COLIBRI REAL ESTATE (REAL ESTATE
EXPRESS) FINAL EXAM REVIEW
200+ (Updated 2026) Complete Exam Pack | A+ Graded Questions &
Verified Answers
100% Guarantee Pass
📋 DOCUMENT OVERVIEW 203 Qs
This document, "Colibri Real Estate (Real Estate Express) Final Exam Review," covers key topics in real
estate licensing, including negotiable listing agreement terms, commission calculations, property
ownership, and contract law. It provides 203 formatted questions with correct answers and detailed
explanations, allowing students to review and understand complex concepts, such as property
ownership, commission splits, and contract obligations. Students can use this document to study,
review, and reinforce their knowledge of real estate principles, preparing them for licensing exams.
✓ Verified Answers ✓ Exam Ready ✓ Study Guide
Trusted by thousands of students and professionals worldwide
EXAM QUESTIONS
QUESTION 1
Of these, which is LEAST LIKELY to be negotiable in a listing agreement?
A. the broker's cooperation with other brokers
B. the commission to be paid to the listing broker
C. whether or not there is an end date to the listing
D. the scope of advertising and other marketing activities
CORRECT ANSWER
C. whether or not there is an end date to the listing
RATIONALE: The listing agreement's terms regarding the broker's cooperation with other brokers (A) and the
commission to be paid to the listing broker (B) can often be negotiated as they directly impact the listing broker's
compensation and relationship with other brokers. However, the whether or not there is an end date to the listing (C) is
typically non-negotiable as it is a standard practice in the real estate industry to have a fixed listing period, usually 6 or
12 months, to avoid open-ended commitments.
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, QUESTION 2
A developer purchases a foreclosed property for $96,000, intending to rehab it. Instead, he lets it
deteriorate and finally sells it a few years later for $84,000. Calculate his loss.
A) 8.75%
B) 11.4%
C) 12.5%
D) 14.2%
CORRECT ANSWER
C) 12.5%
$96,000 - $84,000 = $12,000 loss
$12,000 ÷ $96,000 = 0.125 or 12.5% loss
RATIONALE: The correct answer is determined by calculating the loss as a percentage of the original purchase price,
which is found by dividing the loss amount ($12,000) by the original purchase price ($96,000) and then converting the
result to a percentage. This calculation, $12,000 ÷ $96,000 = 0.125 or 12.5%, accurately reflects the magnitude of the
loss relative to the original investment.
QUESTION 3
Agent S executes a buyer agency agreement with buyer B. S reads an ad placed by a FSBO seller,
offering 3.5% commission to the broker who brings the buyer. What is the seller's relationship to S if
B makes an offer on the house?
A. The seller is an agent.
B. The seller is a client.
C. The seller is a customer.
D. The seller is a principal.
CORRECT ANSWER
C. The seller is a customer.
RATIONALE: When Agent S executes a buyer agency agreement with buyer B, S is acting as B's agent, not as the
buyer's agent in the FSBO transaction. As a result, the FSBO seller is not a client of S, as a client is typically someone
who is paying for professional services, but rather a customer, as the seller is simply a third party with whom S is
interacting in a transaction.
QUESTION 4
In an advertisement for a home, which of the following statements would MOST LIKELY be considered
discriminatory?
A. "beautiful home in an exclusive neighborhood"
B. "cozy home with a fabulous view of the bay"
C. "excellent location; lots of amenities; near bus stop"
D. "four-bedroom charmer, fenced lot, on a quiet cul-de-sac"
CORRECT ANSWER
A. "beautiful home in an exclusive neighborhood"
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, RATIONALE: This statement is discriminatory because it implies that the home is reserved for a select group of people
deemed worthy of an "exclusive" neighborhood, which can be seen as a veiled form of racial or socioeconomic bias. The
term "exclusive" often carries connotations of exclusivity based on factors like wealth, social status, or ethnicity, making
it the most likely candidate for being considered discriminatory.
QUESTION 5
Haru is working with his buyers to draw up a written offer on a property they want to purchase.
Which of the following items is not required in the offer?
