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Texas State Portion Real Estate Exam Questions & Answers Updated 2026/2027 – Complete A+ Graded Texas Real Estate License Exam Study Guide, TREC, TRELA, Texas License Law, Agency, Brokerage, Contracts, Intermediary, Licensing, Property Law, Homestead, Esc

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Prepare for the **Texas State Portion Real Estate Exam** with this comprehensive Texas Real Estate Exam Study Guide featuring questions, answers, definitions, licensing concepts, Texas real estate law, TREC rules, agency, brokerage, contracts, property law, escrow, homestead, licensing requirements, and other important topics for Texas real estate exam preparation. Updated for **2026/2027**, this Texas State Real Estate Exam Questions & Answers resource is designed as a focused study material for students preparing for the **Texas Real Estate License Exam**, Texas salesperson licensing examination, Texas broker examination, and the state-specific portion of real estate licensing assessments. This study guide concentrates on Texas-specific rules, terminology, regulations, and concepts that can help students organize their exam preparation and review high-value Texas real estate subjects in one convenient resource. ### TEXAS REAL ESTATE COMMISSION & LICENSE LAW The material covers important Texas regulatory concepts involving the **Texas Real Estate Commission (TREC)**, **Texas Real Estate License Act (TRELA)**, licensing requirements, disciplinary procedures, license suspension and revocation, hearings, appeals, license activation, inactive licenses, sponsoring brokers, and regulatory authority. Topics include: * Texas Real Estate Commission (TREC) * Texas Real Estate License Act (TRELA) * Texas real estate licensing * Salesperson licensing * Broker licensing * Sponsoring broker * Active and inactive licenses * License suspension * License revocation * License reinstatement * TREC disciplinary authority * TREC hearings * License appeals * Real estate license requirements * Continuing licensing requirements * Criminal complaint reporting * Civil judgment reporting * Assumed names * Broker office requirements * License display requirements * TREC rules and regulations * Texas Administrative procedures * Real estate regulatory compliance ### TEXAS REAL ESTATE AGENCY & BROKERAGE Review important agency and brokerage concepts, including the relationship between brokers, salespersons, clients, principals, and sponsoring brokers. Key concepts include: * Agency relationships * General agency * Fiduciary relationships * Principal and agent * Broker and salesperson relationships * Intermediary relationships * Dual agency * Undisclosed dual agency * Agency disclosure * Written agency disclosure * Agency termination * Rescission * Abandonment * Expiration of agency * Death of principal or agent * Ratification * Estoppel * Apparent authority * Authority limitations * Fiduciary duties * Duty of integrity * Disclosure of material facts * Misrepresentation by omission * Supervision and evaluation * Procuring cause * Commission entitlement * Commission negotiation * Broker compensation * Salesperson compensation ### TEXAS LISTING AGREEMENTS The guide covers important Texas listing agreement concepts, including: * Listing agreements * Exclusive-right-to-sell listings * Open listings * Non-exclusive listings * Net listings * Listing termination * Listing expiration * Definite termination dates * Broker authority * Seller obligations * Broker obligations * Listing agreement requirements * TREC promulgated forms * Broker versus salesperson authority * Seller disclosure * Property listing procedures ### TEXAS REAL ESTATE CONTRACTS Review major contract concepts relevant to the Texas state portion, including: * Sales contracts * Option contracts * Mutual obligation * Counteroffers * Offer and acceptance * Contract execution * Effective contract date * Contract termination * Contract performance * Default * Mutual agreement * Rescission * Impossibility of performance * Void contracts * Voidable contracts * Illegal contracts * Contract amendments * Time is of the essence * Closing date extensions * TREC contract forms * Contract for deed * Legal instruments * Promulgated contract forms ### TEXAS TREC FORMS & DOCUMENTS The material includes Texas-specific form concepts and