Texas Real Estate Salesperson / Broker Exam – Advanced
Practice | 100 Questions and Answers | 2025/2026 | latest
Update | Instant Download!!
1. A property sells for $350,000. The listing agreement specifies a 6%
commission. If the broker agrees to split 50/50 with the selling agent, how much
does each agent receive?
a. $10,500 each
b. $10,500 each (correct answer)
c. $12,500 each
d. $15,000 each
Rationale: Total commission = 350,000 × 0.06 = 21,000; split 50/50 → 21,000 ÷ 2 =
10,500 each.
2. A buyer deposits $5,000 earnest money. The sale fails due to the seller’s
breach. What happens?
a. Buyer forfeits the deposit
b. Seller keeps it
c. Buyer receives a refund (correct answer)
d. Broker keeps it
Rationale: If seller breaches, earnest money must be returned to the buyer.
3. Which type of listing gives the broker the right to a commission only if they
procure a buyer?
,a. Open listing
b. Net listing
c. Exclusive agency (correct answer)
d. Exclusive right to sell
Rationale: Exclusive agency pays commission only if the broker finds the buyer.
4. A property has an assessed value of $250,000. The tax rate is $2.50 per $100.
Annual property taxes?
a. $6,250
b. $6,250 (correct answer)
c. $5,500
d. $7,000
Rationale: 250,000 ÷ 100 × 2.50 = 6,250.
5. A buyer assumes an existing loan of $120,000 with 6% interest. The lender
charges 1 point for assumption. How much is the point?
a. $1,000
b. $1,200
c. $1,200 (correct answer)
d. $1,500
Rationale: 120,000 × 0.01 = 1,200.
6. A sales contract includes an escalation clause. This means:
a. Price decreases over time
b. Buyer can back out anytime
c. Price automatically increases under certain conditions (correct answer)
d. Seller can cancel without notice
Rationale: Escalation clauses raise offer price if competing offers are higher.
, 7. A broker lists a property with a 5% commission. Sale price = $400,000. Broker
agrees to 40% of commission to another agent. How much does the other agent
earn?
a. $6,000
b. $8,000
c. $8,000 (correct answer)
d. $10,000
Rationale: Total commission = 400,000 × 0.05 = 20,000; 40% to other agent =
20,000 × 0.4 = 8,000.
8. Which type of deed provides the greatest protection to the grantee?
a. Quitclaim
b. Bargain and sale
c. General warranty (correct answer)
d. Special warranty
Rationale: General warranty deed guarantees clear title against all defects.
9. A property is purchased for $320,000. Buyer makes 20% down payment. Loan
amount?
a. $64,000
b. $256,000
c. $256,000 (correct answer)
d. $300,000
Rationale: 320,000 × 0.8 = 256,000 loan.
10. A broker misrepresents material facts to induce a buyer. This is:
Practice | 100 Questions and Answers | 2025/2026 | latest
Update | Instant Download!!
1. A property sells for $350,000. The listing agreement specifies a 6%
commission. If the broker agrees to split 50/50 with the selling agent, how much
does each agent receive?
a. $10,500 each
b. $10,500 each (correct answer)
c. $12,500 each
d. $15,000 each
Rationale: Total commission = 350,000 × 0.06 = 21,000; split 50/50 → 21,000 ÷ 2 =
10,500 each.
2. A buyer deposits $5,000 earnest money. The sale fails due to the seller’s
breach. What happens?
a. Buyer forfeits the deposit
b. Seller keeps it
c. Buyer receives a refund (correct answer)
d. Broker keeps it
Rationale: If seller breaches, earnest money must be returned to the buyer.
3. Which type of listing gives the broker the right to a commission only if they
procure a buyer?
,a. Open listing
b. Net listing
c. Exclusive agency (correct answer)
d. Exclusive right to sell
Rationale: Exclusive agency pays commission only if the broker finds the buyer.
4. A property has an assessed value of $250,000. The tax rate is $2.50 per $100.
Annual property taxes?
a. $6,250
b. $6,250 (correct answer)
c. $5,500
d. $7,000
Rationale: 250,000 ÷ 100 × 2.50 = 6,250.
5. A buyer assumes an existing loan of $120,000 with 6% interest. The lender
charges 1 point for assumption. How much is the point?
a. $1,000
b. $1,200
c. $1,200 (correct answer)
d. $1,500
Rationale: 120,000 × 0.01 = 1,200.
6. A sales contract includes an escalation clause. This means:
a. Price decreases over time
b. Buyer can back out anytime
c. Price automatically increases under certain conditions (correct answer)
d. Seller can cancel without notice
Rationale: Escalation clauses raise offer price if competing offers are higher.
, 7. A broker lists a property with a 5% commission. Sale price = $400,000. Broker
agrees to 40% of commission to another agent. How much does the other agent
earn?
a. $6,000
b. $8,000
c. $8,000 (correct answer)
d. $10,000
Rationale: Total commission = 400,000 × 0.05 = 20,000; 40% to other agent =
20,000 × 0.4 = 8,000.
8. Which type of deed provides the greatest protection to the grantee?
a. Quitclaim
b. Bargain and sale
c. General warranty (correct answer)
d. Special warranty
Rationale: General warranty deed guarantees clear title against all defects.
9. A property is purchased for $320,000. Buyer makes 20% down payment. Loan
amount?
a. $64,000
b. $256,000
c. $256,000 (correct answer)
d. $300,000
Rationale: 320,000 × 0.8 = 256,000 loan.
10. A broker misrepresents material facts to induce a buyer. This is:
