Free Idaho Agency Practice Test — LicenseIQ

Question 1

Without written consent, which may a limited dual agent NOT disclose to the seller?

Accepted Answer

54-2088 bars disclosure of a buyer's willingness to pay more, a seller's willingness to take less, motivations, and willingness to change terms. Known defects are adverse material facts that must be disclosed.

Question 2

A listing where the seller may sell themselves without owing commission, but only the listing broker among agents is protected, is:

Accepted Answer

In an exclusive agency listing, the seller pays no commission on a self-sale, but the listing broker is protected if any broker sells it. (Reclassified to section 6 / CORE.)

Question 3

In Idaho, a buyer who is not in an agency relationship with a brokerage is called a:

Accepted Answer

54-2083 defines a customer as a buyer or seller not in an agency relationship. A client has signed a written representation agreement.

Question 4

A buyer's agent's brother owns a home that fits the buyer's needs. Before showing it, the agent must:

Accepted Answer

Any personal or financial interest of the agent or family must be disclosed up front so the client can make an informed decision.

Question 5

Who may NOT serve as an assigned agent in an Idaho limited dual agency?

Accepted Answer

54-2083 and 54-2088 bar the designated broker from acting as an assigned agent; the designated broker remains a limited dual agent for both clients.

Question 6

An agency relationship can be terminated by all of the following EXCEPT:

Accepted Answer

Agency ends by performance, expiration, mutual agreement, operation of law, death or incapacity, or destruction of the property - not by the wish of an unrepresented customer.

Question 7

Which statement about dual agency is correct?

Accepted Answer

Dual agency creates an inherent conflict; with informed written consent, the agent provides limited representation and must keep each party's confidences.

Question 8

A listing brokerage offers to pay part of its commission to the buyer's brokerage. Does that payment make the buyer's brokerage the seller's agent?

Accepted Answer

54-2089 states that payment of compensation, or an agreement only for payment, does not create agency.

Question 9

The best way to create an agency relationship is a(n):

Accepted Answer

A written express agreement clearly defines parties, duties and compensation and is enforceable.

Question 10

Which duty does a seller's agent owe to a buyer who is a customer, not a client?

Accepted Answer

Customers are owed HARD duties - Honesty, Accounting, Reasonable skill and care, and Disclosure of material facts - but not loyalty, obedience or confidentiality.

Question 11

When a broker appoints one salesperson to represent the seller and another salesperson in the same office to represent the buyer, this is:

Accepted Answer

Designated agency assigns separate agents within one brokerage; the broker is still a dual agent and written consent is required.

Question 12

Does giving a buyer the Agency Disclosure Brochure create an agency relationship?

Accepted Answer

54-2085 states that neither the brochure nor the representation confirmation creates a brokerage relationship; a separate signed agreement is needed.

Question 13

During a listing walk-through, the agent notices fresh paint on one ceiling area and a musty odor. The agent should:

Accepted Answer

Agents are not inspectors, but must recognize red flags (stains, odors, cracks) and disclose them for further investigation.

Question 14

A property manager owes fiduciary duties primarily to the:

Accepted Answer

The property manager is the owner's (general) agent and owes fiduciary duties to the owner, while dealing honestly with tenants.

Question 15

A seller instructs her listing agent not to show the home to buyers of a certain national origin. The agent should:

Accepted Answer

Obedience requires following lawful instructions only. Discriminatory instructions violate fair housing laws and must be refused.

Question 16

An unlicensed friend refers a buyer to an Idaho agent, and the buyer closes. May the agent's brokerage pay the friend a finder's fee?

Accepted Answer

54-2054 treats compensation to unlicensed persons for procuring buyers or sellers as fee-splitting. Commissions may be shared only with active licensed brokers.

Question 17

An agent authorized to perform a single specific act for a principal is a:

Accepted Answer

A special (limited) agent has authority for a specific task, typical of a listing agent. A property manager is usually a general agent.