documents such as: * TREC contract forms * TREC promulgated forms * TREC Form 20-6 * TREC Form 39-4 Amendment * Consumer Information Form 1-1 * Seller's disclosure statement * Memorandum of lease * Third-Party Financing Condition Addendum * Back-Up Addendum * Sale of Other Property by Buyer Addendum * Property descriptions * Lot and block descriptions * County appraisal district records ### TEXAS EARNEST MONEY & ESCROW Important Texas escrow and earnest money concepts include: * Earnest money deposits * Escrow accounts * Broker trust accounts * Timely deposit requirements * Commingling * Buyer deposits * Contract execution * Escrow procedures * Broker handling of client funds * TREC escrow rules * Earnest money deadlines * Trust account compliance ### TEXAS PROPERTY LAW & HOMESTEAD The study material also reviews Texas property concepts including: * Texas homestead * Homestead exemptions * Homestead property * Separate property * Community property * Community property with rights of survivorship * Property ownership * Adverse possession * Equitable redemption * Foreclosure * Tax foreclosure * Homestead tax redemption * Mechanic's liens * Materialman's liens * Property liens * Property rights * Ownership interests ### TEXAS REAL ESTATE LICENSING EXAM REQUIREMENTS Review Texas salesperson and broker licensing concepts, including: * Texas salesperson license * Texas broker license * Sponsorship requirements * Educational requirements * State examination * Licensing application * Competency examination * Examination deadlines * License expiration * License renewal * Broker experience requirements * Broker education * Active salesperson experience * TREC licensing procedures ### TEXAS REAL ESTATE LAW & LEGAL CONCEPTS The guide includes Texas-specific legal concepts involving: * Practice of law by real estate licensees * Unauthorized practice of law * Deeds * Deeds of trust * Wills * Written instruments affecting title * Legal descriptions * Property conveyance * Seller disclosure * Material facts * Misrepresentation * Fraud * Contract validity * Legal remedies * Damages * Mediation * Alternative Dispute Resolution * Texas court procedures ### TEXAS FAIR HOUSING & ETHICS Review ethical and legal responsibilities involving: * Fair housing * Protected classes * Familial status * Ancestry * Discrimination * Licensee conduct * Material fact disclosure * Fiduciary duties * Client interests * Confidentiality * Honesty * Integrity * Misrepresentation * Professional conduct * TREC rules * Texas real estate ethics ### TEXAS LANDLORD-TENANT & PROPERTY MANAGEMENT The material also addresses Texas rental and property-management concepts such as: * Residential leases * Lease agreements * Memorandum of lease * Rental agency activities * Property management * Landlord-tenant relationships * Rent defaults * Eviction notices * Three-day notice * Lease termination * Tenant rights * Landlord rights ### TEXAS REAL ESTATE COMMISSION & BROKER-LAWYER COMMITTEE Additional Texas regulatory material includes concepts related to: * TREC commissioners * Public members * Real estate broker members * Commissioner qualifications * Commissioner terms * Broker-Lawyer Committee * Texas State Bar * Attorney members * Broker members * TREC appointments * Regulatory responsibilities * Real estate law and legal forms ### TEXAS REAL ESTATE EXAM PREPARATION This resource can be used for: * Texas State Portion Real Estate Exam review * Texas Real Estate License Exam preparation * Texas salesperson exam preparation * Texas broker exam preparation * TREC exam review * Texas real estate law review * Texas licensing terminology * Texas real estate vocabulary * Last-minute exam review * Topic-by-topic study * Questions and answers review * Real estate licensing study * Texas-specific exam preparation Whether you are studying for the **Texas Real Estate Exam**, **Texas State Portion Exam**, **TREC Real Estate Exam**, Texas salesperson test, or Texas broker licensing exam, this study guide brings together important Texas-specific concepts in a structured, searchable resource. **Study Resource Notice:** This is an independent educational study resource based on the supplied material. It is not an official TREC publication, does not represent TREC endorsement or affiliation, and does not guarantee the exact questions that may appear on any examination.

