TEXAS PRINCIPLES 1 EXAM PRACTICE QUESTIONS WITH
ANSWERS - CHAMPIONS SCHOOL OF REAL ESTATE
VERIFIED LATEST 2026 (GRADED A+)
Introduction
This Texas Principles 1 Exam Practice set, developed in alignment with the
Champions School of Real Estate curriculum, provides a complete and targeted
preparation tool for the official Texas Real Estate Commission (TREC) licensing
examination. Featuring verified, up-to-date questions that reflect the
2025/2026 testing standards, this practice exam is designed to assess and
reinforce your mastery of foundational Texas real estate principles. It covers
essential topics including property characteristics, ownership interests,
agency relationships, contracts, fair housing laws, and real estate
mathematics. By engaging with these practice questions, you will solidify your
understanding, identify key areas for review, and build the confidence
necessary to excel on your licensing journey.
Question 1
Townhomes and single-family homes differ in that ______ a common wall.
(a) townhomes share
(b) single-family homes are sold as distinct living units within
(c) owners of townhomes do not own the land because of
(d) townhomes are retro-commissioned and share
Correct Answer: (a) townhomes share
Rationale: Townhomes share at least one common wall with adjacent units,
while single-family homes are detached and do not share walls.
,Question 2
Rights that are associated with the ownership of real property are often
referred to as the owner's:
(a) Bundle of rights
(b) Constitutional rights
(c) Statutory rights
(d) Civil rights
Correct Answer: (a) Bundle of rights
Rationale: The "bundle of rights" is the common real estate term for the
collection of rights inherent in property ownership, including the rights to
possess, use, transfer, and exclude others.
Question 3
The agreement between a broker and a client is most often a(n) __________
agency relationship.
(a) Special
(b) General
(c) Universal
(d) Sub
Correct Answer: (a) Special
Rationale: A special agency relationship is most common in real estate, where
the agent has limited authority to perform specific acts for the client (e.g.,
selling a property).
Question 4
A professional association whose local affiliates own and operate MLS systems
,throughout the United States is the:
(a) NAR
(b) CCIM
(c) BOMA
(d) ICSC
Correct Answer: (a) NAR
Rationale: The National Association of Realtors® (NAR) is the professional
organization whose local associations typically own and operate Multiple Listing
Service (MLS) systems.
Question 5
A legal description that contains the words "Beginning at a point" is a:
(a) Lot and block description
(b) Metes and bounds description
(c) Informal reference
(d) PLSS description
Correct Answer: (b) Metes and bounds description
Rationale: Metes and bounds descriptions start at a point of beginning (POB)
and use distances, directions, and landmarks to define property boundaries.
Question 6
The concept behind the government survey system is the ________ of a grid on
top of the land.
(a) overlay
(b) metes and bounds
(c) coordinates
(d) leaps and bounds
, Correct Answer: (a) overlay
Rationale: The government survey system (also called the rectangular survey
system) uses a grid of townships, ranges, and sections overlaid on the land.
Question 7
You can use the acronym ____________ to remember the five essential
elements of a valid and enforceable contract.
(a) COLIC (contractual capacity, offer and acceptance, legality of object, In
writing & signed, and Consideration)
(b) COLLIE
(c) EOVEC
(d) OLDCAR (obedience, loyalty, disclosure, confidentiality, accountability, and
Reasonable care/diligence)
Correct Answer: (a) COLIC
Rationale: COLIC is a common acronym in real estate education representing
the five essential contract elements: Capacity, Offer & Acceptance, Legality, In
writing & signed, and Consideration.
Question 8
Releases can terminate ________.
(a) easements
(b) prescriptions
(c) implied grants
(d) necessities
Correct Answer: (a) easements
Rationale: Easements can be terminated by release, where the holder of the
easement right voluntarily gives it up in writing.
ANSWERS - CHAMPIONS SCHOOL OF REAL ESTATE
VERIFIED LATEST 2026 (GRADED A+)
Introduction
This Texas Principles 1 Exam Practice set, developed in alignment with the
Champions School of Real Estate curriculum, provides a complete and targeted
preparation tool for the official Texas Real Estate Commission (TREC) licensing
examination. Featuring verified, up-to-date questions that reflect the
2025/2026 testing standards, this practice exam is designed to assess and
reinforce your mastery of foundational Texas real estate principles. It covers
essential topics including property characteristics, ownership interests,
agency relationships, contracts, fair housing laws, and real estate
mathematics. By engaging with these practice questions, you will solidify your
understanding, identify key areas for review, and build the confidence
necessary to excel on your licensing journey.
Question 1
Townhomes and single-family homes differ in that ______ a common wall.
(a) townhomes share
(b) single-family homes are sold as distinct living units within
(c) owners of townhomes do not own the land because of
(d) townhomes are retro-commissioned and share
Correct Answer: (a) townhomes share
Rationale: Townhomes share at least one common wall with adjacent units,
while single-family homes are detached and do not share walls.
,Question 2
Rights that are associated with the ownership of real property are often
referred to as the owner's:
(a) Bundle of rights
(b) Constitutional rights
(c) Statutory rights
(d) Civil rights
Correct Answer: (a) Bundle of rights
Rationale: The "bundle of rights" is the common real estate term for the
collection of rights inherent in property ownership, including the rights to
possess, use, transfer, and exclude others.
Question 3
The agreement between a broker and a client is most often a(n) __________
agency relationship.
(a) Special
(b) General
(c) Universal
(d) Sub
Correct Answer: (a) Special
Rationale: A special agency relationship is most common in real estate, where
the agent has limited authority to perform specific acts for the client (e.g.,
selling a property).
Question 4
A professional association whose local affiliates own and operate MLS systems
,throughout the United States is the:
(a) NAR
(b) CCIM
(c) BOMA
(d) ICSC
Correct Answer: (a) NAR
Rationale: The National Association of Realtors® (NAR) is the professional
organization whose local associations typically own and operate Multiple Listing
Service (MLS) systems.
Question 5
A legal description that contains the words "Beginning at a point" is a:
(a) Lot and block description
(b) Metes and bounds description
(c) Informal reference
(d) PLSS description
Correct Answer: (b) Metes and bounds description
Rationale: Metes and bounds descriptions start at a point of beginning (POB)
and use distances, directions, and landmarks to define property boundaries.
Question 6
The concept behind the government survey system is the ________ of a grid on
top of the land.
(a) overlay
(b) metes and bounds
(c) coordinates
(d) leaps and bounds
, Correct Answer: (a) overlay
Rationale: The government survey system (also called the rectangular survey
system) uses a grid of townships, ranges, and sections overlaid on the land.
Question 7
You can use the acronym ____________ to remember the five essential
elements of a valid and enforceable contract.
(a) COLIC (contractual capacity, offer and acceptance, legality of object, In
writing & signed, and Consideration)
(b) COLLIE
(c) EOVEC
(d) OLDCAR (obedience, loyalty, disclosure, confidentiality, accountability, and
Reasonable care/diligence)
Correct Answer: (a) COLIC
Rationale: COLIC is a common acronym in real estate education representing
the five essential contract elements: Capacity, Offer & Acceptance, Legality, In
writing & signed, and Consideration.
Question 8
Releases can terminate ________.
(a) easements
(b) prescriptions
(c) implied grants
(d) necessities
Correct Answer: (a) easements
Rationale: Easements can be terminated by release, where the holder of the
easement right voluntarily gives it up in writing.
