COLORADO PSI REAL ESTATE EXAM NEWEST 2026
ACTUAL EXAM TEST BANK| COLORADO REAL
ESTATE PSI EXAM WITH COMPLETE 400 REAL EXAM
QUESTIONS AND CORRECT VERIFIED ANSWERS/
ALREADY GRADED A+ (MOST RECENT!!)
A buyer is assuming a loan at a closing on October 25. The loan balance
after the October 1 payment is $125,000 and the interest rate is 10%.
How will the interest proration appear on the buyer's closing statement?
A. $235.22 credit
B. $806.45 credit
C. $236.82 debit
D. $1041.67 debit - Correct Answer - B. $806.45 credit
The answer is $806.45 credit. To solve this problem, take the total
amount times the
interest rate, then divide by 12 to find monthly interest:
$125,000 x .1 = $12,500 ÷ 12 = $1,041.67 monthly interest
Now, divide that answer by the number of days in October and multiply
that by the number
of days the buyer must pay for:
$1,041.67 ÷ 31 X 24 = $806.45 prorated amount
The brokerage relationship between a seller and listing broker is created
by the
A. disclosure to buyer or seller.
B. A listing contract
pg. 1
,C. common law.
D. Contract to Buy and Sell. - Correct Answer - B. A listing contract
Brokerage relationships, agency or transaction-broker, are defined in the
listing contract.
A property sold for $450,000. The out-of-state seller will only net
$6,000 at closing. How much will the closing entity withhold for income
taxes?
A. $6,000
B. $12,000
C. $9,000
D. $6,700 - Correct Answer - A. $6,000 Withholding is the lesser of the
seller's net proceeds or 2% of the sales price, which means the full
amount of the seller's proceeds will be held
A brokerage firm is primarily involved in listings and sales, but does
manage 15 rentals. How many trust accounts must the brokerage
maintain?
A. 5
B. 4
C. 2
D. 3 - Correct Answer - D. 3 Once the brokerage manages more than
seven rentals, they will need to have at least three accounts- one for
earnest money (sometimes called "sales escrow"), one for rental
management, and one for security deposits. A broker who manages
seven rentals or less may deposit rental receipts and security deposits in
the "sales escrow" account.
pg. 2
,Good funds would include all the following EXCEPT
A. a cashier's check.
B. a wire transfer.
C. a teller's check.
D. a title insurance company check. - Correct Answer - D. a title
insurance company check. The answer is title insurance company's
check. Personal checks are not allowed, which would also include
company checks, business checks, or money market checks.
Fair Housing complaints in Colorado are handled by the
A. office of the Secretary of State
B. Colorado Civil Rights Commission.
C. Real Estate Commission.
D. office of the Attorney General. - Correct Answer - B. Colorado Civil
Rights Commission. The answer is Colorado Civil Rights Commission.
There is one year to file a complaint with them, and up to two years to
go to court.
Who has the responsibility for presenting an earnest money promissory
note to be collected?
A. Lender
B. Buyer broker
C. Employing broker
D. Listing broker - Correct Answer - D. Listing broker The answer is
listing broker. The promissory note is held by the listing broker and the
note must be redeemed and converted into good funds prior to the
closing.
pg. 3
, The closing instructions are a three party agreement between the buyer,
seller, and
A. title company
B. listing broker.
C. buyer's broker.
D. lender. - Correct Answer - A. title company The answer is title
company. This form is used by the seller and buyer to hire the title
company to complete the closing.
A broker has given the seller and buyer a Change of Status form to
become a transaction broker and double end the sale. The broker's ability
to make this change was agreed to in what document(s)?
A. The Change of Status form
B. The exclusive-right-to-sell only
C. The exclusive-right-to-buy only
D. Both listing contracts - Correct Answer - D. Both listing contracts
The answer is both listing contracts. The seller and buyer agree in the
listing to allow the broker to become a transaction broker and double
end the transaction, the notice of this change is the purpose of the
Change of Status form. The broker can also give this notice in the
Contract to Buy and Sell.
