Questions Review 2026-2027 | TX Real Estate Exam Prep –
State Portion with a Comprehensive of 400+ Questions and
Correct Answers Test Bank 2
If the commission investigates a complaint and determines that an individual's real
estate license should be suspended or revoked, the licensee is entitled to a hearing
before the commission within how many days after the commission reaches its
decision?
A) 15 days
B) 20 days
C) 30 days
D) 45 days
-ANSWER- C
Which of the licensed entities does not fall under the regulatory authority of the
Texas Real Estate Commission?
A) Real estate brokers
B) Real estate salespersons
C) Real estate inspectors
D) Texas Appraiser Licensing and Certification Board
-ANSWER- D
A licensee in Texas may not practice law, unless licensed and authorized to do so
in Texas. Practicing law includes altering contracts, or drawing up:
A) a deed, deed of trust, will, or other written instrument that may transfer or affect
the title to land
B) a lease agreement for less than one year
C) a purchase agreement
D) a listing agreement
-ANSWER- A
What penalties may a licensee who breaches the agency relationship face?
A) Only a fine
B) Only license suspension
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,C) May be sued for damages, termination of the contract, and/or non-payment of
the commission
D) Only a warning from TREC
-ANSWER- C
Undisclosed dual agency is:
A) a violation of the TRELA
B) permitted in Texas
C) allowed with written consent
D) standard practice in Texas
-ANSWER- A
What is the composition of the Broker-Lawyer Committee?
A) Six broker members appointed by TREC; six attorney members appointed by
the State Bar of Texas
B) All members appointed by the Governor
C) All members are attorneys
D) All members are brokers
-ANSWER- A
A licensee must disclose any existing agency relationships to a new client. This
disclosure:
A) must be in writing only
B) may be done orally or in writing
C) is not required
D) must be notarized
-ANSWER- B
The One to Four Residential Contract (Resale) is the form used to make an offer on
a property. It becomes the contract when:
A) the buyer signs it
B) the seller signs it
C) the offer is presented
D) all parties have signed
-ANSWER- D
A broker becomes the property manager for an owner who has several single
family homes and duplexes for rental. Under the management agreement the
broker arranges for the maintenance, collects rent and signs all of the leases with
the tenants as agent for the owner. In this scenario, the broker is a:
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,A) general agent
B) special agent
C) universal agent
D) subagent
-ANSWER- A
The "Seller's Disclosure of Property Condition" must be delivered to the buyer in
all of the following transactions EXCEPT:
A) for sale of commercial property
B) for sale of a single-family home
C) for sale of a duplex
D) for sale of a condominium
-ANSWER- A
According to TREC rules, when MUST you inform a seller about the market value
of their home?
A) at closing
B) when the listing is taken
C) when an offer is received
D) only if the seller requests it
-ANSWER- B
The offeror dies five minutes prior to the offeree's acceptance of the offer. The
contract formed is:
A) void
B) valid but unenforceable
C) unenforceable
D) voidable at the option of the offeree
-ANSWER- C
An applicant for a salesperson license must complete at least ___________ hours
or equivalent classroom hours of post-secondary education.
A) 6 semester
B) 8 semester
C) 10 semester
D) 12 semester
-ANSWER- D
The broker may never accept or reject an offer for the seller.
A) True
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, B) False
-ANSWER- A
Examples of employment agreements are the:
A) listing agreement and buyer's representation agreement
B) property management agreement only
C) lease agreement only
D) purchase contract only
-ANSWER- A
The amount of the commission is set in the:
A) listing agreement, property management agreement, and buyer's agreement
B) closing statement only
C) deed of trust
D) promissory note
-ANSWER- A
The broker will not receive a commission if the seller sells the property. This is an
example of:
A) Exclusive Right to Sell
B) Exclusive Agency
C) Open Listing
D) Net Listing
-ANSWER- B
Whenever fraud, misrepresentation or duress can be proven, the contract becomes:
A) void
B) valid
C) voidable
D) unenforceable
-ANSWER- C
For an intermediary transaction to occur there must be __________ companies
involved.
A) One
B) Two
C) Three
D) Four
-ANSWER- A
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