Iowa Real Estate Practice Exam

What is required of a licensee if their license is inactive but they wish to maintain it?

1. They must take required continuing education courses

2. They must work under a broker

3. They must renew their license periodically

4. They can let it expire without penalties

The correct answer is: They must renew their license periodically

To maintain an inactive real estate license, a licensee must renew their license periodically. This requirement ensures that the licensee remains compliant with state regulations and is prepared to reactivate their license when they choose to return to active practice. Even when a license is not in active use, the regulatory authority mandates periodic renewal to prevent the license from becoming obsolete or expired. This renewal process might involve fulfilling specific administrative steps or submitting fees associated with maintaining the license's status. The other options highlight different obligations that are not applicable in this scenario. For example, working under a broker isn’t necessary if the license is inactive, as the individual is not practicing real estate at that time. Taking continuing education courses is typically a requirement for active licenses but does not directly pertain to maintaining an inactive status. Lastly, letting the license expire could lead to penalties or require reapplication, which is not the case if renewals are conducted on time. Therefore, the correct and most relevant response to maintaining an inactive license is the need for periodic renewal.