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Colorado Real Estate Practice Exam
Questions and Answers Latest 2026
How long are the terms for members of the Colorado
Real Estate Commission?
Six Years
Three Years
Four Years
Five Years Ans: Three Years
"The Division has a five-member Commission that meets
bi-monthly to conduct rulemaking hearings, make policy
decisions, consider licensing matters, review complaints
and take disciplinary action against real estate brokers.
The five Commission members consist of three real
estate brokers, one of whom has substantial experience
in property management, and two members of the public.
The Commission members serve a three-year term." Per
Colorado Division of Real Estate
Is commingling legal in Colorado?
No.
Yes, under the Colorado Timeshare Act.
© 2025 All rights reserved
, 2 | Page
Sometimes, only with permission from the buyer's agent
and their broker.
Sometimes, only with permission from the seller's agent
and their broker. Ans: No.
No, it is not. "A Broker's or Brokerage Firm's personal or
business operating funds must not be commingled with
Money Belonging to Others." Per 4 Colo. Code Regs. §
725-1-5.10
According to Colorado license law, which of the following
fees are permitted at closing?
Fees for a brokerage firm's attorney to prepare
documents.
Fees for in-house transactions without legal written
authorization.
Fees charged by a broker for preparation of legal
documents.
Fees to an attorney representing the parties. Ans: Fees to
an attorney representing the parties.
Fees for an attorney representing the parties to a
transaction are permitted under Colorado law. All other
options are NOT, either by law or by omittance.
To apply for a real estate broker's license in Colorado,
applicants must meet several requirements which of the
following is a requirement from this list?
© 2025 All rights reserved
, 3 | Page
Error & Omissions Insurance
Colorado Primary Residence
Credit Check
All of the options are requirements Ans: Error &
Omissions Insurance
Colorado Primary Residence and a Credit Check are not
requirements for brokers, Error & Omissions Insurance is.
Which of the following best describes Colorado, E-46.
Affiliated Business Arrangement Disclosures and its
importance to licensees?
E-46 states brokers are required to disclose affiliated
business arrangements to consumers in all transactions.
E-46 states brokers are required to disclose some
business arrangements to certain consumers.
E-46 outlines specifically how to organize disclosures for
Colorado trust fund paperwork.
E-46 is a mandated law that covers brokers and
brokerage relationships. Ans: E-46 states brokers are
required to disclose affiliated business arrangements to
consumers in all transactions.
Colorado, E-46. Affiliated Business Arrangement
Disclosure covers affiliated business arrangements.
© 2025 All rights reserved
, 4 | Page
Brokers are required to disclose affiliated business
arrangements to consumers in all transactions.
Who would make an initial decision on revocation,
suspension, censure, or dismissal of a licensee?
The Broker
The Seller's Broker
The Colorado Real Estate Commission
An Administrative Law Judge Ans: An Administrative Law
Judge
Written objections are filed with the Colorado Real Estate
Commission. The initial or first decision is based on a
hearing from an administrative judge.
If a Colorado real estate broker is licensed as a sole
proprietorship then their trade name may not include
which of the following word(s)?
Incorporated
Limited Liability Company
Corporation
All of the above Ans: All of the above
All of the above. Incorporated, Limited Liability Company,
and Corporation are all forms of business ownership.
© 2025 All rights reserved
Colorado Real Estate Practice Exam
Questions and Answers Latest 2026
How long are the terms for members of the Colorado
Real Estate Commission?
Six Years
Three Years
Four Years
Five Years Ans: Three Years
"The Division has a five-member Commission that meets
bi-monthly to conduct rulemaking hearings, make policy
decisions, consider licensing matters, review complaints
and take disciplinary action against real estate brokers.
The five Commission members consist of three real
estate brokers, one of whom has substantial experience
in property management, and two members of the public.
The Commission members serve a three-year term." Per
Colorado Division of Real Estate
Is commingling legal in Colorado?
No.
Yes, under the Colorado Timeshare Act.
© 2025 All rights reserved
, 2 | Page
Sometimes, only with permission from the buyer's agent
and their broker.
Sometimes, only with permission from the seller's agent
and their broker. Ans: No.
No, it is not. "A Broker's or Brokerage Firm's personal or
business operating funds must not be commingled with
Money Belonging to Others." Per 4 Colo. Code Regs. §
725-1-5.10
According to Colorado license law, which of the following
fees are permitted at closing?
Fees for a brokerage firm's attorney to prepare
documents.
Fees for in-house transactions without legal written
authorization.
Fees charged by a broker for preparation of legal
documents.
Fees to an attorney representing the parties. Ans: Fees to
an attorney representing the parties.
Fees for an attorney representing the parties to a
transaction are permitted under Colorado law. All other
options are NOT, either by law or by omittance.
To apply for a real estate broker's license in Colorado,
applicants must meet several requirements which of the
following is a requirement from this list?
© 2025 All rights reserved
, 3 | Page
Error & Omissions Insurance
Colorado Primary Residence
Credit Check
All of the options are requirements Ans: Error &
Omissions Insurance
Colorado Primary Residence and a Credit Check are not
requirements for brokers, Error & Omissions Insurance is.
Which of the following best describes Colorado, E-46.
Affiliated Business Arrangement Disclosures and its
importance to licensees?
E-46 states brokers are required to disclose affiliated
business arrangements to consumers in all transactions.
E-46 states brokers are required to disclose some
business arrangements to certain consumers.
E-46 outlines specifically how to organize disclosures for
Colorado trust fund paperwork.
E-46 is a mandated law that covers brokers and
brokerage relationships. Ans: E-46 states brokers are
required to disclose affiliated business arrangements to
consumers in all transactions.
Colorado, E-46. Affiliated Business Arrangement
Disclosure covers affiliated business arrangements.
© 2025 All rights reserved
, 4 | Page
Brokers are required to disclose affiliated business
arrangements to consumers in all transactions.
Who would make an initial decision on revocation,
suspension, censure, or dismissal of a licensee?
The Broker
The Seller's Broker
The Colorado Real Estate Commission
An Administrative Law Judge Ans: An Administrative Law
Judge
Written objections are filed with the Colorado Real Estate
Commission. The initial or first decision is based on a
hearing from an administrative judge.
If a Colorado real estate broker is licensed as a sole
proprietorship then their trade name may not include
which of the following word(s)?
Incorporated
Limited Liability Company
Corporation
All of the above Ans: All of the above
All of the above. Incorporated, Limited Liability Company,
and Corporation are all forms of business ownership.
© 2025 All rights reserved
