GOLD COAST REAL ESTATE 2026 EXAM
QUESTIONS WITH DETAILED VERIFIED
ANSWERS /ALREADY GRADED A+
Johnny moved to Florida from a mutual recognition state six months ago. Since he
has been a broker for many years in a state that has a mutual recognition agreement
with Florida, he applies to take the 40-question law test to get licensed as a broker
in Florida. Why does he-not qualify? - ANSWER-He is now a Florida resident
Which of the following best defines the mortgagee? - ANSWER-Lends money
Is an applicant for a Florida real estate license required to be a resident of Florida?
- ANSWER-No
Is an applicant for a Florida real estate license required to be a citizen of the United
States? - ANSWER-No
For the application with the DBPR, are you required to disclose any criminal
convictions? Even misdemeanors? - ANSWER-Yes
84. A seller wishes to net $55,000 after paying a 7% commission. What should the
selling price be? (Round up to the nearest dollar.) - ANSWER-$58,850
What is the purpose of FREC? - ANSWER-To protect the public
The NW ¾ of the NW ¾ of the NW ¾ and the NE ¼ of the NW ¼ of the NW ¼ of
a section describes a parcel of land containing how many acres? - ANSWER-20
acres
What does "Commission" refer to? - ANSWER-Florida Real Estate Commission
(FREC)
What does "Department" refer to? - ANSWER-Department of Business and
Professional Regulation (DBPR)
,How do you become eligible to become a broker? - ANSWER-A licensed sales
associate must be employed under one or more actively licensed brokers for at
least 24 months within the preceding five years.
What is a broker associate? - ANSWER-Is a licensed broker who chooses to work
as a sales associate under the direction of another broker.
Who compensates real estate agents? - ANSWER-By their employing brokers or
owner-developer
When an applicant is denied, how many days do they have to request a formal
hearing after being informed by the DBPR? - ANSWER-21 days
What is custom building? - ANSWER-When a contractor is employed to build a
structure according to the customer's specifications
What is speculative building? - ANSWER-When a contractor builds a structure
before securing a buyer with the hope of selling the finished structure. (AKA
building on spec)
What is tract building? - ANSWER-When a developer acquires a large tract of
land, records a subdivision plat map, and uses a model center from which sales
may be made.
Owners who buy income property as investments and depend on professionals to
manage them are called: - ANSWER-Absentee Owners
What is the process of developing an opinion of value of real property? -
ANSWER-Appraising
Transfer of ownership is called: - ANSWER-Dedication
Real estate professionals practice real estate when licensed as one of the following:
- ANSWER-Sales associate, broker, or broker associate
,What is the term when a real estate agent specializes in one geographic area? -
ANSWER-Farming
Owner-developers are only...? - ANSWER-Registered, not licensed
What happens to your real estate license if you fail to complete the 45-hour post
license course? - ANSWER-It becomes void
If a licensee fails to complete their first renewal, what happens to the status of their
license? - ANSWER-It becomes void
What type of agent is authorized under agency law by the employer to perform a
single act? - ANSWER-Special agent
What happens to your real estate license if you fail to complete the 14-hour
continuing education course? - ANSWER-It becomes involuntary inactive
...are persons who are granted authority under power of attorney to act for others in
some capacity, such as signing documents. - ANSWER-Attorneys-in-fact
The DBPR is responsible for: - ANSWER-Licensing and regulation of the real
estate professional.
The DBPR delegates rule-making and disciplinary authority for real estate to who?
- ANSWER-FREC
The DBPR can do all of the following except: - ANSWER-Issue injunctions
The Florida Real Estate Commission has many duties and powers. Which of the
following is the category of power that can be exercised by the chairperson acting
alone? - ANSWER-Executive powers
What is the maximum amount of money someone can be fined by the Commission
PER OFFENSE? - ANSWER-$5,000
A residential transaction is defined as: - ANSWER-Four units or less
, What 3 areas do real estate agents have to have expertise in? - ANSWER-
Marketing, Valuation, Property Transfer
As an agent of the broker, a sales associate has the same duties to the broker's
principals, as does the broker. Is this true or false? - ANSWER-True
What is the name of the party with whom the real estate licensee has entered into a
single agent relationship? - ANSWER-Principle
A transaction broker provides what type of representation to a buyer, seller, or
both, in a real estate transaction, but does not represent either in a fiduciary
capacity or as a single agent? - ANSWER-Limited representation
You, as a real estate agent, have to do what's in regards of offers? - ANSWER-
Present all offers
When does an offer expire? - ANSWER-Two days
What is the maximum amount of time that a licensee can have their license be
involuntary inactive? - ANSWER-No more than 2 years
If a broker's license is suspended, revoked, or otherwise void and ineffective, what
happens to the licensee's license that is employed under this broker? - ANSWER-It
becomes automatically inactive
Complete the sentence: Statutes can authorize the creation and operation of
administrative agencies to administer and....? - ANSWER-Enforce certain laws
What type of brokerage relationship is automatically assumed unless a single
agency or no representation has been established with a customer? - ANSWER-
Transaction Broker
Billy is opening up a new brokerage firm. Money is a little tight for Billy so he
decides to have his brokerage be located in his motor home. Is this legally
QUESTIONS WITH DETAILED VERIFIED
ANSWERS /ALREADY GRADED A+
Johnny moved to Florida from a mutual recognition state six months ago. Since he
has been a broker for many years in a state that has a mutual recognition agreement
with Florida, he applies to take the 40-question law test to get licensed as a broker
in Florida. Why does he-not qualify? - ANSWER-He is now a Florida resident
Which of the following best defines the mortgagee? - ANSWER-Lends money
Is an applicant for a Florida real estate license required to be a resident of Florida?
