IN Real Estate study guide
IN Real Estate · Work through your exam, one topic at a time.
The Indiana Real Estate Salesperson license is issued by the Indiana Professional Licensing Agency (PLA) and authorizes a person to provide real estate brokerage services in Indiana under a sponsoring broker. The licensing examination is one step in that process - pre-licensing education and the license application are handled separately through the PLA and its MyLicense One online services - and its purpose is to confirm that a candidate can apply real estate principles and Indiana-specific requirements correctly. The IN Real Estate study guide has 10 sections and about 3,206 words.
01Real Property Characteristics and Ownership
Real property is land, everything permanently attached to it, and the bundle of rights that goes with it (surface, subsurface/mineral, and air rights). Personal property becomes realty by annexation.
336 words, about 2 min02Land Use Controls and Restrictions
Private restrictions (covenants, conditions, easements) and public controls (zoning, subdivision rules, building codes) both apply, and the stricter one wins. Zoning is an exercise of the police power under a state enabling act; it may reduce value without being a compensable taking.
325 words, about 2 min03Agency and Fiduciary Duties
Agency is created by express agreement, implication, estoppel, or ratification. In Indiana, a written agency agreement is required before a licensee represents a party, and the agency belongs to the brokerage, not the individual salesperson.
312 words, about 2 min04Contracts
A valid contract needs competent parties, mutual assent (offer plus acceptance), consideration, and a lawful purpose. Land contracts must also be in writing and signed by the party to be charged (Statute of Frauds; Indiana's version is at IC 32-21-1-1).
307 words, about 2 min05Financing and Mortgages
The note is the borrower's promise to pay; the mortgage (or deed of trust) pledges the property as security - hypothecation. Indiana is a lien-theory state: the borrower keeps title and the lender holds a lien, and mortgage foreclosures are judicial, through the courts.
318 words, about 2 min06Transfer of Title and Closing
A valid deed needs a competent grantor, an identifiable grantee, words of conveyance, a legal description, and the grantor's signature. Consideration is not required, but delivery and acceptance are.
295 words, about 1 min07Property Valuation and Appraisal
Market value assumes a willing buyer and seller, neither under duress, both informed, with reasonable exposure time. Highest and best use is the legal, physically possible, financially feasible use that produces the most value.
299 words, about 1 min08Practice of Real Estate and Required Disclosures
Indiana's Seller's Residential Real Estate Sales Disclosure (IC 32-21-5) applies to residential transfers of one to four units. The seller discloses known conditions; the form is not a warranty and does not replace inspections.
326 words, about 2 min09Real Estate Calculations
Commission = price × rate, and splits multiply. Sale proceeds = price − loan payoff − closing costs − commission + prorated credits to the seller.
341 words, about 2 min10Indiana License Law and Commission Rules
Indiana real estate licensing is administered by the Indiana Real Estate Commission within the Professional Licensing Agency, under IC 25-34.1 and the Commission's rules in 876 IAC. The Commission adopts rules, approves pre-licensing schools and instructors, investigates complaints, and imposes discipline.
347 words, about 2 min