1 | Page
Colorado Real Estate State Exam
Review Questions and Answers Latest
2026
All unpaid ad valorem taxes become delinquent and a
LIEN after what date? Ans: June 15th, and they become a
lien on January 1st of the following year.
In a transaction that is subject to a licensee buyout
agreement, if the buyer defaults what is the sellers
default recourse? Ans: Sue for specific performance
If a contract for the sale of real property does not contain
consideration it is: Ans: Void
What is found in the preprinted portion of a purchase
and sale contract? Ans: Preowned Home Warranty
information
What are loan payments always applied to first? Ans:
Always Principal
When must prepayed annual tax payments be made by?
Ans: April 30th
When does the TILA RESPA Integrated Disclosure law
require that the Closing Disclosure be given to the buyer
and seller? Ans: Three days prior to closing
© 2025 All rights reserved
, 2 | Page
When would you use the Agreement to Amend/Extend
Contract? Ans: To change the loan application deadline in
an accepted purchase contract
Your best friend sold her house herself. She asks you to
help prepare the documents as a favor. Could you help
and what would you first have to do ? Ans: yes, but you
will have to execute a listing agreement first
What must you have to be broker on record for a
corporation? Ans: Colorado real estate license
In Colorado, who is exempt from real estate law? Ans:
Private owners, investors, etc.
As a transaction broker, you must disclose to both
parties that you will be representing both parties. True or
False? Ans: True
How many agents are needed in an office to be required
to have office policy manual? Ans: One or more
What happens to the security deposits when the owners
sells to new buyer? Ans: All deposits are credited to the
new owner/buyer.
( Debit seller, credit buyer )
How much damage must be done in order for the buyer
to be able to terminate? Ans: The damage must exceed
10%
© 2025 All rights reserved
, 3 | Page
How are recording fees handled and shown on the
settlement sheet? Ans: Debit buyer or seller depending
on who is requiring the recording, and Credit to the
broker to pay.
Who would get charged the fee to notarize a Warranty
Deed? Ans: Seller
When is it ok to disclose seller/client confident
information to your employer broker? Ans: With written
permission by the client
What is the minimum amount of years a seller must keep
a copy of the Lead Based Paint Disclosure in their files for
? Ans: 3 Years
A broker must always supervise independent contractors.
True or False? Ans: True
The purchaser and seller must always agree to the closing
date. True or False? Ans: True
What is the purpose of using X and Y coordinates when
describing land in Colorado? Ans: I divides the state into
the 3 zones; Northern, Central, and Southern.
Who is Earnest Money a credit to on the Settlement
Sheet? Ans: Credit to Buyer
What settlement charges are typically POC
( Paid Outside of Closing? ) Ans: Appraisal and Credit
Report Fees
© 2025 All rights reserved
Colorado Real Estate State Exam
Review Questions and Answers Latest
2026
All unpaid ad valorem taxes become delinquent and a
LIEN after what date? Ans: June 15th, and they become a
lien on January 1st of the following year.
In a transaction that is subject to a licensee buyout
agreement, if the buyer defaults what is the sellers
default recourse? Ans: Sue for specific performance
If a contract for the sale of real property does not contain
consideration it is: Ans: Void
What is found in the preprinted portion of a purchase
and sale contract? Ans: Preowned Home Warranty
information
What are loan payments always applied to first? Ans:
Always Principal
When must prepayed annual tax payments be made by?
Ans: April 30th
When does the TILA RESPA Integrated Disclosure law
require that the Closing Disclosure be given to the buyer
and seller? Ans: Three days prior to closing
© 2025 All rights reserved
, 2 | Page
When would you use the Agreement to Amend/Extend
Contract? Ans: To change the loan application deadline in
an accepted purchase contract
Your best friend sold her house herself. She asks you to
help prepare the documents as a favor. Could you help
and what would you first have to do ? Ans: yes, but you
will have to execute a listing agreement first
What must you have to be broker on record for a
corporation? Ans: Colorado real estate license
In Colorado, who is exempt from real estate law? Ans:
Private owners, investors, etc.
As a transaction broker, you must disclose to both
parties that you will be representing both parties. True or
False? Ans: True
How many agents are needed in an office to be required
to have office policy manual? Ans: One or more
What happens to the security deposits when the owners
sells to new buyer? Ans: All deposits are credited to the
new owner/buyer.
( Debit seller, credit buyer )
How much damage must be done in order for the buyer
to be able to terminate? Ans: The damage must exceed
10%
© 2025 All rights reserved
, 3 | Page
How are recording fees handled and shown on the
settlement sheet? Ans: Debit buyer or seller depending
on who is requiring the recording, and Credit to the
broker to pay.
Who would get charged the fee to notarize a Warranty
Deed? Ans: Seller
When is it ok to disclose seller/client confident
information to your employer broker? Ans: With written
permission by the client
What is the minimum amount of years a seller must keep
a copy of the Lead Based Paint Disclosure in their files for
? Ans: 3 Years
A broker must always supervise independent contractors.
True or False? Ans: True
The purchaser and seller must always agree to the closing
date. True or False? Ans: True
What is the purpose of using X and Y coordinates when
describing land in Colorado? Ans: I divides the state into
the 3 zones; Northern, Central, and Southern.
Who is Earnest Money a credit to on the Settlement
Sheet? Ans: Credit to Buyer
What settlement charges are typically POC
( Paid Outside of Closing? ) Ans: Appraisal and Credit
Report Fees
© 2025 All rights reserved
