Texas Real Estate Exam Questions And Correct Detailed Answers (Verified Answers) Already Graded A+

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Texas Real Estate Exam Questions And Correct Detailed Answers (Verified Answers) Already Graded A+

• According to the TREC residential resale contract form, if a termination option fee is

paid, day one of the option period is:

• When loan approval has been obtained
• When the title commitment is issued
• When the earnest money is deposited
• The day following the effective date of the contract

Correct Answer: d

2. An agents disclosure of representation must be made:

• Through the purchase offer
• With the TREC promulgated form
• In writing or verbally
• With the IABS form

Correct Answer: c

• In which of the following situations would the Texas property code excuse the seller

from delivery of the sellers disclosure notice regarding the condition of the property.

• the seller has never lived in the house
• the property is being sold as a foreclosure
• the value of the improvements exceeds 5% of the sales price
• the improvements on the property were constructed prior to 1978

Correct Answer: b

4. When a broker is acting for more than one party, the broker should disclose:

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• Confidential information in writing to the parties
• Any known material defects on the property
• the amount of any previous offers
• the financial assets of the buyer

Correct Answer: b

5. A license holder, while acting as an agent for another, should:

• Expect any ambiguities in the contract documents will be corrected at closing.
• Be scrupulous and meticulous in performing the agents functions.
• Advise the buyers that verbal repair agreements can be documented at closing
• Explain that written contract amendments are not as important as the original agreement.

Correct Answer: b

• If an unlicensed individual provides a referral that ends in a closing, how can you

repay them?

• with a $50 gift card
• By sending them on a vacation for the weekend
• by paying their rent for a month
• by rebating a part of your commission to them

Correct Answer: a

• When a sales agents sponsorship is terminated by his sponsoring broker, the broker

must:

• release the agents listings to the new broker
• disclose the termination to the MLS
• notify the commission of all outstanding listings taken by the sales agent
• notify the sales agent of the termination in writing and return he license to TREC

immediately

Correct Answer: d

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• An individual is exempt from real estate licensure in Texas if the individual is doing

which of the following:

• running an apartment locator service for several different complexes
• listing real estate for sale, rent, exchange or trade
• being an onsite manager of an apartment complex
• procuring prospects for the rental of real estate

Correct Answer: c

• An unlicensed assistant is hired to increase an agents listing inventory. The assistant

may:

• create marketing flyers and distribute the flyers door to door
• create flyers and show properties to prospective buyers
• host an open house and write contract offers
• make calls soliciting business from expired listings.

Correct Answer: a

• If an applicant for a sales license engages in a brokerage transaction, the applicant:
• may be paid for the transaction, after he gets his license
• may face criminal charges resulting in fine or jail
• is following standard operating procedures
• is ineligible for a license for 2 years

Correct Answer: b

• Your buyer-client insists on entering into a lease-purchase agreement. You must:
• direct the buyer to consult a mortgage broker to seek a no down payment mortgage.
• draw up an agreement using the TREC promulgated lease-purchase contract form
• recommend that the buyer seek the advice of an attorney
• suggest that the buyer lease another property and save for a future down payment.

Correct Answer: c

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• An agent has received a $75 check from a home warranty company. Can he keep the

check?

• No, because it is more than $50
• No, because the check is for a service provided to the other agents client.
• Yes, because the seller paid for the home warranty plan covering the seller's property
• Yes, if the agent provided the RSC disclosure and the broker authorizes the payment of

the agent.

Correct Answer: d

• If a cash buyer would like to have an appraisal done to ensure that a property is

priced at or below market value, the agent should:

• Write it in special provisions in the agents own words
• Write it in special provisions using the clients own words
• advise the client to talk to an attorney for the proper wording to put in the contract
• use the appropriate TREC addendum to address this issue

Correct Answer: c

• If the buyer and seller agree to rely on an existing survey, the survey and the affidavit

T-47 must be provided:

• Within the negotiated number of days of the effective date of the contract.
• at or before closing
• at the earliest convenience
• within the negotiated number of days before closing.

Correct Answer: a

• If either party to the contract breaches the agreement and is in default, can the

injured party terminate the contract?

• yes
• no
• yes, if the other party agrees