Texas Real Estate SAE Brokerage
Supplemental Acknowledgment Exam
TREC Licensing Assessment Actual
Exam 2026/2027 with Detailed Rationales
| Complete Exam-Style Questions | Pass
Guaranteed – A+ Graded
Q1: The Texas Real Estate Commission consists of nine members. How many of these members must
be licensed brokers or sales agents?
A. Three
B. Four
C. Five
D. Six [CORRECT]
Correct Answer: D
Rationale: Correct because TREC is composed of nine members, six of whom must be licensed
brokers or sales agents, with the remaining three being public members.
Q2: Under the doctrine of respondeat superior, which party bears ultimate responsibility for the acts
of sponsored sales agents?
A. The sales agent personally
B. The client who hired the agent
C. The Texas Real Estate Commission
D. The designated broker [CORRECT]
Correct Answer: D
Rationale: Correct because the designated broker is responsible for all acts of sponsored agents
under the doctrine of respondeat superior.
,Q3: A broker receives earnest money from a buyer after the seller accepts an offer on Thursday
evening. By when must the broker deposit the funds into a trust account?
A. Friday
B. Monday [CORRECT]
C. Wednesday
D. Tuesday
Correct Answer: B
Rationale: Correct because TREC rules require earnest money to be deposited into a trust account
within two business days of seller acceptance, making Monday the deadline.
Q4: What is the primary purpose of the Texas Real Estate Recovery Fund?
A. To finance TREC operational expenses
B. To provide loans to licensed brokers
C. To compensate aggrieved persons who obtained a final judgment against a licensee for fraud or
breach of duty [CORRECT]
D. To subsidize continuing education courses
Correct Answer: C
Rationale: Correct because the Recovery Fund exists to compensate aggrieved persons who have
obtained a final judgment against a licensee for fraud or breach of fiduciary duty.
Q5: A sales agent places a newspaper advertisement that includes the agent's name in 12-point font
but the broker's name in 6-point font. Which TREC advertising requirement has been violated?
A. The broker's name must appear first in all advertisements
B. The broker's name must be legible and comparable in size to the licensee's name [CORRECT]
C. The advertisement may not exceed 25 words
D. The broker's name must appear in bold type only
Correct Answer: B
Rationale: Correct because TREC requires the broker's name to be included in all advertising in a
legible size that is comparable to the licensee's name.
Q6: A broker wishes to represent both the buyer and seller in the same transaction as an
intermediary. What is required before this relationship may be established?
A. Oral consent from both parties at the first showing
B. Written consent from the seller only
C. A court order appointing the broker as intermediary
D. Written consent from both the seller and the buyer [CORRECT]
Correct Answer: D
, Rationale: Correct because a broker may only act as an intermediary with the written consent of both
parties to the transaction.
Q7: A broker prepares a custom purchase agreement for a residential single-family property instead
of using the TREC-promulgated form. Which statement is true?
A. The broker violated TREC rules by failing to use the mandatory promulgated form [CORRECT]
B. The broker may use custom forms for any residential transaction
C. TREC promulgated forms are only suggested for residential sales
D. Custom forms are permitted when both parties agree in writing
Correct Answer: A
Rationale: Correct because TREC-promulgated contract forms are mandatory for residential
transactions involving one-to-four family properties, and using a custom form violates commission
rules.
Q8: A property is being sold by the executor of an estate. Which disclosure requirement applies?
A. The Seller's Disclosure Notice is required without exception
B. The executor must complete an abbreviated disclosure form
C. The Seller's Disclosure Notice is not required because the sale is by an executor [CORRECT]
D. The buyer must waive all disclosure rights in writing
Correct Answer: C
Rationale: Correct because sales by executors, trustees, REO properties, and new construction are
among the exceptions to the Seller's Disclosure Notice requirement.
Q9: Under the Texas Property Code, a landlord must return a tenant's security deposit within what
timeframe after the tenant moves out?
A. 15 days
B. 30 days, unless the lease provides for 60 days [CORRECT]
C. 45 days
D. 60 days in all cases
Correct Answer: B
Rationale: Correct because the security deposit must be returned within 30 days after move-out, or
within 60 days if the lease specifically provides for the longer period.
Q10: The Texas Fair Housing Act recognizes which protected classes?
