Texas State Portion Real Estate Exam Actual
Exam 2027/2028 | TREC Complete Test Bank
with Verified Questions & Answers | Guaranteed
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SECTION 1: TEXAS REAL ESTATE LICENSE LAW (Questions 1-15)
Q1: A Texas real estate sales agent's license expired on December 31, 2027. The agent failed to
renew before the expiration date. How long does the agent have to renew the license without
having to retake the licensing examination?
A. 30 days
B. 3 months
C. 6 months [CORRECT]
D. 1 year
Correct Answer: C
Rationale: Under TREC Rule 535.92, a sales agent has 6 months from the license expiration
date to renew without retaking the licensing examination. After 6 months but within 2 years, the
license may be reinstated with additional education requirements. Beyond 2 years, the applicant
must retake both the state and national portions of the exam. Options A, B, and D do not match
the specific 6-month grace period established by TREC.
Q2: Which of the following individuals is REQUIRED to hold a Texas real estate license when
performing the described activity?
A. An attorney-in-fact acting under a power of attorney to sell property for a family member
B. A property manager who leases and collects rents for single-family residential properties
owned by others [CORRECT]
C. A trustee selling property under the terms of a trust agreement
D. A person selling their own personal residence without representation
Correct Answer: B
,2
Rationale: Under Texas Occupations Code §1101.005, property management activities including
leasing and collecting rent for others constitute real estate brokerage requiring a license. Options
A, C, and D are specific exemptions under §1101.005—attorneys-in-fact, trustees acting under
trust authority, and individuals dealing with their own property do not require licensure.
Q3: The Texas Real Estate Commission consists of how many members, and what is the
composition requirement?
A. 7 members, all licensed brokers
B. 9 members, 6 licensed brokers and 3 public members [CORRECT]
C. 11 members, 8 licensed brokers and 3 public members
D. 5 members, 3 licensed brokers and 2 public members
Correct Answer: B
Rationale: Under Texas Occupations Code §1101.051, TREC consists of 9 appointed members:
6 must be licensed real estate brokers with at least 5 years of experience during the preceding 10
years, and 3 must be public members who are not regulated by TREC or related to the real estate
industry. This composition ensures both professional expertise and public representation in
commission decisions.
Q4: A sales agent completes their first license renewal cycle. How many hours of continuing
education (CE) are required, and what specific courses must be included?
A. 18 hours including 8 hours of TREC legal update I and II [CORRECT]
B. 15 hours including 6 hours of broker responsibility
C. 30 hours of Salesperson Apprentice Education (SAE) only
D. 24 hours including 12 hours of ethics training
Correct Answer: A
Rationale: Under TREC Rule 535.92, for the first renewal, sales agents must complete 18 hours
of CE including the mandatory 4-hour Legal Update I and 4-hour Legal Update II (totaling 8
hours), plus 10 hours of elective CE courses. SAE requirements (30 hours) apply to the initial
license period before first renewal, not the first renewal cycle itself. Broker responsibility
courses are required for brokers and sales agents who supervise others.
Q5: A broker places their license on inactive status. Which statement accurately describes the
requirements and limitations of inactive status?
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A. The broker may continue to practice real estate but cannot sponsor sales agents
B. The broker must complete CE requirements but cannot engage in any brokerage activities
requiring a license [CORRECT]
C. The broker is exempt from all CE requirements while inactive
D. The broker may perform property management activities but not sales transactions
Correct Answer: B
Rationale: Under TREC Rule 535.122, inactive license status means the holder cannot engage in
any activity requiring a real estate license, including brokerage, property management, or
referrals for compensation. However, the licensee must still complete CE requirements to renew
the inactive license. Options A, C, and D describe activities prohibited during inactive status or
incorrect exemptions.
Q6: Which of the following constitutes grounds for TREC to take disciplinary action against a
license holder under Texas Occupations Code §1101.652?
A. Failing to close a transaction within the timeframe specified in the contract
B. Being convicted of a felony or crime involving moral turpitude [CORRECT]
C. Refusing to represent a buyer because they were pre-qualified rather than pre-approved
D. Charging a commission rate higher than the local average
Correct Answer: B
Rationale: Texas Occupations Code §1101.652(a)(1) specifically lists conviction of a felony or
crime involving moral turpitude as mandatory grounds for license revocation or suspension.
Options A, C, and D do not constitute statutory violations—contract timeframes are civil matters,
choosing clients based on financing status is business discretion (unless discriminatory), and
commission rates are negotiable and not regulated by TREC.
Q7: A sales agent changes sponsoring brokers. How many days does the agent have to notify
TREC of the change, and what form is used?
A. 10 days using the Transfer of Sponsorship form
B. 30 days using the License Renewal Application
C. 10 days using the Notice of Sales Agent Sponsorship form [CORRECT]
D. 30 days using the Change of Status form
Correct Answer: C
Rationale: Under TREC Rule 535.122, a sales agent must notify TREC of a change in
sponsorship within 10 days using the Notice of Sales Agent Sponsorship form (TREC form