TEXAS REAL ESTATE EXAM AND MATH
QUESTIONS EXAM QUESTIONS AND 100%
VERIFIED ANSWERS WITH RATIONALES
GRADED A+ LATEST
1.
A real estate broker sponsored a sales agent but failed to provide adequate
supervision. Under Texas law, who is primarily responsible for the agent’s actions?
A. The sales agent only
B. The broker only
C. Both the broker and the sales agent
D. The client
Correct Answer: C
Rationale: Texas law requires brokers to properly supervise sponsored sales
agents. While agents remain responsible for their own conduct, brokers are also
accountable for supervision failures.
2.
A buyer purchases a property for $285,000 with a 20% down payment. What is the
loan amount?
A. $228,000
B. $240,000
C. $257,000
D. $265,000
Correct Answer: A
Rationale:
20% of $285,000 = $57,000
$285,000 − $57,000 = $228,000
,3.
Which of the following BEST describes a “special warranty deed”?
A. Guarantees title against all defects, past and present
B. Warrants title only during the grantor’s ownership
C. Conveys title without any warranties
D. Transfers ownership by court order
Correct Answer: B
Rationale: A special warranty deed protects the grantee only against defects that
occurred while the grantor owned the property.
4.
A sales agent discloses confidential information about a seller’s motivation after
the transaction closes. Has the agent violated Texas law?
A. No, confidentiality ends at closing
B. No, because the client is no longer represented
C. Yes, confidentiality survives termination of the relationship
D. Yes, but only if damages occur
Correct Answer: C
Rationale: Confidentiality duties continue even after the brokerage relationship
ends, unless disclosure is required by law.
5.
A homeowner owns a property with a homestead exemption. Which creditor is
MOST likely able to force a sale?
A. Credit card company
B. Property tax authority
,C. Medical debt collector
D. Judgment creditor
Correct Answer: B
Rationale: Homestead protection does not apply to property tax liens, purchase
money mortgages, or mechanic’s liens.
6.
A landlord charges a tenant a $1,800 security deposit. How long does the landlord
have to refund the deposit after the tenant vacates?
A. 15 days
B. 21 days
C. 30 days
D. 45 days
Correct Answer: C
Rationale: Texas law requires security deposits to be refunded within 30 days,
unless a written accounting of deductions is provided.
7.
A buyer and seller enter into a valid contract. Which element is NOT required for
enforceability?
A. Mutual consent
B. Legal purpose
C. Written notarization
D. Consideration
Correct Answer: C
Rationale: Notarization is not required for contract validity, though contracts for
real estate must be in writing to satisfy the Statute of Frauds.
, 8.
If a real estate license holder acts as an intermediary, what is REQUIRED?
A. Written consent from only the buyer
B. Written consent from only the seller
C. Written consent from all parties
D. Verbal disclosure only
Correct Answer: C
Rationale: Intermediary status in Texas requires written consent from all parties
involved.
9.
A property generates $24,000 in annual gross rent and $6,000 in operating
expenses. What is the net operating income (NOI)?
A. $18,000
B. $20,000
C. $24,000
D. $30,000
Correct Answer: A
Rationale:
NOI = Gross Income − Operating Expenses
$24,000 − $6,000 = $18,000
10.
Which practice is considered illegal steering?
A. Explaining school district boundaries upon request
B. Providing crime statistics from public sources
C. Encouraging buyers to live in certain areas based on ethnicity
D. Referring buyers to mortgage lenders
QUESTIONS EXAM QUESTIONS AND 100%
VERIFIED ANSWERS WITH RATIONALES
GRADED A+ LATEST
1.
A real estate broker sponsored a sales agent but failed to provide adequate
supervision. Under Texas law, who is primarily responsible for the agent’s actions?
A. The sales agent only
B. The broker only
C. Both the broker and the sales agent
D. The client
Correct Answer: C
Rationale: Texas law requires brokers to properly supervise sponsored sales
agents. While agents remain responsible for their own conduct, brokers are also
accountable for supervision failures.
2.
A buyer purchases a property for $285,000 with a 20% down payment. What is the
loan amount?
A. $228,000
B. $240,000
C. $257,000
D. $265,000
Correct Answer: A
Rationale:
20% of $285,000 = $57,000
$285,000 − $57,000 = $228,000
,3.
Which of the following BEST describes a “special warranty deed”?
A. Guarantees title against all defects, past and present
B. Warrants title only during the grantor’s ownership
C. Conveys title without any warranties
D. Transfers ownership by court order
Correct Answer: B
Rationale: A special warranty deed protects the grantee only against defects that
occurred while the grantor owned the property.
4.
A sales agent discloses confidential information about a seller’s motivation after
the transaction closes. Has the agent violated Texas law?
A. No, confidentiality ends at closing
B. No, because the client is no longer represented
C. Yes, confidentiality survives termination of the relationship
D. Yes, but only if damages occur
Correct Answer: C
Rationale: Confidentiality duties continue even after the brokerage relationship
ends, unless disclosure is required by law.
5.
A homeowner owns a property with a homestead exemption. Which creditor is
MOST likely able to force a sale?
A. Credit card company
B. Property tax authority
,C. Medical debt collector
D. Judgment creditor
Correct Answer: B
Rationale: Homestead protection does not apply to property tax liens, purchase
money mortgages, or mechanic’s liens.
6.
A landlord charges a tenant a $1,800 security deposit. How long does the landlord
have to refund the deposit after the tenant vacates?
A. 15 days
B. 21 days
C. 30 days
D. 45 days
Correct Answer: C
Rationale: Texas law requires security deposits to be refunded within 30 days,
unless a written accounting of deductions is provided.
7.
A buyer and seller enter into a valid contract. Which element is NOT required for
enforceability?
A. Mutual consent
B. Legal purpose
C. Written notarization
D. Consideration
Correct Answer: C
Rationale: Notarization is not required for contract validity, though contracts for
real estate must be in writing to satisfy the Statute of Frauds.
, 8.
If a real estate license holder acts as an intermediary, what is REQUIRED?
A. Written consent from only the buyer
B. Written consent from only the seller
C. Written consent from all parties
D. Verbal disclosure only
Correct Answer: C
Rationale: Intermediary status in Texas requires written consent from all parties
involved.
9.
A property generates $24,000 in annual gross rent and $6,000 in operating
expenses. What is the net operating income (NOI)?
A. $18,000
B. $20,000
C. $24,000
D. $30,000
Correct Answer: A
Rationale:
NOI = Gross Income − Operating Expenses
$24,000 − $6,000 = $18,000
10.
Which practice is considered illegal steering?
A. Explaining school district boundaries upon request
B. Providing crime statistics from public sources
C. Encouraging buyers to live in certain areas based on ethnicity
D. Referring buyers to mortgage lenders