A) The property description
B) The mortgage lender
C) The method of payment
D) Special stipulations the offer requires
CORRECT ANSWER
B) The mortgage lender
RATIONALE: A written offer on a property typically includes essential details such as the property description, method of
payment, and any special stipulations the offer requires. The mortgage lender, however, is not a required item in the
offer itself, but rather a crucial component in the subsequent home purchasing process, as it involves the lender
involved in the home buyer's financing.
QUESTION 6
Jake and Hal are partners in a real estate firm. Jake, the qualifying broker, dies unexpectedly. Which
of the following statements is FALSE?
A) Hal may temporarily saves as qualifying broker if the qualifying criteria are met.
B) The designated partner can sign all documents that must filed with the Commission.
C) Only Hal has the authority to disburse trust funds from the designated accounts.
D) The firm has 60 days to secure a new qualifying broker.
CORRECT ANSWER
C) Only Hal has the authority to disburse trust funds from the designated accounts.
RATIONALE: The statement that "Only Hal has the authority to disburse trust funds from the designated accounts" is
FALSE because, in the event of a qualifying broker's death, the designated partner can temporarily take on the role of
qualifying broker, allowing them to also manage and disburse trust funds. This allows for a smoother transition and
ensures that the firm can continue to operate without unnecessary disruptions.
QUESTION 7
A property owner decides to deed 10 acres of the family farm to a cousin. In the deed, he indicates
that no more than one single-family home can ever be built on the property. What type of estate has
the property owner created?
A. fee simple absolute estate
B. fee simple defeasible estate
C. leasehold estate
D. life estate pur autre vie
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, CORRECT ANSWER
B. fee simple defeasible estate
RATIONALE: The property owner's deed has created a fee simple defeasible estate because it restricts the cousin's use
of the property by imposing a condition that only one single-family home can be built, which limits the cousin's future
rights. This condition creates a potential for the estate to be terminated or "defeated" if the condition is breached,
distinguishing it from a fee simple absolute estate that has no such restrictions.
QUESTION 8
A homeowner lists her property at $155,000. Her broker receives an offer from A for $135,000
cashand a closing in 30 days; another offer from Bfor $145,000, subject to the owner taking back a
purchase money mortgage; and an offer from C at $150,000, subject to the buyer obtaining a
mortgage. What should the listing broker do?
A) Present all of the offers to the seller, even if the seller accepts the first offer.
B) Present none of the offers, as they are all below the seller's asking price.
C) Present only the first offer until the seller makes a decision; then present the next offer.
D) Present whichever offer is the highest and has the most favorable terms for the seller.
CORRECT ANSWER
A) Present all of the offers to the seller, even if the seller accepts the first offer.
RATIONALE: The correct answer is because the listing broker has a fiduciary duty to act in the best interest of the seller,
which includes presenting all offers, regardless of their terms or the seller's initial reaction, to ensure the seller has the
opportunity to make an informed decision. Presenting all offers ensures that the seller is aware of all potential options
and can choose the best offer based on their specific needs and goals.
QUESTION 9
Which statement about a comparative market analysis is FALSE?
A) A CMA can assist a buyer in determining a fair price to offer for a home.
B) A CMA can assist a seller in determining an appropriate listing price.
C) A CMA may be used to determine property value for a federally regulated loan.
D) A CMA should evaluate properties currently listed, recently sold or with expired listings.
CORRECT ANSWER
C) A CMA may be used to determine property value for a federally regulated loan.
RATIONALE: A CMA (Comparative Market Analysis) is typically used for negotiating prices between buyers and sellers,
not for determining property value for federally regulated loans, which require an appraisal conducted by a licensed
appraiser. This is because federally regulated loans, such as those insured by the Federal Housing Administration (FHA),
require an independent assessment of the property's value to ensure the loan is not under- or over-valued.
QUESTION 10
Which element of an adjustable rate mortgage determines whether the interest rate goes up or
down?
