SCENARIO-BASED QUESTIONS & VERIFIED ANSWERS WITH
EXPLANATIONS INCLUDES NATIONAL, STATE-SPECIFIC (TREC), AND
MATH CALCULATIONS
Question 1
A real estate salesperson places a "For Sale" sign in the yard of a listed property
without obtaining the owner's written permission. Which of the following is true?
A. This is acceptable as long as the listing agreement is signed
B. This constitutes grounds for license suspension or revocation
C. This is allowed if the sign is removed within 24 hours
D. This is only a violation if the owner complains
Correct Answer: B. This constitutes grounds for license suspension or revocation
Explanation: Placing a "For Sale" sign without owner permission is explicitly listed
as grounds for disciplinary action by TREC.
Question 2
A broker is approached by a buyer who needs help obtaining a loan. The broker
offers to provide the lender with an inflated sales price for the property to help
the buyer qualify. Is this legal?
A. Yes, if the buyer agrees in writing
B. Yes, if the broker does not charge a fee for this service
C. No, this is unlawful and could result in license suspension
D. No, but only if the lender discovers the inflation
Correct Answer: C. No, this is unlawful and could result in license suspension
Explanation: Brokers cannot be parties to dual contracts or provide false
information to lenders; this jeopardizes their license.
,Question 3
A real estate salesperson wants to advertise that she specializes in residential
property. What must be included in the advertisement?
A. The salesperson's personal phone number
B. The sponsoring broker's name
C. The salesperson's license number
D. The property address
Correct Answer: B. The sponsoring broker's name
Explanation: All advertising must be done in the sponsoring broker's name per
TREC rules.
Question 4
A lease does not have a clear expiration date. Under the URLTA (Uniform
Residential Landlord Tenant Act), how is this lease interpreted?
A. It is void
B. It is a tenancy at will
C. It is a tenancy from period-to-period
D. It is a tenancy for years
Correct Answer: C. It is a tenancy from period-to-period
Explanation: URLTA provides that if a lease lacks a definite expiration date, it
creates a period-to-period tenancy.
Question 5
A real estate salesperson wants to sell her own zero-lot-line home without using a
broker. What professional disclosure is required by law?
A. She must disclose that she is a licensed salesperson
B. She must list her status as "owner-agent"
,C. She must use a broker anyway
D. No disclosure is required for personal property
Correct Answer: B. She must list her status as "owner-agent"
Explanation: When selling her own home, a licensed salesperson must disclose her
status as "owner-agent."
Question 6
A broker has a website advertising the firm. What is required on each individual
screen of the website?
A. The broker's personal email address
B. The name of the company or broker
C. The license number of every agent in the firm
D. A disclaimer that the broker is not responsible for content
Correct Answer: B. The name of the company or broker
Explanation: Texas rules require the broker or company name on each individual
screen of a website.
Question 7
Which of the following listing agreements could put a Texas licensee's license in
jeopardy of suspension or revocation?
A. A 6-month exclusive right to sell listing
B. A listing that allows the listing to continue indefinitely (no termination date)
C. A listing with a 90-day termination date
D. A listing that requires written notice to terminate
Correct Answer: B. A listing that allows the listing to continue indefinitely (no
termination date)
Explanation: Listings must have a definite termination date; indefinite listings are
illegal and can result in disciplinary action.
, Question 8
After signing a listing agreement, what is the broker or salesperson required to
do?
A. Record the listing with the county clerk
B. Provide the seller with a legible, signed, true, and correct copy of the
agreement
C. Advertise the property within 48 hours
D. Order an appraisal
Correct Answer: B. Provide the seller with a legible, signed, true, and correct
copy of the agreement
Explanation: Licensees must provide a signed copy of the listing agreement to the
seller immediately after signing.
Question 9
A person believes they have experienced illegal housing discrimination. To which
agency may they file a complaint?
A. Only HUD
B. Only the Texas Commission on Human Rights
C. HUD, Texas Commission on Human Rights, or federal court
D. Only local police
Correct Answer: C. HUD, Texas Commission on Human Rights, or federal court
Explanation: Fair housing complaints can be filed with HUD, the Texas Commission
on Human Rights, or in federal court.
Question 10
What is the time limit for filing a fair housing complaint with the Texas
Commission on Human Rights?