How to Pass the Arkansas Real Estate Exam on Your First Try

The Arkansas real estate salesperson exam is 130 questions — 80 national and 50 state-specific. You must pass both sections at 70% or higher. The exam is administered by PSI and governed by the Arkansas Real Estate Commission (AREC).

Arkansas Exam Fast Facts - Questions: 130 (80 national + 50 state) - Passing score: 70% on each section (56 national, 35 state) - Time limit: 4 hours - Provider: PSI - Pre-license education: 60 hours (salesperson) - Governing body: Arkansas Real Estate Commission (AREC)

The Arkansas Real Estate Commission

AREC has 6 members: 5 licensees (at least one each from the four congressional districts) and 1 public member. Members serve 5-year terms and are appointed by the Governor.

Key AREC facts: - AREC enforces the Arkansas Real Estate License Law (ACA 17-42) - The Real Estate Recovery Fund is funded by licensee fees; max payout is $25,000 per transaction - Continuing education: 7 hours per year (or 14 hours per 2-year cycle) - New licensees must complete 30 hours of post-license education within the first year

Arkansas Agency Law

Arkansas uses the Disclosure of Agency Representation form, which must be presented at first substantial contact with a buyer or seller.

Agency relationship types in Arkansas: - Seller's agent: owes fiduciary duties to seller - Buyer's agent: owes fiduciary duties to buyer - Dual agent: represents both parties with written consent; fiduciary duties are limited - Transaction broker: facilitates the transaction without representing either party

The key distinction tested on the exam: a transaction broker does NOT owe fiduciary duties — they owe honesty, reasonable care, and accounting for funds.

Arkansas-Specific Disclosures

Arkansas sellers must complete a Residential Property Disclosure Form for most residential sales. The disclosure covers: - Structural systems (roof, foundation, HVAC) - Water systems (well, septic) - Environmental issues (lead, asbestos, underground tanks) - Legal issues (easements, encroachments, pending litigation)

Exempt from disclosure requirements: - Foreclosure sales - Court-ordered sales - Sales between co-owners - New construction (builder provides a different disclosure)

Trust Accounts

• Brokers must maintain a separate escrow/trust account
• Earnest money must be deposited within 3 business days of acceptance
• The broker is responsible for trust account compliance regardless of who handles the funds
• Commingling and conversion are grounds for license revocation and criminal charges

Topics That Catch Candidates Off Guard

The 30-hour post-license requirement: Many candidates don't realize that passing the exam isn't the end of their education obligations. Arkansas requires 30 hours of post-license education within the first license term.

Dual agency limitations: When a dual agent exists, confidentiality rules kick in — a dual agent cannot tell the buyer how low the seller will go, or tell the seller how high the buyer will go.

Recovery Fund process: Know that a claimant must first get a court judgment against the licensee before accessing the Recovery Fund.

Property management licensing: Property managers in Arkansas must be licensed unless managing their own property.

Your 4-Week Arkansas Study Plan

Week 1: National content — agency, contracts, ownership, land use Week 2: National content — financing, valuation, fair housing, math Week 3: Arkansas-specific — AREC structure, agency law, disclosure form, trust accounts Week 4: Full practice exams. Target 75%+. Drill transaction broker vs. dual agent, Recovery Fund caps, and post-license requirements.

With 50 state questions, Arkansas's state section is substantial. Agency law and disclosure rules are the highest-frequency topics.

Practice for the Arkansas Exam

[CARealestate.com/states/arkansas](https://carealestate.com/states/arkansas) has Arkansas-specific practice questions covering AREC rules, agency law, disclosure requirements, and trust accounts. 5 free questions, no signup needed.

The 70% threshold on both sections gives you some margin, but the 50 state questions make Arkansas's state section one of the largest proportionally. Prioritize state law in your final two weeks of prep.