A. cap
Trusted by thousands of students and professionals worldwide Page 4 of 75
EXPRESS) FINAL EXAM REVIEW
200+ (Updated 2026) Complete Exam Pack | A+ Graded Questions &
Verified Answers
100% Guarantee Pass
📋 DOCUMENT OVERVIEW 203 Qs
This document, "Colibri Real Estate (Real Estate Express) Final Exam Review," covers key topics in real
estate licensing, including negotiable listing agreement terms, commission calculations, property
ownership, and contract law. It provides 203 formatted questions with correct answers and detailed
explanations, allowing students to review and understand complex concepts, such as property
ownership, commission splits, and contract obligations. Students can use this document to study,
review, and reinforce their knowledge of real estate principles, preparing them for licensing exams.
✓ Verified Answers ✓ Exam Ready ✓ Study Guide
Trusted by thousands of students and professionals worldwide
EXAM QUESTIONS
QUESTION 1
Of these, which is LEAST LIKELY to be negotiable in a listing agreement?
A. the broker's cooperation with other brokers
B. the commission to be paid to the listing broker
C. whether or not there is an end date to the listing
D. the scope of advertising and other marketing activities
CORRECT ANSWER
C. whether or not there is an end date to the listing
RATIONALE: The listing agreement's terms regarding the broker's cooperation with other brokers (A) and the
commission to be paid to the listing broker (B) can often be negotiated as they directly impact the listing broker's
compensation and relationship with other brokers. However, the whether or not there is an end date to the listing (C) is
typically non-negotiable as it is a standard practice in the real estate industry to have a fixed listing period, usually 6 or
12 months, to avoid open-ended commitments.
Trusted by thousands of students and professionals worldwide Page 1 of 75
, QUESTION 2
A developer purchases a foreclosed property for $96,000, intending to rehab it. Instead, he lets it
deteriorate and finally sells it a few years later for $84,000. Calculate his loss.
A) 8.75%
B) 11.4%
C) 12.5%
D) 14.2%
CORRECT ANSWER
C) 12.5%
$96,000 - $84,000 = $12,000 loss
$12,000 ÷ $96,000 = 0.125 or 12.5% loss
RATIONALE: The correct answer is determined by calculating the loss as a percentage of the original purchase price,
which is found by dividing the loss amount ($12,000) by the original purchase price ($96,000) and then converting the
result to a percentage. This calculation, $12,000 ÷ $96,000 = 0.125 or 12.5%, accurately reflects the magnitude of the
loss relative to the original investment.
QUESTION 3
Agent S executes a buyer agency agreement with buyer B. S reads an ad placed by a FSBO seller,
offering 3.5% commission to the broker who brings the buyer. What is the seller's relationship to S if
B makes an offer on the house?
A. The seller is an agent.
B. The seller is a client.
C. The seller is a customer.
D. The seller is a principal.
CORRECT ANSWER
C. The seller is a customer.
RATIONALE: When Agent S executes a buyer agency agreement with buyer B, S is acting as B's agent, not as the
buyer's agent in the FSBO transaction. As a result, the FSBO seller is not a client of S, as a client is typically someone
who is paying for professional services, but rather a customer, as the seller is simply a third party with whom S is
interacting in a transaction.
QUESTION 4
In an advertisement for a home, which of the following statements would MOST LIKELY be considered
discriminatory?
A. "beautiful home in an exclusive neighborhood"
B. "cozy home with a fabulous view of the bay"
C. "excellent location; lots of amenities; near bus stop"
D. "four-bedroom charmer, fenced lot, on a quiet cul-de-sac"
CORRECT ANSWER
A. "beautiful home in an exclusive neighborhood"
Trusted by thousands of students and professionals worldwide Page 2 of 75
, RATIONALE: This statement is discriminatory because it implies that the home is reserved for a select group of people
deemed worthy of an "exclusive" neighborhood, which can be seen as a veiled form of racial or socioeconomic bias. The
term "exclusive" often carries connotations of exclusivity based on factors like wealth, social status, or ethnicity, making
it the most likely candidate for being considered discriminatory.
QUESTION 5
Haru is working with his buyers to draw up a written offer on a property they want to purchase.
