1|Page
PRINCIPLES 1 REAL ESTATE CHAMPION SCHOOL
LATEST 2025 ACTUAL EXAM WITH COMPLETE
QUESTIONS AND CORRECT DETAILED ANSWERS
(100% VERIFIED ANSWERS) |ALREADY GRADED
A+||LATEST EXAM!!!||
brokerage - Answer-the aspect of the real estate business
that pertains to overseeing the needs of the parties and
completing a transaction; a brokerage transaction may or
may not involve agency relationships
The role of a property manager - Answer-Generally
responsible for the day to day operations of the property,
maintenance, and tenant relations
How are home inspectors licensed? - Answer-Home
inspectors are licensed in Texas by TREC.
Real Estate Development - Answer-most often involves
the acquisition of land for development into residential
subdivisions, retail centers and other commercial uses.
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National Association of Realtors (NAR) - Answer-the
nationwide association is divided into state associations,
and further divided into local associations or boards. The
local associations or boards operate the MLS in markets
throughout the US.
The benefits of home ownership include: - Answer-Pride of
Ownership, Occupancy, Tax Benefits, Investment,
Security: POOTIS=m
Physical Characteristics of Land: Indestructibility - Answer-
Indestructibility refers to the fact that land cannot be
destroyed. The other two characteristics are immobility
and non-homogeneity (uniqueness)
Demand for real estate is affected by: - Answer-1. Growth
in employment
2. Personal preference
3. Availability of credit
as well as transportation systems and Federal government
policy
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Common Law vs. Statutory Law - Answer-Common Law
was developed in England and based on common sense
and local custom; under this system, a court looks to the
findings of prior courts when rendering a decision
Statutory law is enacted by federal and state legislative
bodies
What is the purpose of the Texas Real Estate Licensing
Act (TRELA 1939)? - Answer-The purpose of TRELA is to
protect the public against unscrupulous brokers and sales
agents.
What is TREC (1949)? - Answer-TREC was created by the
state legislature in 1949. It has 9 members who carry out
the provisions in TRELA.
TREC has been granted powers by the Legislature to: -
Answer--File actions against a license holder on its own
notion
-Assess admin. penalties of up to $5k per day against
offending licensed and unlicensed officials
-Promulgate forms which are mandatory for license
holders
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- Suspend or revoke licenses of violators
-Subpoena books, records, witnesses and file suit with the
AG to enforce subpoena
as well as issue licenses, enact rules and regulations,
place a license holder on probation, require education
Land - Answer-the surface of the earth extending
downward to the center of the earth and upwards above
the surface extending to infinity; includes trees, crops and
water
Rights to land are considered "severable"... - Answer-the
ability for different individuals to own the different rights of
the same piece of land
Surface Rights - Answer-The owner of surface rights has
the ability to develop (improve) the surface, and to use
resources extracted from or near the surface including
stone, gravel, water, and limestone.
PRINCIPLES 1 REAL ESTATE CHAMPION SCHOOL
LATEST 2025 ACTUAL EXAM WITH COMPLETE
QUESTIONS AND CORRECT DETAILED ANSWERS
(100% VERIFIED ANSWERS) |ALREADY GRADED
A+||LATEST EXAM!!!||
brokerage - Answer-the aspect of the real estate business
that pertains to overseeing the needs of the parties and
completing a transaction; a brokerage transaction may or
may not involve agency relationships
The role of a property manager - Answer-Generally
responsible for the day to day operations of the property,
maintenance, and tenant relations
How are home inspectors licensed? - Answer-Home
inspectors are licensed in Texas by TREC.
Real Estate Development - Answer-most often involves
the acquisition of land for development into residential
subdivisions, retail centers and other commercial uses.
,2|Page
National Association of Realtors (NAR) - Answer-the
nationwide association is divided into state associations,
and further divided into local associations or boards. The
local associations or boards operate the MLS in markets
throughout the US.
The benefits of home ownership include: - Answer-Pride of
Ownership, Occupancy, Tax Benefits, Investment,
Security: POOTIS=m
Physical Characteristics of Land: Indestructibility - Answer-
Indestructibility refers to the fact that land cannot be
destroyed. The other two characteristics are immobility
and non-homogeneity (uniqueness)
Demand for real estate is affected by: - Answer-1. Growth
in employment
2. Personal preference
3. Availability of credit
as well as transportation systems and Federal government
policy
,3|Page
Common Law vs. Statutory Law - Answer-Common Law
was developed in England and based on common sense
and local custom; under this system, a court looks to the
findings of prior courts when rendering a decision
Statutory law is enacted by federal and state legislative
bodies
What is the purpose of the Texas Real Estate Licensing
Act (TRELA 1939)? - Answer-The purpose of TRELA is to
protect the public against unscrupulous brokers and sales
agents.
What is TREC (1949)? - Answer-TREC was created by the
state legislature in 1949. It has 9 members who carry out
the provisions in TRELA.
TREC has been granted powers by the Legislature to: -
Answer--File actions against a license holder on its own
notion
-Assess admin. penalties of up to $5k per day against
offending licensed and unlicensed officials
-Promulgate forms which are mandatory for license
holders
, 4|Page
- Suspend or revoke licenses of violators
-Subpoena books, records, witnesses and file suit with the
AG to enforce subpoena
as well as issue licenses, enact rules and regulations,
place a license holder on probation, require education
Land - Answer-the surface of the earth extending
downward to the center of the earth and upwards above
the surface extending to infinity; includes trees, crops and
water
Rights to land are considered "severable"... - Answer-the
ability for different individuals to own the different rights of
the same piece of land
Surface Rights - Answer-The owner of surface rights has
the ability to develop (improve) the surface, and to use
resources extracted from or near the surface including
stone, gravel, water, and limestone.
