California Real Estate Salesperson Exam
With Actual Questions & Verified
Answers, Plus Explained
Rationales/Expert Verified For
Guaranteed Pass 2026/Latest
Updated/Instant Download Pdf
1. Which agency regulates real estate licensing in California?
A. Department of Consumer Affairs
B. California Association of Realtors
C. Department of Housing and Community Development
D. California Department of Real Estate (DRE)
The California Department of Real Estate is the state agency
responsible for licensing and regulating real estate brokers and
salespersons.
2. A real estate salesperson may be compensated only by:
A. The seller
B. The buyer
C. The escrow company
D. The employing broker
California law requires that salespersons receive compensation only
from their employing broker, not directly from clients.
, 3. How long is a California real estate salesperson license valid?
A. 1 year
B. 4 years
C. 2 years
D. 5 years
Salesperson licenses are issued for a four-year term and must be
renewed before expiration.
4. Which document creates an agency relationship between a seller
and broker?
A. Transfer Disclosure Statement
B. Purchase Agreement
C. Listing Agreement
D. Grant Deed
A listing agreement establishes the broker’s authority to represent the
seller and defines the agency relationship.
5. Which listing allows multiple brokers to market the property but
only the procuring cause to earn commission?
A. Exclusive right to sell
B. Net listing
C. Exclusive agency listing
D. Open listing
An exclusive agency listing allows multiple brokers to market the
property, but the seller reserves the right to sell without paying
commission.
, 6. A net listing is legal in California only if:
A. The broker earns a fixed commission
B. The seller is fully informed and not taken advantage of
C. The DRE approves it
D. The property is commercial
Net listings are legal but discouraged and subject to strict scrutiny due
to potential conflicts of interest.
7. Which duty is owed by an agent to a principal?
A. Disclosure
B. Confidentiality
C. Obedience
D. All of the above
Agents owe fiduciary duties including obedience, loyalty, disclosure,
confidentiality, accounting, and reasonable care.
8. What form is required to disclose agency relationships in a
residential transaction?
A. Natural Hazard Disclosure
B. Agency Disclosure Form
C. Lead-Based Paint Disclosure
D. Seller Property Questionnaire
California law requires written disclosure of agency relationships to all
parties involved.
With Actual Questions & Verified
Answers, Plus Explained
Rationales/Expert Verified For
Guaranteed Pass 2026/Latest
Updated/Instant Download Pdf
1. Which agency regulates real estate licensing in California?
A. Department of Consumer Affairs
B. California Association of Realtors
C. Department of Housing and Community Development
D. California Department of Real Estate (DRE)
The California Department of Real Estate is the state agency
responsible for licensing and regulating real estate brokers and
salespersons.
2. A real estate salesperson may be compensated only by:
A. The seller
B. The buyer
C. The escrow company
D. The employing broker
California law requires that salespersons receive compensation only
from their employing broker, not directly from clients.
, 3. How long is a California real estate salesperson license valid?
A. 1 year
B. 4 years
C. 2 years
D. 5 years
Salesperson licenses are issued for a four-year term and must be
renewed before expiration.
4. Which document creates an agency relationship between a seller
and broker?
A. Transfer Disclosure Statement
B. Purchase Agreement
C. Listing Agreement
D. Grant Deed
A listing agreement establishes the broker’s authority to represent the
seller and defines the agency relationship.
5. Which listing allows multiple brokers to market the property but
only the procuring cause to earn commission?
A. Exclusive right to sell
B. Net listing
C. Exclusive agency listing
D. Open listing
An exclusive agency listing allows multiple brokers to market the
property, but the seller reserves the right to sell without paying
commission.
, 6. A net listing is legal in California only if:
A. The broker earns a fixed commission
B. The seller is fully informed and not taken advantage of
C. The DRE approves it
D. The property is commercial
Net listings are legal but discouraged and subject to strict scrutiny due
to potential conflicts of interest.
7. Which duty is owed by an agent to a principal?
A. Disclosure
B. Confidentiality
C. Obedience
D. All of the above
Agents owe fiduciary duties including obedience, loyalty, disclosure,
confidentiality, accounting, and reasonable care.
8. What form is required to disclose agency relationships in a
residential transaction?
A. Natural Hazard Disclosure
B. Agency Disclosure Form
C. Lead-Based Paint Disclosure
D. Seller Property Questionnaire
California law requires written disclosure of agency relationships to all
parties involved.