Which of the following items is not required in the offer?
A) The property description
B) The mortgage lender
C) The method of payment
D) Special stipulations the offer requires
CORRECT ANSWER
B) The mortgage lender
RATIONALE: A written offer on a property typically includes essential details such as the property description, method of
payment, and any special stipulations the offer requires. The mortgage lender, however, is not a required item in the
offer itself, but rather a crucial component in the subsequent home purchasing process, as it involves the lender
involved in the home buyer's financing.
QUESTION 6
Jake and Hal are partners in a real estate firm. Jake, the qualifying broker, dies unexpectedly. Which
of the following statements is FALSE?
A) Hal may temporarily saves as qualifying broker if the qualifying criteria are met.
B) The designated partner can sign all documents that must filed with the Commission.
C) Only Hal has the authority to disburse trust funds from the designated accounts.
D) The firm has 60 days to secure a new qualifying broker.
CORRECT ANSWER
C) Only Hal has the authority to disburse trust funds from the designated accounts.
RATIONALE: The statement that "Only Hal has the authority to disburse trust funds from the designated accounts" is
FALSE because, in the event of a qualifying broker's death, the designated partner can temporarily take on the role of
qualifying broker, allowing them to also manage and disburse trust funds. This allows for a smoother transition and
ensures that the firm can continue to operate without unnecessary disruptions.
QUESTION 7
A property owner decides to deed 10 acres of the family farm to a cousin. In the deed, he indicates
that no more than one single-family home can ever be built on the property. What type of estate has
the property owner created?
A. fee simple absolute estate
B. fee simple defeasible estate
C. leasehold estate
D. life estate pur autre vie
Trusted by thousands of students and professionals worldwide Page 3 of 75
, CORRECT ANSWER
B. fee simple defeasible estate
RATIONALE: The property owner's deed has created a fee simple defeasible estate because it restricts the cousin's use
of the property by imposing a condition that only one single-family home can be built, which limits the cousin's future
rights. This condition creates a potential for the estate to be terminated or "defeated" if the condition is breached,
distinguishing it from a fee simple absolute estate that has no such restrictions.
QUESTION 8
A homeowner lists her property at $155,000. Her broker receives an offer from A for $135,000
cashand a closing in 30 days; another offer from Bfor $145,000, subject to the owner taking back a
purchase money mortgage; and an offer from C at $150,000, subject to the buyer obtaining a
mortgage. What should the listing broker do?
A) Present all of the offers to the seller, even if the seller accepts the first offer.
B) Present none of the offers, as they are all below the seller's asking price.
C) Present only the first offer until the seller makes a decision; then present the next offer.
D) Present whichever offer is the highest and has the most favorable terms for the seller.
CORRECT ANSWER
A) Present all of the offers to the seller, even if the seller accepts the first offer.
RATIONALE: The correct answer is because the listing broker has a fiduciary duty to act in the best interest of the seller,
which includes presenting all offers, regardless of their terms or the seller's initial reaction, to ensure the seller has the
opportunity to make an informed decision. Presenting all offers ensures that the seller is aware of all potential options
and can choose the best offer based on their specific needs and goals.
QUESTION 9
Which statement about a comparative market analysis is FALSE?
A) A CMA can assist a buyer in determining a fair price to offer for a home.
B) A CMA can assist a seller in determining an appropriate listing price.
C) A CMA may be used to determine property value for a federally regulated loan.
D) A CMA should evaluate properties currently listed, recently sold or with expired listings.
CORRECT ANSWER
C) A CMA may be used to determine property value for a federally regulated loan.
RATIONALE: A CMA (Comparative Market Analysis) is typically used for negotiating prices between buyers and sellers,
not for determining property value for federally regulated loans, which require an appraisal conducted by a licensed
appraiser. This is because federally regulated loans, such as those insured by the Federal Housing Administration (FHA),
require an independent assessment of the property's value to ensure the loan is not under- or over-valued.
QUESTION 10
Which element of an adjustable rate mortgage determines whether the interest rate goes up or
down?
A. cap
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