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Texas State Portion Real Estate Exam
Questions Verified and Provided with
Complete A+ Graded Answers Latest
Updated 2026


Who is responsible for any wrongs done by a The broker is liable for the wrongdoing of his or her salespersons. The
salesperson while acting within the scope of the principal is liable for any wrongs committed by the broker while
agency agreement? acting within the scope of the agency agreement.


what is the distinction between sales contracts and One characteristic of sales contracts is mutual obligation. Option
option contracts? contracts lack mutual obligation. The buyer in an option contract is not
obligated to buy.


A listing agreement must contain: a standard street address is sufficient.


If the commission investigates a complaint and A licensee who faces suspension or revocation of their license is
determines that an individual's real estate license entitled to a hearing within 30 days of the commission reaching their
should be suspended or revoked, the licensee decision.
is entitled to a hearing before the commission
within how many days after the commission
reaches its decision?



Which of the licensed entities does not fall under The Texas Appraiser Licensing and Certification Board has jurisdiction
the regulatory authority of the Texas Real Estate over state licensed and certified appraisers. In addition to licensing
Commission? brokers and salespersons, the Texas Real Estate Commission is
responsible for licensing real estate inspectors and for regulation of
companies that sell and issue residential service contracts ("home
warranties"). (Article 65736, Vernon's Texas Civil Statutes.


A licensee in Texas may not practice law, unless a deed, deed of trust, will, or other written instrument that may transfer
licensed and authorized to do so in Texas. or affect the title to land.
Practicing law includes altering contracts, or
drawing up:


What penalties may a licensee who breaches the A licensee who breaches the agency relationship may be sued for
agency relationship face? damages, termination of the contract, and/or non-payment of the
commission.


Undisclosed dual agency is: a violation of the TRELA.


What is the composition of the Broker-Lawyer Six broker members are appointed by the Texas Real Estate
Committee? Commission; six attorney members are appointed by the President
of the State Bar of Texas. The appointees serve a term of six years
with one-third of them being appointed every two years.


A licensee must disclose any existing agency may be done orally or in writing.
relationships to a new client. This disclosure:

, A broker may do which of the following for an A broker may obtain financing, assist in locating a property, and
individual without actually representing the prepare a contract or lease for an individual without representing the
individual? individual.


A real estate licensee must notify the real estate A licensee must notify the real estate program manager within 20 days
program manager if: of receiving any criminal complaint, information, indictment, or
conviction in which the licensee is named as a defendant; or entry of a
civil court order, verdict, or judgment, against the licensee in any court
of competent jurisdiction in which the subject matter therein involves
any real estate or business-related activity by the licensee.



Pamela, who lives in a suburb in which many unacceptable because it involves an activity for which a real estate
homes are rented, decides to open a rental agency license is required.
in order to assist her friends in finding suitable
renters. Pamela's conduct is


The sole broker of a brokerage firm has his or her If the broker's license is suspended or revoked, the salespersons'
real estate license suspended for two years. licenses are made inactive and must be returned to the commission. A
What would happen to the licenses of the salesperson's license may be made active when the salesperson is
salespersons affiliated with this broker? sponsored by a new broker.


Which agency is responsible for the contract forms The Texas Real Estate Commission
used by Texas licensees?


A community property with rights of survivorship doesn't need to go through probate, must be signed by both spouses,
agreement must: must include the property description, be in writing, contain wording
that makes evident the intent of survivorship, and be recorded in
the county courthouse.


Generally, the most important responsibility of an represent the financial interests of the client.
agent is to:


Broker Bea recently entered into a listing voidable at the option of the minor.
contract with Seller Sally. Broker Bea just learned
that Sally is actually 17 years old and not married.
The listing contract is:




Which of the following people would need to D. The sale of land/lots is an act of brokerage and requires that one
obtain a real estate license if they were involved have a license if he or she is not the owner of the lot. The other three
in a real estate activity? answers are listed as people who do not need a license in Section 3 of
A. the executor of an estate the Texas Real Estate License Act.
B. a court-appointed guardian
C. a trustee of the bankruptcy court
D. one who sells lots in a mobile home park



An agency relationship may be terminated by expiration of time, agreement, rescission, abandonment, or by the death
of either party.


A property owner may claim a homeowner's $7,000 dollars
exemption in Texas on a residence that is both
owned and occupied. The exemption reduces the
assessed value of the residence by


A broker must maintain a place of business in The broker must notify the commission of any change of address within
the state of Texas. If the location changes, the 10 days.
broker has how long to notify the
commission?

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