The CE Shop GA Salesperson Exam Prep Edge: State Portion |
Complete Practice Questions & Detailed Rationales 2026/2027
Question 1
Under Georgia law, when is a licensee required to turn over earnest
money to their managing broker?
• A. Within 24 hours of receipt
• B. Immediately upon receipt
• C. Within three business days
• D. Upon the closing of the transaction
Correct Answer: B. Immediately upon receipt
Detailed Rationale: Georgia license law requires that a salesperson or
associate broker turn over any trust funds received to their managing
broker immediately.
Question 2
What is the primary function of the Georgia Real Estate Commission
(GREC) members?
• A. To increase real estate sales in Georgia
• B. To mediate commission disputes between brokers
• C. To enforce the license law and protect the public
• D. To provide legal advice to licensees
Correct Answer: C. To enforce the license law and protect the public
,Detailed Rationale: The primary purpose of the GREC is to protect the
public from incompetent or dishonest practice, not to advocate for the
real estate industry.
Question 3
How often must a Georgia real estate license be renewed?
• A. Every year
• B. Every two years
• C. Every four years
• D. Every five years
Correct Answer: C. Every four years
Detailed Rationale: Georgia licenses are renewed on a four-year cycle,
expiring on the last day of the licensee's birth month.
Question 4
A buyer asks a listing agent if the seller is willing to accept a lower offer
because they are getting divorced. The agent knows this is true. Can the
agent disclose this?
• A. Yes, because it might help the buyer make an offer
• B. Yes, because the buyer is a customer
• C. No, unless the seller gives written permission
• D. No, under no circumstances
Correct Answer: C. No, unless the seller gives written permission
,Detailed Rationale: A licensee must keep client information confidential
unless the client authorizes disclosure or the disclosure is required by
law. The reason for selling is typically confidential.
Question 5
Which of the following is an "unfair trade practice" under Georgia
license law?
• A. Inducing a party to break a contract for a new listing
• B. Telling a buyer the neighborhood is great
• C. Asking for a higher commission
• D. Using a standard state-approved contract
Correct Answer: A. Inducing a party to break a contract for a new listing
Detailed Rationale: "Churning" or inducing a breach of contract to
create a new transaction is a prohibited, unethical practice that can lead
to license disciplinary action.
Question 6
If a licensee is convicted of a crime, how long do they have to notify the
Georgia Real Estate Commission?
• A. 10 days
• B. 30 days
• C. 60 days
• D. 90 days
Correct Answer: C. 60 days
, Detailed Rationale: Licensees are required to notify the Commission in
writing within 60 days of being convicted of a crime, including pleas of
nolo contendere.
Question 7
In Georgia, who is responsible for the accuracy of the closing
statement?
• A. The buyer
• B. The salesperson
• C. The closing attorney
• D. The broker
Correct Answer: C. The closing attorney
Detailed Rationale: In Georgia, real estate closings must be conducted
by an attorney, and they are responsible for the accuracy of the
documents and the settlement statement.
Question 8
Which of these is NOT a requirement for a valid listing agreement in
Georgia?
• A. A definite expiration date
• B. The signature of all property owners
• C. A copy of the survey
• D. The amount of commission
Correct Answer: C. A copy of the survey
Complete Practice Questions & Detailed Rationales 2026/2027
Question 1
Under Georgia law, when is a licensee required to turn over earnest
money to their managing broker?
• A. Within 24 hours of receipt
• B. Immediately upon receipt
• C. Within three business days
• D. Upon the closing of the transaction
Correct Answer: B. Immediately upon receipt
Detailed Rationale: Georgia license law requires that a salesperson or
associate broker turn over any trust funds received to their managing
broker immediately.
Question 2
What is the primary function of the Georgia Real Estate Commission
(GREC) members?
• A. To increase real estate sales in Georgia
• B. To mediate commission disputes between brokers
• C. To enforce the license law and protect the public
• D. To provide legal advice to licensees
Correct Answer: C. To enforce the license law and protect the public
,Detailed Rationale: The primary purpose of the GREC is to protect the
public from incompetent or dishonest practice, not to advocate for the
real estate industry.
Question 3
How often must a Georgia real estate license be renewed?
• A. Every year
• B. Every two years
• C. Every four years
• D. Every five years
Correct Answer: C. Every four years
Detailed Rationale: Georgia licenses are renewed on a four-year cycle,
expiring on the last day of the licensee's birth month.
Question 4
A buyer asks a listing agent if the seller is willing to accept a lower offer
because they are getting divorced. The agent knows this is true. Can the
agent disclose this?
• A. Yes, because it might help the buyer make an offer
• B. Yes, because the buyer is a customer
• C. No, unless the seller gives written permission
• D. No, under no circumstances
Correct Answer: C. No, unless the seller gives written permission
,Detailed Rationale: A licensee must keep client information confidential
unless the client authorizes disclosure or the disclosure is required by
law. The reason for selling is typically confidential.
Question 5
Which of the following is an "unfair trade practice" under Georgia
license law?
• A. Inducing a party to break a contract for a new listing
• B. Telling a buyer the neighborhood is great
• C. Asking for a higher commission
• D. Using a standard state-approved contract
Correct Answer: A. Inducing a party to break a contract for a new listing
Detailed Rationale: "Churning" or inducing a breach of contract to
create a new transaction is a prohibited, unethical practice that can lead
to license disciplinary action.
Question 6
If a licensee is convicted of a crime, how long do they have to notify the
Georgia Real Estate Commission?
• A. 10 days
• B. 30 days
• C. 60 days
• D. 90 days
Correct Answer: C. 60 days
, Detailed Rationale: Licensees are required to notify the Commission in
writing within 60 days of being convicted of a crime, including pleas of
nolo contendere.
Question 7
In Georgia, who is responsible for the accuracy of the closing
statement?
• A. The buyer
• B. The salesperson
• C. The closing attorney
• D. The broker
Correct Answer: C. The closing attorney
Detailed Rationale: In Georgia, real estate closings must be conducted
by an attorney, and they are responsible for the accuracy of the
documents and the settlement statement.
Question 8
Which of these is NOT a requirement for a valid listing agreement in
Georgia?
• A. A definite expiration date
• B. The signature of all property owners
• C. A copy of the survey
• D. The amount of commission
Correct Answer: C. A copy of the survey