- ANSWER-No
Is an applicant for a Florida real estate license required to be a citizen of the United
States? - ANSWER-No
For the application with the DBPR, are you required to disclose any criminal
convictions? Even misdemeanors? - ANSWER-Yes
84. A seller wishes to net $55,000 after paying a 7% commission. What should the
selling price be? (Round up to the nearest dollar.) - ANSWER-$58,850
What is the purpose of FREC? - ANSWER-To protect the public
The NW ¾ of the NW ¾ of the NW ¾ and the NE ¼ of the NW ¼ of the NW ¼ of
a section describes a parcel of land containing how many acres? - ANSWER-20
acres
What does "Commission" refer to? - ANSWER-Florida Real Estate Commission
(FREC)
What does "Department" refer to? - ANSWER-Department of Business and
Professional Regulation (DBPR)
,How do you become eligible to become a broker? - ANSWER-A licensed sales
associate must be employed under one or more actively licensed brokers for at
least 24 months within the preceding five years.
What is a broker associate? - ANSWER-Is a licensed broker who chooses to work
as a sales associate under the direction of another broker.
Who compensates real estate agents? - ANSWER-By their employing brokers or
owner-developer
When an applicant is denied, how many days do they have to request a formal
hearing after being informed by the DBPR? - ANSWER-21 days
What is custom building? - ANSWER-When a contractor is employed to build a
structure according to the customer's specifications
What is speculative building? - ANSWER-When a contractor builds a structure
before securing a buyer with the hope of selling the finished structure. (AKA
building on spec)
What is tract building? - ANSWER-When a developer acquires a large tract of
land, records a subdivision plat map, and uses a model center from which sales
may be made.
Owners who buy income property as investments and depend on professionals to
manage them are called: - ANSWER-Absentee Owners
What is the process of developing an opinion of value of real property? -
ANSWER-Appraising
Transfer of ownership is called: - ANSWER-Dedication
Real estate professionals practice real estate when licensed as one of the following:
- ANSWER-Sales associate, broker, or broker associate
,What is the term when a real estate agent specializes in one geographic area? -
ANSWER-Farming
Owner-developers are only...? - ANSWER-Registered, not licensed
What happens to your real estate license if you fail to complete the 45-hour post
license course? - ANSWER-It becomes void
If a licensee fails to complete their first renewal, what happens to the status of their
license? - ANSWER-It becomes void
What type of agent is authorized under agency law by the employer to perform a
single act? - ANSWER-Special agent
What happens to your real estate license if you fail to complete the 14-hour
continuing education course? - ANSWER-It becomes involuntary inactive
...are persons who are granted authority under power of attorney to act for others in
some capacity, such as signing documents. - ANSWER-Attorneys-in-fact
The DBPR is responsible for: - ANSWER-Licensing and regulation of the real
estate professional.
The DBPR delegates rule-making and disciplinary authority for real estate to who?
- ANSWER-FREC
The DBPR can do all of the following except: - ANSWER-Issue injunctions
The Florida Real Estate Commission has many duties and powers. Which of the
following is the category of power that can be exercised by the chairperson acting
alone? - ANSWER-Executive powers
What is the maximum amount of money someone can be fined by the Commission
PER OFFENSE? - ANSWER-$5,000
A residential transaction is defined as: - ANSWER-Four units or less
, What 3 areas do real estate agents have to have expertise in? - ANSWER-
Marketing, Valuation, Property Transfer
As an agent of the broker, a sales associate has the same duties to the broker's
principals, as does the broker. Is this true or false? - ANSWER-True
What is the name of the party with whom the real estate licensee has entered into a
single agent relationship? - ANSWER-Principle
A transaction broker provides what type of representation to a buyer, seller, or
both, in a real estate transaction, but does not represent either in a fiduciary
capacity or as a single agent? - ANSWER-Limited representation
You, as a real estate agent, have to do what's in regards of offers? - ANSWER-
Present all offers
When does an offer expire? - ANSWER-Two days
What is the maximum amount of time that a licensee can have their license be
involuntary inactive? - ANSWER-No more than 2 years
If a broker's license is suspended, revoked, or otherwise void and ineffective, what
happens to the licensee's license that is employed under this broker? - ANSWER-It
becomes automatically inactive
Complete the sentence: Statutes can authorize the creation and operation of
administrative agencies to administer and....? - ANSWER-Enforce certain laws
What type of brokerage relationship is automatically assumed unless a single
agency or no representation has been established with a customer? - ANSWER-
Transaction Broker
Billy is opening up a new brokerage firm. Money is a little tight for Billy so he
decides to have his brokerage be located in his motor home. Is this legally
