CALIFORNIA REAL ESTATE BROKER EXAM QUESTIONS AND CORRECT ANSWER WITH EXPLANATION LATEST

CALIFORNIA REAL ESTATE BROKER EXAM QUESTIONS
AND CORRECT ANSWER WITH EXPLANATION LATEST
2025-2026

1.

A real estate broker in California must be at least:
A. 18 years old
B. 21 years old
C. 25 years old
D. 30 years old
Answer: A
Rationale: California requires brokers to be at least 18.



2.

The California Department of Real Estate is known as:
A. DRE
B. BREA
C. HUD
D. CAR
Answer: A
Rationale: DRE regulates California real estate licensing.



3.

A broker’s license is valid for:
A. 4 years
B. 2 years
C. 1 year
D. 6 years
Answer: A
Rationale: California broker licenses renew every 4 years.

,4.

Earnest money is:
A. Good faith deposit
B. Commission payment
C. Property tax
D. Loan fee
Answer: A
Rationale: Shows buyer’s serious intent.



5.

A listing agreement is between:
A. Seller and broker
B. Buyer and lender
C. Buyer and escrow
D. Broker and appraiser
Answer: A
Rationale: Authorizes broker to market property.



6.

Which listing gives one broker full commission rights?
A. Exclusive right-to-sell
B. Open listing
C. Net listing
D. Option listing
Answer: A
Rationale: Broker earns commission regardless of who finds buyer.



7.

A fiduciary duty includes:
A. Loyalty
B. Negligence
C. Fraud
D. Concealment

, Answer: A
Rationale: Brokers owe loyalty to clients.



8.

A buyer’s agent represents:
A. Buyer
B. Seller
C. Lender
D. Escrow company
Answer: A
Rationale: Buyer’s interests come first.



9.

A deed transfers:
A. Title ownership
B. Mortgage payment
C. Insurance policy
D. Tax records
Answer: A
Rationale: Deeds convey ownership.



10.

Real property includes:
A. Land and improvements
B. Furniture only
C. Personal vehicles
D. Stocks
Answer: A
Rationale: Includes land and attached items.



11.