hearings upon revocation; subpoena

“Upon conviction of a second or subsequent violation if a person, be punished by a fine of not less than One Thousand Dollars ($ 1,000.00) nor more than Two Thousand Dollars ($ 2,000.00).” Per 73-35-31 - Penalties for violations of chapter

None, Mississippi does not have reciprocity agreements with any other states.

"Assessment" means the share of funds required for the payment of common expenses that are assessed from time to time against each timeshare interest owner by the managing entity. Per Miss. Code Ann. §73-35-3 Rule 8.2 Definitions

"Association" means the organized body consisting of the owners of timeshare interests in a timeshare plan. Per Miss. Code Ann. §73-35-3 Rule 8.2 Definitions

First substantial contact never occurred and no further agency disclosure was required. First substantial contact occurs with sellers in a pre-listing meeting, with buyers in a meeting to where they define the parameters of a home search, and with owners marketing their own property. Disclosure should be made during these occasions.

“A temporary license shall be valid for a period of one (1) year following the first day of the month after its issuance.” Per 73-35-14.5. Temporary licenses;

All fees charged and collected under this chapter shall be paid by the administrator at least once a week, accompanied by a detailed statement thereof, into the treasury of the state to the credit of a fund to be known as the "Real Estate License Fund," Per § 73-35-19 - Real estate license fund

Mississippi is a title theory state. In title theory states the lender holds title to the property in the name of the borrower through a Deed of Trust. When the loan is paid in full, the lender issues and records a Deed of Reconveyance, which clears the title of the property.