REAL ESTATE BROKERAGE EXAM with correct answers 2025 - TEXAS
1. A consistent disparity in listing versus selling prices may reflect
___________.: Inaccurate competitive market analyses
2. Which of these would be an advantage for the broker of hiring licensees
as salaried employees, rather than as independent contractors on a commission-
based compensation plan?: Sales agents will probably make fewer errors as
a result of more broker control and supervision.
3. Which option best describes what an environmental impact statement is?: It
describes and analyzes a proposed action that may have a significant effect on the
environment.
4. When Andrew schedules a sales meeting at his brokerage, he prepares well
in advance by ___________.: Developing an agenda, talking points, visuals, and
handouts
5. What is a flat-fee pricing strategy?: Clients are charged a pre-set fee for a
pre-determined service.
6. The Brendon Group is evaluating a new market and wants to know the
market's cultural composition. That's likely because _________.: The licensees
don't do any active selling.
7. Which of the following actions could compromise your security when meeting
with a customer for the first time in the field?: Ignoring a lewd comment
8. Alison is taking steps to become the owner of her own real estate brokerage,
Honesty Homes. She and the two real estate professionals who will become
her first employees are drafting the firm's vision statement. Which of the
following should be included?: A statement of what the company's future results,
achievements, and successes will be
9. Commonly, the Federal Trade Commission will receive leads about a potential
antitrust violation through which avenue?: Hearing consumer complaints
10. A leader who displays the quality of being a visionary is able to do what?-
,: Look ahead at trends to meet future market demands
11. A coaching framework is useful at a brokerage because ______.: It gives
structure to the coaching process, which helps it be most effective
12. Rachel is subject to court-ordered supervision due to an antitrust violation.
This oversight may continue for as long as ______.: 10 years
13. Reese and his staff have developed an engaging, action-oriented listing
presentation to present to potential sellers. Which component in the marketing
model does the listing presentation represent?: communicating
14. Personality type models should be used to ____________.: inform and understand
15. Sarina's firm primarily uses electronic marketing communications, including
emails, Twitter feeds, and Facebook posts. Which of the following marketing
tools might receive special attention?: A hand-written thank you note
16. A(n) ________________ is certain to save a brokerage money.: Culture of
retention
17. Edgar and his management staff identified their work with real estate
contracts as a potential risk to the firm. If Edgar hires an attorney to review
every contract written in his office, which risk-handling strategy does this
represent?: transfer
18. If you're going to take advantage of cloud computing to store sensitive
client information, you will need what security measures to protect the data?-
: Strong passwords, limited access, and virus protection
19. Cityville administrators are trying to control urban sprawl, but they still
need to plan for the growing population. They've revamped zoning laws to
allow residential units to be built on smaller lots, and multi-family housing to
be built in areas once zoned for single-family housing. Which real estate trend
does this describe?: Increased density
20. Which of the following factors most directly determines the complexity of
an organization's operating structure?: number of job roles
,21. Nat has a friend who's in the home construction business, and he says
that in the last six months, there's been an increased demand from developers
to build homes that are more energy efficient and use sustainable, non-toxic
building materials. What current market trend is this an example of?: Greener
buyers
22. Which of the following is one of the IRS requirements for a real estate
brokerage worker to be classified as a statutory non-employee?: The individual
and the employing broker have a written contract.
23. A broker is following a problem-solving process to handle a situation in
which one of her licensees has violated a brokerage policy. Which of these
actions must be part of the solution she pursues to resolve the problem?: -
Communication
24. Broker Sam has extended an offer to licensee Jane, who has accepted the
offer. Jane will work as an independent contractor for Sam. Based on this,
which of the following statements is true?: Jane will need to fill out a W-9 for IRS
reporting purposes.
Independent contractors are required to fill out a W-9 for IRS reporting purposes.
Only actual employees are required to complete the W-4.
25. Population growth and decline in an area is usually the result of which type
of changes?: Employment opportunities
26. Who in a brokerage firm should know the firm's code of ethics?: Everyone
27. How do government regulations impact a real estate brokerage?: By increasing
liability (more to comply with)
28. Which of the following is one of the IRS requirements for a real estate
brokerage worker to be classified as a statutory non-employee?: The individual
and the employing broker have a written contract.
the written contract must describe the real estate services that the individual will
perform and must explicitly state that the individual will not be treated as an
, employee for federal tax purposes.
29. income statement might also be called the ________.: Statement of profit or
loss
30. Charli is thinking about buying only liability insurance for the office building
she owns. She knows she'll have to pay for any damage to the building.
What factors should Charli consider in making this decision?: Her willingness
and ability to withstand the risk posed by carrying only liability insurance (risk
tolerance)
31. Up the Hill Realty has purchased a contact list. New licensees at the
brokerage are asked to spend three hours a week cold-calling individuals on
this list. Which of these actions is NOT one they need to take before making
these calls?: Create a fake phone number that individuals will see on their caller
ID.
32. Alison has written the mission and vision statements and defined objectives
for her up and coming brokerage business, Honesty Homes. Now it's time
to set some goals. She asks her mentor, brokerage owner James, for some
guidance on what goals are, and how to write them. What advice do you think
James would offer Alison?
Goals regarding future revenue should be based on solid assumptions.
Goals should be challenging and based on what experienced competitors are
doing.
Goals should be specific, measurable, attainable, realistic, and timely.
Goals should have strict start dates and flexible end dates.
Goals should be SMART: specific, measurable, attainable, realistic, and timely.:
Goals regarding future revenue should be based on solid assumptions. X
Goals should be challenging and based on what experienced competitors are doing.
Goals should be specific, measurable, attainable, realistic, and timely.
