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Practice Of Real EstateLicense LawMEDIUM

Sandra is a licensed real estate broker in Minnesota who wants to obtain a South Dakota real estate license without completing the full 116-hour pre-license education requirement. She has held her active Minnesota broker license for five years. Which of the following accurately describes the option available to Sandra under South Dakota law?

Correct Answer

A) Sandra may apply for a South Dakota license through reciprocity, which may waive the pre-license education requirement, but she must still pass the South Dakota state portion of the licensing examination.

Current SDREC nonresident guidance requires an applicant seeking an equivalent South Dakota license to register for and pass the South Dakota State Exam, submit a current certificate of license history, and file the nonresident application packet. Current out-of-state licensure can avoid repeating the full resident prelicense education path, but it does not eliminate the South Dakota state-specific exam/application requirements.

Answer Options
A
Sandra may apply for a South Dakota license through reciprocity, which may waive the pre-license education requirement, but she must still pass the South Dakota state portion of the licensing examination.
B
Sandra may obtain a South Dakota license automatically because Minnesota and South Dakota have a full mutual recognition agreement that waives both the education and examination requirements.
C
Sandra must complete the full 116-hour pre-license education requirement and pass both portions of the South Dakota examination regardless of her Minnesota license.
D
Sandra may apply for a temporary South Dakota license valid for 90 days while she completes the required education, after which a permanent license will be issued.

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Related Topics & Key Terms

Key Terms:

reciprocityout_of_state_licenselicense_requirementssdcl_36_21a

Related Concepts

License requirements are the mandatory qualifications—including pre-licensing education, examination, and background checks—that a person must satisfy before legally practicing real estate. These requirements are established and enforced by each state's real estate commission.

Market allocation is an illegal antitrust practice in which competing real estate brokerages agree to divide markets among themselves by geographic area, property type, or price range, thereby eliminating competition.

Price fixing is an illegal antitrust practice in which competing real estate brokerages agree to charge the same commission rates, fees, or other pricing for their services. It is a per se violation of the Sherman Antitrust Act.

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