Educational Resources: Take Montana Real Estate Sample Tests, Application Steps and Tips

PSI, a testing platform, administers the Montana Salesperson Real Estate License exam to aspiring brokers and real estate agents.¹

You must take the test in person at a PSI center rather than online. There are at least three testing centers in the state you can choose: Missoula, Billings, and Great Falls.

Make an appointment to take your exam on the available testing days, Mondays through Saturdays, from 9 a.m. until 1:30 p.m.

You will pay your examination fee to PSI before taking the test. No refunds are issued, so don’t miss your exam date! If you do, you’ll have to pay to take the test again.

The Montana Salesperson Real Estate License test has 113 questions divided into two sections, State and National. The State section includes 33 questions on MT real estate laws, and the National section has the remaining 80.

Here is a breakdown of the materials on the State section of the exam, courtesy of PSI:

I. The Real Estate Licensing Agency’s Powers

A. Investigations, Hearings and Appeals
B. Sanctions

1. 1. Disciplinary Actions
   2. Penalties

C. Examination of Records

II. Licensing

A. Activities Requiring a License
B. License Renewal
C. Change in License

III. Requirements Governing the Activities of Licensees

A. Advertising
B. Broker/Salesperson Relationship
C. Compensation
D. Disclosure

1. 1. Conflict of Interest
   2. Property Disclosure
   3. Agency Disclosure

E. Handling of Documents
F. Handling of Monies
G. Listings
H. Illegal Inducements/Ethics

IV. Additional Topics

A. Recovery/Surety Fund
B. Land Description
C. Common Interest Ownership/Condominium
D. Landlord/Tenant Relationship
E. Foreclosure and Redemption
F. Statute of Frauds

Here are some sample questions to help you prepare for the test.

A city has condemned a property and plans to use it as a larger entrance for the municipal hospital. What power did the city use to do this?

A. Escheat
B. Eminent domain
C. Police power
D. Power of attorney

The answer to this question is B, eminent domain.

If a person uses a property long enough that their property rights supersede the fee simpler owner’s, what is this known as?

A. Adverse possession
B. Eminent domain
C. Homestead
D. Escheat

The answer is A, adverse possession.

You must answer 23 questions correctly in the State portion and 70 in the National section to pass the exam. That’s a total of 56 questions correct.

Step-By-Step Guide for Montana Board of Realty Regulation Real Estate License Application Submission

You’ve passed the Montana Salesperson Real Estate License test. Next, you must apply for your real estate license through the Montana Board of Realty Regulation.

Here are the steps to get started.

Step 1: Create an Online Account

You can send the application submission online, but you must have an account on the Montana Department of Labor & Industry website.²

You can create an account using the link above by clicking the Create an Account link.

You will be prompted to input your email address and create a unique username and password with a security question associated with your account.

Step 2: Have a Record of Passing the Exam

You must have records of passing the Montana Salesperson Real Estate License exam within the last 12 months. A copy of your passing grade should suffice.

Step 3: Find a Licensed or Supervising Broker

You must next find a licensed broker or supervising broker to sponsor you, as required by the Montana Board of Realty Regulation under ARM 24.210.611(8) and MCA 37-51-302. You must be under contract or employed by the broker.

Many first-time real estate agents wonder how to find a sponsoring broker, as they’re the legal license holder for a time.

You must seek a brokerage position the same way you would any job. You may be inexperienced in real estate, but sponsoring brokers understand that and will often hire you anyway so you can gain the on-the-job experience you need to become licensed.

You will not work uncompensated. However, since you’re hired under the broker, any commissions earned are split between you and them.

How the split works depends on the broker. Some brokers are willing to do a half-and-half split, where you and they receive an even cut of the commissions.

However, others might only give you 30 or 40 percent, taking the remaining 60 to 70 percent for themselves.

You should have an informal interview with a broker you’re interested in working with before you start employment under them.

Use the interview time to ask about their commission structure, what you’ll learn, and how long you’ll be under their tutelage, among other questions you might have.

Step 4: Apply for License Online

Apply for your license online. Here is a checklist of what new real estate licensees must have, according to the Montana Board of Realty Regulation.

• Official license verification for any related license you’ve had or currently hold, including outside of MT
• Proof that you completed the 70 hours of pre-licensing education
• Proof that you passed the Montana Salesperson Real Estate License exam
• Documentation, such as court records if you have any criminal charges or misdemeanors on your record

Expenses and Charges for Montana Board of Realty Regulation

The Montana Board of Realty Regulation charges an $80 one-time fee to register as a real estate license holder. You can pay by your bank account or credit card when completing the application online.

However, if you send the application by mail, the Montana Board of Realty Regulation asks you to refrain from sending cash directly. Instead, write a check or money order.

National Association of Realtors® (NAR) Membership Application (Discretionary)

Once you become an officially licensed real estate agent in MT, you could consider joining the National Association of REALTORS®.³ NAR is a real estate trade association with more than 1.5 million members.

For more than 100 years, real estate agents and brokers nationwide have joined NAR for industry insights, opportunities, and tools.

Here are the features of a NAR membership:

• Directories: Get your name listed in state real estate directories to expand your career opportunities.
• REALTORS® Conference & Expo: Attend this exclusive event for NAR members that’s been an annual real estate tradition since 1908.
• Young Professionals Network: Join the Young Professionals Network or YPN as a starting real estate agent or broker and discover new ways to grow your career.
• Savings: A NAR membership gives members many ways to save, including on continuing education, marketing, business expenses, technology, and insurance.
• Resources: Between REALTOR® Magazine, programs for certifications and designations, and other industry news, you can always stay abreast of trends affecting MT property buying and selling.

Joining NAR as a licensed real estate agent costs $150 in 2023.⁴ However, NAR will increase the price to $156 in 2024.

Membership is based on passing discretionary criteria. You must submit to a background check to determine if you have a criminal record.

That record doesn’t necessarily disqualify you from becoming a NAR member unless you have pending convictions or litigation.

What’s the Estimated Timeframe for the Real Estate Agent Application Process?

The MT real estate application process isn’t as time-consuming as in some states but can still take months to a year or more, depending on how you proceed.

At the very least, you must have 70 hours of pre-licensing education. Since you can obtain this online, you can complete the schooling at your leisure.

You shouldn’t rush through your education. It’s about more than getting your name on a sheet so you can take your exam.

You must learn the material presented to you if you hope to pass the Montana Salesperson Real Estate License exam. While you can breeze through the coursework, it’s better to absorb it over several weeks or months.

If you pass your real estate exam on the first try, that will reduce your overall time spent getting your license. However, there is no rush after receiving a passing grade and applying for the license.

Your exam grade is good for up to 12 months, so if you’re still ironing out details, such as moving to the state or finding a home or another job, you have the time.