Goals should have strict start dates and flexible end dates. X
1. A consistent disparity in listing versus selling prices may reflect
___________.: Inaccurate competitive market analyses
2. Which of these would be an advantage for the broker of hiring licensees
as salaried employees, rather than as independent contractors on a commission-
based compensation plan?: Sales agents will probably make fewer errors as
a result of more broker control and supervision.
3. Which option best describes what an environmental impact statement is?: It
describes and analyzes a proposed action that may have a significant effect on the
environment.
4. When Andrew schedules a sales meeting at his brokerage, he prepares well
in advance by ___________.: Developing an agenda, talking points, visuals, and
handouts
5. What is a flat-fee pricing strategy?: Clients are charged a pre-set fee for a
pre-determined service.
6. The Brendon Group is evaluating a new market and wants to know the
market's cultural composition. That's likely because _________.: The licensees
don't do any active selling.
7. Which of the following actions could compromise your security when meeting
with a customer for the first time in the field?: Ignoring a lewd comment
8. Alison is taking steps to become the owner of her own real estate brokerage,
Honesty Homes. She and the two real estate professionals who will become
her first employees are drafting the firm's vision statement. Which of the
following should be included?: A statement of what the company's future results,
achievements, and successes will be
9. Commonly, the Federal Trade Commission will receive leads about a potential
antitrust violation through which avenue?: Hearing consumer complaints
10. A leader who displays the quality of being a visionary is able to do what?-
,: Look ahead at trends to meet future market demands
11. A coaching framework is useful at a brokerage because ______.: It gives
structure to the coaching process, which helps it be most effective
12. Rachel is subject to court-ordered supervision due to an antitrust violation.
This oversight may continue for as long as ______.: 10 years
13. Reese and his staff have developed an engaging, action-oriented listing
presentation to present to potential sellers. Which component in the marketing
model does the listing presentation represent?: communicating
14. Personality type models should be used to ____________.: inform and understand
15. Sarina's firm primarily uses electronic marketing communications, including
emails, Twitter feeds, and Facebook posts. Which of the following marketing
tools might receive special attention?: A hand-written thank you note
16. A(n) ________________ is certain to save a brokerage money.: Culture of
retention
17. Edgar and his management staff identified their work with real estate
contracts as a potential risk to the firm. If Edgar hires an attorney to review
every contract written in his office, which risk-handling strategy does this
represent?: transfer
18. If you're going to take advantage of cloud computing to store sensitive
client information, you will need what security measures to protect the data?-
: Strong passwords, limited access, and virus protection
19. Cityville administrators are trying to control urban sprawl, but they still
need to plan for the growing population. They've revamped zoning laws to
allow residential units to be built on smaller lots, and multi-family housing to
be built in areas once zoned for single-family housing. Which real estate trend
does this describe?: Increased density
20. Which of the following factors most directly determines the complexity of
an organization's operating structure?: number of job roles
,21. Nat has a friend who's in the home construction business, and he says
that in the last six months, there's been an increased demand from developers
to build homes that are more energy efficient and use sustainable, non-toxic
building materials. What current market trend is this an example of?: Greener
buyers
22. Which of the following is one of the IRS requirements for a real estate
brokerage worker to be classified as a statutory non-employee?: The individual
and the employing broker have a written contract.
23. A broker is following a problem-solving process to handle a situation in
which one of her licensees has violated a brokerage policy. Which of these
actions must be part of the solution she pursues to resolve the problem?: -
Communication
24. Broker Sam has extended an offer to licensee Jane, who has accepted the
offer. Jane will work as an independent contractor for Sam. Based on this,
which of the following statements is true?: Jane will need to fill out a W-9 for IRS
reporting purposes.
Independent contractors are required to fill out a W-9 for IRS reporting purposes.
Only actual employees are required to complete the W-4.
25. Population growth and decline in an area is usually the result of which type
of changes?: Employment opportunities
26. Who in a brokerage firm should know the firm's code of ethics?: Everyone
27. How do government regulations impact a real estate brokerage?: By increasing
liability (more to comply with)
28. Which of the following is one of the IRS requirements for a real estate
brokerage worker to be classified as a statutory non-employee?: The individual
and the employing broker have a written contract.
the written contract must describe the real estate services that the individual will
perform and must explicitly state that the individual will not be treated as an
, employee for federal tax purposes.
29. income statement might also be called the ________.: Statement of profit or
loss
30. Charli is thinking about buying only liability insurance for the office building
she owns. She knows she'll have to pay for any damage to the building.
What factors should Charli consider in making this decision?: Her willingness
and ability to withstand the risk posed by carrying only liability insurance (risk
tolerance)
31. Up the Hill Realty has purchased a contact list. New licensees at the
brokerage are asked to spend three hours a week cold-calling individuals on
this list. Which of these actions is NOT one they need to take before making
these calls?: Create a fake phone number that individuals will see on their caller
ID.
32. Alison has written the mission and vision statements and defined objectives
for her up and coming brokerage business, Honesty Homes. Now it's time
to set some goals. She asks her mentor, brokerage owner James, for some
guidance on what goals are, and how to write them. What advice do you think
James would offer Alison?
Goals regarding future revenue should be based on solid assumptions.
Goals should be challenging and based on what experienced competitors are
doing.
Goals should be specific, measurable, attainable, realistic, and timely.
Goals should have strict start dates and flexible end dates.
Goals should be SMART: specific, measurable, attainable, realistic, and timely.:
Goals regarding future revenue should be based on solid assumptions. X
Goals should be challenging and based on what experienced competitors are doing.
Goals should be specific, measurable, attainable, realistic, and timely.
Goals should have strict start dates and flexible end dates. X
