Nevada · state portion

Free Nevada License Practice practice questions

10 original questions with full explanations. 10 of the 40 scored state-portion questions (about 25%) come from this area.

1. 1

   A Nevada real estate salesperson receives a client's earnest money deposit. What must the salesperson do with these funds?

   • A. Deposit them into the salesperson's personal bank account
   • B. Give them to the client's lender
   • C. Use them to pay for marketing expenses
   • D. Deliver them to the broker for deposit into the broker's trust account
   Show answer & explanation

   Answer: D

   Client monies, such as earnest money deposits, must be delivered to the broker for deposit into the broker's trust account to avoid commingling and conversion.

2. 2

   A Nevada real estate salesperson receives a payment from a client for services rendered. What must the salesperson do with the payment?

   • A. Deposit it into their own account
   • B. Keep it as their own commission
   • C. Use it to pay business expenses
   • D. Give it to the broker
   Show answer & explanation

   Answer: D

   The salesperson must give the payment to the broker, as all compensation flows through the broker.

3. 3

   What type of opinion requires a license to provide in Nevada, but does not require a full appraisal?

   • A. Broker price opinion
   • B. Comparative market analysis
   • C. Appraisal
   • D. Inspection report
   Show answer & explanation

   Answer: A

   A broker price opinion requires a license to provide in Nevada, but does not require a full appraisal.

4. 4

   A Nevada real estate salesperson is preparing a broker price opinion (BPO) for a client. What is the primary purpose of a BPO?

   • A. To determine the market value of a property for a loan
   • B. To provide a detailed inspection of the property
   • C. To estimate the cost of repairs to the property
   • D. To negotiate a sale price between buyer and seller
   Show answer & explanation

   Answer: A

   The primary purpose of a BPO is to determine the market value of a property, often for use in lending decisions.

5. 5

   What must a Nevada real estate salesperson do with client monies, such as earnest money deposits, received in the course of a transaction?

   • A. Commingling them with personal funds is acceptable
   • B. Deposit them into the salesperson's personal account
   • C. Give them to the buyer or seller to hold
   • D. Deposit them into the broker's trust account
   Show answer & explanation

   Answer: D

   Nevada law requires that client monies be handled through the broker's trust account to prevent commingling and conversion.

6. 6

   A Nevada real estate salesperson is asked to prepare a broker price opinion (BPO) for a client. What is the primary purpose of a BPO?

   • A. To determine the property's market value for a sale
   • B. To advise the client on the best price to offer
   • C. To compare the property to similar properties in the area
   • D. To estimate the property's value for a lender
   Show answer & explanation

   Answer: D

   A BPO is typically used to estimate a property's value for a lender or other third-party purposes.

7. 7

   A Nevada real estate salesperson is subject to a disciplinary action for converting client funds. What may be the source of reimbursement for the client's loss?

   • A. The broker's errors and omissions insurance
   • B. The salesperson's personal assets
   • C. The client's own insurance
   • D. The Real Estate Education, Research and Recovery Fund
   Show answer & explanation

   Answer: D

   The Real Estate Education, Research and Recovery Fund may reimburse a client for losses due to a licensee's fraud or misrepresentation, including conversion of client funds.

8. 8

   What must a Nevada real estate salesperson do when creating a broker price opinion (BPO) for a client?

   • A. Charge the client a fee for the BPO without the broker's approval
   • B. Provide the BPO to the client without the broker's review
   • C. Only provide a BPO if they have an appraisal license
   • D. Ensure the BPO is supervised and approved by their broker
   Show answer & explanation

   Answer: D

   In Nevada, BPOs must be supervised by the broker to ensure accuracy and compliance with regulations.

9. 9

   In Nevada, a real estate salesperson's compensation for services rendered must be paid through which of the following?

   • A. The salesperson directly
   • B. The client directly
   • C. The state real estate commission
   • D. The salesperson's broker
   Show answer & explanation

   Answer: D

   Nevada salespersons are paid through their broker, as the broker is responsible for supervision and oversight.

10. 10

    Which of the following is a requirement for a Nevada real estate salesperson's advertisement?

    • A. The advertisement must include the salesperson's home phone number
    • B. The advertisement must include the salesperson's personal email address
    • C. The advertisement must include the salesperson's social security number
    • D. The advertisement must identify the broker
    Show answer & explanation

    Answer: D

    Nevada requires that advertisements identify the broker, as compensation flows through the salesperson's broker.