NEW YORK STATE REAL ESTATE SALESPERSON
LICENSING EXAM PRACTICE REVIEW 2026
TESTED QUESTIONS ANSWERS
◉ Non-conforming loan. Answer: - a loan that does not conform to
Fannie mae policies
- harder for banks to sell to other banks on the secondary market
◉ Continuing Education. Answer: - license valid for 2 years
- must renew with 22.5 hours within 2 years to department of state
◉ Variance and Special Use Permit. Answer: - to change zoning go to
Board of Standards and Appeals
- prove in writing that you have financial hardship because of zoning
◉ Usury. Answer: Illegally charing higher interest rate that the legal
limit
◉ Property insurance. Answer: - covers damages to real estate
◉ Liability insurance. Answer: convert injury to another person or
their things
,◉ Package insurance. Answer: property and liability insurance
◉ Dwelling policy. Answer: property insurance only
◉ Homeowners insurance. Answer: property and liability
◉ Truth in Lending Act (TILA). Answer: - protects consumers in
lending situations
- regulation z implements tila
- discloses interest in annual percentage rate
◉ Annual Percentage Rate. Answer: -cost of credit expressed as a
yearly percentage rate
- includes interest rate, points, origination fees, mortgage broker
commissions and certain other credit charges
◉ Dual agency. Answer: - when yo represent both sides
- must agree in writing on both sides that this is ok
◉ Co-operating brokerage (co-broker). Answer: - 2 real estate firms
do a deal together and share the commission
- *cobrokers represent the seller client
, ◉ Capital Reserve Fund. Answer: -money set aside each month for
unexpected repairs and large improvements to a building
- expense on the operating statement
◉ Loft lease. Answer: - open space that has not been divided into
rooms
◉ Seizin. Answer: - ownership
◉ Acceleration clause. Answer: - allows the bank to "speed up" the
mortgage- making the entire payment due now if borrower doesn't
pay (defaults)
-
◉ NYS General Business Law 36B. Answer: - guarantee on new
construction for:
- 1 year workmanship
- 2 years trade (plumbing, electric)
- 6 years material defects
◉ Active Income. Answer: Salary
LICENSING EXAM PRACTICE REVIEW 2026
TESTED QUESTIONS ANSWERS
◉ Non-conforming loan. Answer: - a loan that does not conform to
Fannie mae policies
- harder for banks to sell to other banks on the secondary market
◉ Continuing Education. Answer: - license valid for 2 years
- must renew with 22.5 hours within 2 years to department of state
◉ Variance and Special Use Permit. Answer: - to change zoning go to
Board of Standards and Appeals
- prove in writing that you have financial hardship because of zoning
◉ Usury. Answer: Illegally charing higher interest rate that the legal
limit
◉ Property insurance. Answer: - covers damages to real estate
◉ Liability insurance. Answer: convert injury to another person or
their things
,◉ Package insurance. Answer: property and liability insurance
◉ Dwelling policy. Answer: property insurance only
◉ Homeowners insurance. Answer: property and liability
◉ Truth in Lending Act (TILA). Answer: - protects consumers in
lending situations
- regulation z implements tila
- discloses interest in annual percentage rate
◉ Annual Percentage Rate. Answer: -cost of credit expressed as a
yearly percentage rate
- includes interest rate, points, origination fees, mortgage broker
commissions and certain other credit charges
◉ Dual agency. Answer: - when yo represent both sides
- must agree in writing on both sides that this is ok
◉ Co-operating brokerage (co-broker). Answer: - 2 real estate firms
do a deal together and share the commission
- *cobrokers represent the seller client
, ◉ Capital Reserve Fund. Answer: -money set aside each month for
unexpected repairs and large improvements to a building
- expense on the operating statement
◉ Loft lease. Answer: - open space that has not been divided into
rooms
◉ Seizin. Answer: - ownership
◉ Acceleration clause. Answer: - allows the bank to "speed up" the
mortgage- making the entire payment due now if borrower doesn't
pay (defaults)
-
◉ NYS General Business Law 36B. Answer: - guarantee on new
construction for:
- 1 year workmanship
- 2 years trade (plumbing, electric)
- 6 years material defects
◉ Active Income. Answer: Salary
