PSI Virginia Real Estate Practice Exam

What happens if licensees fail to reapply for active status after their license has been inactive for three years?

1. They can keep their license without penalties

2. They must retake the pre-license education and exam

3. They receive a warning from the Board

4. They lose their license permanently

The correct answer is: They must retake the pre-license education and exam

If licensees fail to reapply for active status after their license has been inactive for three years, they are required to retake the pre-license education and exam. This measure ensures that individuals are up to date with the latest laws, practices, and market conditions, which can change over time. The rationale behind this requirement is to maintain a standard of competency among active real estate professionals, ensuring that they possess the knowledge necessary to serve clients effectively. Keeping real estate knowledge current is essential due to the dynamic nature of the real estate market and regulations. By mandating that individuals retake the necessary coursework and examination after an extended period of inactivity, the state helps ensure that all agents practicing in the field have a foundational understanding of relevant issues and practices. The other options do not align with the requirements set forth by the regulatory body. Licensees cannot retain their license indefinitely without reapplying, nor are warnings issued for this specific situation. Failure to act can lead to loss of the license, but the protocol includes retaking educational requirements first. Thus, the requirement to complete pre-license education and examination serves to uphold professional standards within the real estate industry.