Free Idaho Laws, Rules, and Regulations Examination – Salesperson Practice Questions

Sample Practice Questions

Try these 10 sample questions from the Idaho Laws, Rules, and Regulations Examination – Salesperson practice bank. Each includes the answer and explanation. Continue with the interactive practice above to review the full question set.

1. 1Which action is within the Idaho Real Estate Commission's general statutory authority?

   1. A. Adopt rules necessary to administer and enforce the real estate license law
   2. B. Set county property-tax levies
   3. C. Record deeds for every county
   4. D. Issue building permits

   Answer: A

   Explanation: The commission may adopt rules needed to administer and enforce the chapter. County taxation, recording, and building permits belong to other governmental functions.

   Reference: Idaho Law Rules Current — § 54-2007, July 2025 booklet pp. 5-6

2. 2An unlicensed Idaho resident offers, for compensation, to negotiate the sale of another person's house. Which statement is correct?

   1. A. No license is needed if no closing occurs
   2. B. A real estate license is required because offering a covered service for another for compensation is enough
   3. C. A license is needed only after three transactions
   4. D. A license is needed only if the property is commercial

   Answer: B

   Explanation: Idaho treats even a single covered act or an offer to perform it for another for compensation as requiring licensure. Completion of a closing is not the trigger.

   Reference: Idaho Law Rules Current — § 54-2002, July 2025 booklet pp. 3-4

3. 3Who may be named in Idaho advertising of real estate brokerage services as the person offering those licensed services?

   1. A. Any unlicensed assistant
   2. B. Only an actively licensed person or licensed brokerage company as permitted by law
   3. C. Any former licensee
   4. D. Only a title company

   Answer: B

   Explanation: Idaho advertising rules limit the offering of licensed real estate services to properly active licensees and licensed brokerage companies. Naming an unlicensed person as the service provider would misrepresent licensure.

   Reference: Idaho Law Rules Current — § 54-2053, July 2025 booklet pp. 35-36

4. 4How is an agency relationship between an Idaho brokerage and a buyer or seller created?

   1. A. Automatically at first contact
   2. B. By a separate written representation agreement
   3. C. By accepting a business card
   4. D. By visiting an open house

   Answer: B

   Explanation: Idaho does not recognize implied or oral brokerage representation. Agency requires a separate written representation agreement.

   Reference: Idaho Law Rules Current — § 54-2084, July 2025 booklet pp. 47-48

5. 5An eligible Idaho owner-occupied home and up to one acre are assessed at $300,000. Using the current $125,000 homeowner-exemption cap, what taxable value remains before other adjustments?

   1. A. $125,000
   2. B. $150,000
   3. C. $175,000
   4. D. $300,000

   Answer: C

   Explanation: The exemption is the lesser of fifty percent of qualifying value or $125,000. Fifty percent is $150,000, so the cap applies and $300,000 minus $125,000 leaves $175,000.

   Reference: Homeowner and Additional Property Tax Relief | Idaho State Tax Commission — Search Category: Homeowners

6. 6In an Idaho deed-of-trust loan, who is given the power to sell the property after a qualifying default?

   1. A. The trustee
   2. B. The county assessor
   3. C. The listing salesperson
   4. D. The tenant

   Answer: A

   Explanation: A deed of trust places the statutory power of sale with the trustee for a nonjudicial foreclosure. The trustee must follow Idaho's notice and sale procedures.

   Reference: Recheck Idaho 45 1506 20261013 — Idaho Code §45-1506(8)

7. 7How is the Idaho Real Estate Commission composed?

   1. A. Three brokers and two legislators
   2. B. Four brokers or associate brokers and one public member
   3. C. Five public members
   4. D. One broker from each county

   Answer: B

   Explanation: The commission has five members. Four must be qualified brokers or associate brokers, and one represents the public.

   Reference: Idaho Law Rules Current — § 54-2005 and 54-2006, July 2025 booklet pp. 4-5

8. 8Which person generally falls within an Idaho statutory exemption from real estate licensure?

   1. A. An owner selling the owner's property for the owner's account
   2. B. An independent contractor selling an owner's property for a commission
   3. C. A neighbor negotiating one sale for an agreed fee
   4. D. An auctioneer selling another person's land for compensation

   Answer: A

   Explanation: An owner acting with respect to the owner's own property and own account is generally exempt. Acting for others for compensation ordinarily requires the appropriate license unless a specific exemption applies.

   Reference: Idaho Law Rules Current — § 54-2003

9. 9A salesperson advertises a listed home. What brokerage identification must be conspicuous in the advertisement?

   1. A. The county assessor's name
   2. B. The brokerage company's licensed business name
   3. C. The seller's lender
   4. D. The commission chair's name

   Answer: B

   Explanation: Advertising must conspicuously identify the licensed business name of the brokerage company responsible for the service. That identification helps the public know which licensed brokerage supervises the activity.

   Reference: Idaho Law Rules Current — § 54-2053, July 2025 booklet pp. 35-36

10. 10Which event by itself creates an Idaho brokerage representation relationship?

    1. A. Payment of a brokerage commission
    2. B. Delivery of the disclosure brochure
    3. C. Execution of a written representation agreement
    4. D. An oral promise of future representation

    Answer: C

    Explanation: A compensation agreement alone does not establish brokerage representation in Idaho. Agency requires the separate written representation agreement prescribed by statute.

    Reference: Idaho Law Rules Current — § 54-2083 and § 54-2089