Question 18

An agent advertises a home as having a 'new roof' without verifying it; the roof is actually 18 years old. This is:

Accepted Answer

Stating unverified facts that prove false is negligent misrepresentation; knowingly false statements are fraud. Puffing is opinion, not a verifiable fact.

Question 19

An agent tells a buyer he will show homes only if the buyer uses the agent's brother as mortgage broker. This is an illegal:

Accepted Answer

Conditioning one service on the purchase of another is a tying arrangement prohibited by antitrust law.

Question 20

When must an Idaho licensee give a prospective buyer or seller the Agency Disclosure Brochure?

Accepted Answer

54-2085 requires delivery at the first substantial business contact, with a signed and dated receipt kept by the brokerage.

Question 21

In an assigned agency, the designated broker learns that one client's confidential information was improperly disclosed to the other client. What must the broker do?

Accepted Answer

54-2088 requires the designated broker to promptly notify the affected client in writing of the improper disclosure.

Question 22

How does Idaho law characterize the duties a brokerage owes a client in a regulated transaction?

Accepted Answer

54-2094 replaces common-law agency duties with statutory duties and declares the relationship non-fiduciary absent a written agreement for greater duties.

Question 23

A seller knows that the basement flooded last spring, but the damage was repaired and is not visible. The seller and listing agent must:

Accepted Answer

Latent (hidden) defects known to the seller or agent must be disclosed; failing to do so can create liability for both.

Question 24

Which fiduciary duty continues even after the agency relationship has ended?

Accepted Answer

Most fiduciary duties end with the agency, but the agent must continue to keep the former client's confidential information private.

Question 25

Within which state agency is the Idaho Real Estate Commission now housed?

Accepted Answer

54-2005 creates the Commission within the Division of Occupational and Professional Licenses (DOPL). The Department of Finance regulates lenders and securities, not real estate licensees.

Idaho real estate agency practice test

1. Without written consent, which may a limited dual agent NOT disclose to the seller?

2. A listing where the seller may sell themselves without owing commission, but only the listing broker among agents is protected, is:

3. In Idaho, a buyer who is not in an agency relationship with a brokerage is called a:

4. A buyer's agent's brother owns a home that fits the buyer's needs. Before showing it, the agent must:

5. Who may NOT serve as an assigned agent in an Idaho limited dual agency?

6. An agency relationship can be terminated by all of the following EXCEPT:

7. Which statement about dual agency is correct?

8. A listing brokerage offers to pay part of its commission to the buyer's brokerage. Does that payment make the buyer's brokerage the seller's agent?

9. The best way to create an agency relationship is a(n):

10. Which duty does a seller's agent owe to a buyer who is a customer, not a client?

11. When a broker appoints one salesperson to represent the seller and another salesperson in the same office to represent the buyer, this is:

12. Does giving a buyer the Agency Disclosure Brochure create an agency relationship?

13. During a listing walk-through, the agent notices fresh paint on one ceiling area and a musty odor. The agent should:

14. A property manager owes fiduciary duties primarily to the:

15. A seller instructs her listing agent not to show the home to buyers of a certain national origin. The agent should:

16. An unlicensed friend refers a buyer to an Idaho agent, and the buyer closes. May the agent's brokerage pay the friend a finder's fee?

17. An agent authorized to perform a single specific act for a principal is a:

18. An agent advertises a home as having a 'new roof' without verifying it; the roof is actually 18 years old. This is:

19. An agent tells a buyer he will show homes only if the buyer uses the agent's brother as mortgage broker. This is an illegal:

20. When must an Idaho licensee give a prospective buyer or seller the Agency Disclosure Brochure?

21. In an assigned agency, the designated broker learns that one client's confidential information was improperly disclosed to the other client. What must the broker do?

22. How does Idaho law characterize the duties a brokerage owes a client in a regulated transaction?

23. A seller knows that the basement flooded last spring, but the damage was repaired and is not visible. The seller and listing agent must:

24. Which fiduciary duty continues even after the agency relationship has ended?

25. Within which state agency is the Idaho Real Estate Commission now housed?

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