REALESTATEU- TEXAS PROMULGATED CONTRACT FORMS
FINAL EXAM QUESTIONS WITH COMPLETE SOLUTIONS
GUARANTEED PASS BRAND NEW 2025
If the contract includes an option period for the buyer and the
buyer does not tender the option fee to the Seller within the
time limit (currently with 3 days from effective date of the
contract) the Buyer no longer has an unrestricted right to
terminate under the option.
A) True
B) False - CORRECT ANSWER - >A) True
Fraud is:
A) A crime
B) A civil law violation
C) Both a & b
D) Only b - CORRECT ANSWER - >C) Both a & b
When a "fixture" in a property does not remain for the buyer,
how do we inform the buyer of that fact and make sure the
item does not convey with the property?
A) List the item as not included in the listing Agreement
B) List the item on the "Seller's Disclosure Notice"
C) List the item on the "Residential Contract"
, D) List the item on the "Amendment" form - CORRECT ANSWER
- >C) List the item on the "Residential Contract"
Paragraph 23 "termination option" of the TREC 1-4 Family
Residential Contract:
A) Binds the seller to complete the repairs needed
B) Requires option money that is refundable if the buyer does
not buy
C) Requires a fee for a specified period of time
D) Allows the buyer to get his option fee back if he is
disqualified for the loan - CORRECT ANSWER - >C) Requires a
fee for a specified period of time
A suit for specific performance is:
A) To force the buyer not to default on the contract
B) To force the seller not to default on the contract
C) To force either the buyer or the seller to perform on the
terms of the contract
D) Is a lawsuit against the inspection company - CORRECT
ANSWER - >C) To force either the buyer or the seller to perform
on the terms of the contract
How does the Texas Real Estate License Act define the first
face-to-face meeting with required agency disclosure?
A) When a licensee first meets a prospect
B) When a prospect is ready to sign an agreement
, C) Only when a specific property is being shown
D) When a substantive dialogue about a specific real property
occurs - CORRECT ANSWER - >D) When a substantive dialogue
about a specific real property occurs
Brokers fees are included in the 1-4 Family Residential Contract
(resale) between the Buyer and the Seller.
A) True
B) False - CORRECT ANSWER - >B) False
Standard forms of TREC must be used unless:
A) A broker or salesperson wishes to use a different form
B) A principal in the transaction requests a different form to be
used
C) The listing broker disagrees with certain language in the
contract
D) A lender requires a different form to be used - CORRECT
ANSWER - >Wrong A) A broker or salesperson wishes to use a
different form
wrong D) A lender requires a different form to be used
According to the TREC 1-4 Residential Contract (Resale), who is
responsible for paying the owner policy of title insurance fee?
A) The buyer
B) The seller
C) The title company named in the contract
FINAL EXAM QUESTIONS WITH COMPLETE SOLUTIONS
GUARANTEED PASS BRAND NEW 2025
If the contract includes an option period for the buyer and the
buyer does not tender the option fee to the Seller within the
time limit (currently with 3 days from effective date of the
contract) the Buyer no longer has an unrestricted right to
terminate under the option.
A) True
B) False - CORRECT ANSWER - >A) True
Fraud is:
A) A crime
B) A civil law violation
C) Both a & b
D) Only b - CORRECT ANSWER - >C) Both a & b
When a "fixture" in a property does not remain for the buyer,
how do we inform the buyer of that fact and make sure the
item does not convey with the property?
A) List the item as not included in the listing Agreement
B) List the item on the "Seller's Disclosure Notice"
C) List the item on the "Residential Contract"
, D) List the item on the "Amendment" form - CORRECT ANSWER
- >C) List the item on the "Residential Contract"
Paragraph 23 "termination option" of the TREC 1-4 Family
Residential Contract:
A) Binds the seller to complete the repairs needed
B) Requires option money that is refundable if the buyer does
not buy
C) Requires a fee for a specified period of time
D) Allows the buyer to get his option fee back if he is
disqualified for the loan - CORRECT ANSWER - >C) Requires a
fee for a specified period of time
A suit for specific performance is:
A) To force the buyer not to default on the contract
B) To force the seller not to default on the contract
C) To force either the buyer or the seller to perform on the
terms of the contract
D) Is a lawsuit against the inspection company - CORRECT
ANSWER - >C) To force either the buyer or the seller to perform
on the terms of the contract
How does the Texas Real Estate License Act define the first
face-to-face meeting with required agency disclosure?
A) When a licensee first meets a prospect
B) When a prospect is ready to sign an agreement
, C) Only when a specific property is being shown
D) When a substantive dialogue about a specific real property
occurs - CORRECT ANSWER - >D) When a substantive dialogue
about a specific real property occurs
Brokers fees are included in the 1-4 Family Residential Contract
(resale) between the Buyer and the Seller.
A) True
B) False - CORRECT ANSWER - >B) False
Standard forms of TREC must be used unless:
A) A broker or salesperson wishes to use a different form
B) A principal in the transaction requests a different form to be
used
C) The listing broker disagrees with certain language in the
contract
D) A lender requires a different form to be used - CORRECT
ANSWER - >Wrong A) A broker or salesperson wishes to use a
different form
wrong D) A lender requires a different form to be used
According to the TREC 1-4 Residential Contract (Resale), who is
responsible for paying the owner policy of title insurance fee?
A) The buyer
B) The seller
C) The title company named in the contract