The Real Property Transfer Declaration is completed at closing and sent
to the
A. County Assessor's office.
B. state engineer.
C. Real Estate Commission.
pg. 4
ACTUAL EXAM TEST BANK| COLORADO REAL
ESTATE PSI EXAM WITH COMPLETE 400 REAL EXAM
QUESTIONS AND CORRECT VERIFIED ANSWERS/
ALREADY GRADED A+ (MOST RECENT!!)
A buyer is assuming a loan at a closing on October 25. The loan balance
after the October 1 payment is $125,000 and the interest rate is 10%.
How will the interest proration appear on the buyer's closing statement?
A. $235.22 credit
B. $806.45 credit
C. $236.82 debit
D. $1041.67 debit - Correct Answer - B. $806.45 credit
The answer is $806.45 credit. To solve this problem, take the total
amount times the
interest rate, then divide by 12 to find monthly interest:
$125,000 x .1 = $12,500 ÷ 12 = $1,041.67 monthly interest
Now, divide that answer by the number of days in October and multiply
that by the number
of days the buyer must pay for:
$1,041.67 ÷ 31 X 24 = $806.45 prorated amount
The brokerage relationship between a seller and listing broker is created
by the
A. disclosure to buyer or seller.
B. A listing contract
pg. 1
,C. common law.
D. Contract to Buy and Sell. - Correct Answer - B. A listing contract
Brokerage relationships, agency or transaction-broker, are defined in the
listing contract.
A property sold for $450,000. The out-of-state seller will only net
$6,000 at closing. How much will the closing entity withhold for income
taxes?
A. $6,000
B. $12,000
C. $9,000
D. $6,700 - Correct Answer - A. $6,000 Withholding is the lesser of the
seller's net proceeds or 2% of the sales price, which means the full
amount of the seller's proceeds will be held
A brokerage firm is primarily involved in listings and sales, but does
manage 15 rentals. How many trust accounts must the brokerage
maintain?
A. 5
B. 4
C. 2
D. 3 - Correct Answer - D. 3 Once the brokerage manages more than
seven rentals, they will need to have at least three accounts- one for
earnest money (sometimes called "sales escrow"), one for rental
management, and one for security deposits. A broker who manages
seven rentals or less may deposit rental receipts and security deposits in
the "sales escrow" account.
pg. 2
,Good funds would include all the following EXCEPT
A. a cashier's check.
B. a wire transfer.
C. a teller's check.
D. a title insurance company check. - Correct Answer - D. a title
insurance company check. The answer is title insurance company's
check. Personal checks are not allowed, which would also include
company checks, business checks, or money market checks.
Fair Housing complaints in Colorado are handled by the
A. office of the Secretary of State
B. Colorado Civil Rights Commission.
C. Real Estate Commission.
D. office of the Attorney General. - Correct Answer - B. Colorado Civil
Rights Commission. The answer is Colorado Civil Rights Commission.
There is one year to file a complaint with them, and up to two years to
go to court.
Who has the responsibility for presenting an earnest money promissory
note to be collected?
A. Lender
B. Buyer broker
C. Employing broker
D. Listing broker - Correct Answer - D. Listing broker The answer is
listing broker. The promissory note is held by the listing broker and the
note must be redeemed and converted into good funds prior to the
closing.
pg. 3
, The closing instructions are a three party agreement between the buyer,
seller, and
A. title company
B. listing broker.
C. buyer's broker.
D. lender. - Correct Answer - A. title company The answer is title
company. This form is used by the seller and buyer to hire the title
company to complete the closing.
A broker has given the seller and buyer a Change of Status form to
become a transaction broker and double end the sale. The broker's ability
to make this change was agreed to in what document(s)?
A. The Change of Status form
B. The exclusive-right-to-sell only
C. The exclusive-right-to-buy only
D. Both listing contracts - Correct Answer - D. Both listing contracts
The answer is both listing contracts. The seller and buyer agree in the
listing to allow the broker to become a transaction broker and double
end the transaction, the notice of this change is the purpose of the
Change of Status form. The broker can also give this notice in the
Contract to Buy and Sell.
The Real Property Transfer Declaration is completed at closing and sent
to the
A. County Assessor's office.
B. state engineer.
C. Real Estate Commission.
pg. 4