A. Race, color, religion, sex, and age only
B. The same classes as federal law plus marital status
C. Race, color, religion, sex, national origin, familial status, disability, and age
Supplemental Acknowledgment Exam
TREC Licensing Assessment Actual
Exam 2026/2027 with Detailed Rationales
| Complete Exam-Style Questions | Pass
Guaranteed – A+ Graded
Q1: The Texas Real Estate Commission consists of nine members. How many of these members must
be licensed brokers or sales agents?
A. Three
B. Four
C. Five
D. Six [CORRECT]
Correct Answer: D
Rationale: Correct because TREC is composed of nine members, six of whom must be licensed
brokers or sales agents, with the remaining three being public members.
Q2: Under the doctrine of respondeat superior, which party bears ultimate responsibility for the acts
of sponsored sales agents?
A. The sales agent personally
B. The client who hired the agent
C. The Texas Real Estate Commission
D. The designated broker [CORRECT]
Correct Answer: D
Rationale: Correct because the designated broker is responsible for all acts of sponsored agents
under the doctrine of respondeat superior.
,Q3: A broker receives earnest money from a buyer after the seller accepts an offer on Thursday
evening. By when must the broker deposit the funds into a trust account?
A. Friday
B. Monday [CORRECT]
C. Wednesday
D. Tuesday
Correct Answer: B
Rationale: Correct because TREC rules require earnest money to be deposited into a trust account
within two business days of seller acceptance, making Monday the deadline.
Q4: What is the primary purpose of the Texas Real Estate Recovery Fund?
A. To finance TREC operational expenses
B. To provide loans to licensed brokers
C. To compensate aggrieved persons who obtained a final judgment against a licensee for fraud or
breach of duty [CORRECT]
D. To subsidize continuing education courses
Correct Answer: C
Rationale: Correct because the Recovery Fund exists to compensate aggrieved persons who have
obtained a final judgment against a licensee for fraud or breach of fiduciary duty.
Q5: A sales agent places a newspaper advertisement that includes the agent's name in 12-point font
but the broker's name in 6-point font. Which TREC advertising requirement has been violated?
A. The broker's name must appear first in all advertisements
B. The broker's name must be legible and comparable in size to the licensee's name [CORRECT]
C. The advertisement may not exceed 25 words
D. The broker's name must appear in bold type only
Correct Answer: B
Rationale: Correct because TREC requires the broker's name to be included in all advertising in a
legible size that is comparable to the licensee's name.
Q6: A broker wishes to represent both the buyer and seller in the same transaction as an
intermediary. What is required before this relationship may be established?
A. Oral consent from both parties at the first showing
B. Written consent from the seller only
C. A court order appointing the broker as intermediary
D. Written consent from both the seller and the buyer [CORRECT]
Correct Answer: D
, Rationale: Correct because a broker may only act as an intermediary with the written consent of both
parties to the transaction.
Q7: A broker prepares a custom purchase agreement for a residential single-family property instead
of using the TREC-promulgated form. Which statement is true?
A. The broker violated TREC rules by failing to use the mandatory promulgated form [CORRECT]
B. The broker may use custom forms for any residential transaction
C. TREC promulgated forms are only suggested for residential sales
D. Custom forms are permitted when both parties agree in writing
Correct Answer: A
Rationale: Correct because TREC-promulgated contract forms are mandatory for residential
transactions involving one-to-four family properties, and using a custom form violates commission
rules.
Q8: A property is being sold by the executor of an estate. Which disclosure requirement applies?
A. The Seller's Disclosure Notice is required without exception
B. The executor must complete an abbreviated disclosure form
C. The Seller's Disclosure Notice is not required because the sale is by an executor [CORRECT]
D. The buyer must waive all disclosure rights in writing
Correct Answer: C
Rationale: Correct because sales by executors, trustees, REO properties, and new construction are
among the exceptions to the Seller's Disclosure Notice requirement.
Q9: Under the Texas Property Code, a landlord must return a tenant's security deposit within what
timeframe after the tenant moves out?
A. 15 days
B. 30 days, unless the lease provides for 60 days [CORRECT]
C. 45 days
D. 60 days in all cases
Correct Answer: B
Rationale: Correct because the security deposit must be returned within 30 days after move-out, or
within 60 days if the lease specifically provides for the longer period.
Q10: The Texas Fair Housing Act recognizes which protected classes?
A. Race, color, religion, sex, and age only
B. The same classes as federal law plus marital status
C. Race, color, religion, sex, national origin, familial status, disability, and age
