INDIANA STATE REAL ESTATE EXAM PRACTICE 2026 TEST 1 QUESTIONS WITH CORRECT VERIFIED ANSWERS LATEST UPDATED 2026/2027

INDIANA STATE REAL ESTATE EXAM
PRACTICE 2026 TEST 1 QUESTIONS
WITH CORRECT\ VERIFIED ANSWERS
LATEST UPDATED 2026/2027
WhichGofGtheseGsituationsGwouldGtheGIndianaGRealGEstateGCommissionGconsiderGsanctionableGconductGinG
aGlicensee?

BradGfailsGtoGnotifyGtheGcommissionGthatGhe'sGbeenGconvictedGofGaGdrunkGdrivingGcharge.

DianeGdisclosesGaGmaterialGfactGaboutGherGclient'sGpropertyGagainstGherGclient'sGwishes.

JessieGrefusesGtoGactGasGanGagentGtoGsellerGNedGbasedGonGNed'sGreputationGasGaGsexualGpredator.

NickGisGfacingGforeclosureGonGhisGhome.G-GCORRECTGANSWER-
BradGfailsGtoGnotifyGtheGcommissionGthatGhe'sGbeenGconvictedGofGaGdrunkGdrivingGcharge.



WhichGofGtheseGsituationsGwouldGtheGIndianaGRealGEstateGCommissionGconsiderGsanctionableGconductGinG
aGlicensee?

BradGfailsGtoGnotifyGtheGcommissionGthatGhe'sGbeenGconvictedGofGaGdrunkGdrivingGcharge.

DianeGdisclosesGaGmaterialGfactGaboutGherGclient'sGpropertyGagainstGherGclient'sGwishes.

JessieGrefusesGtoGactGasGanGagentGtoGsellerGNedGbasedGonGNed'sGreputationGasGaGsexualGpredator.

NickGisGfacingGforeclosureGonGhisGhome.G-GCORRECTGANSWER-
ABradGfailsGtoGnotifyGtheGcommissionGthatGhe'sGbeenGconvictedGofGaGdrunkGdrivingGcharge.



WhyGwouldGtheGIndianaGRealGEstateGCommissionGimposeGanGemergencyGsuspensionGonGaGbroker?

AGcomplainantGrequestsGtheGsuspension.

AGhearingGofficerGhasn'tGyetGbeenGassigned.

TheGcommissionGfearsGtheGlicenseeGisGaGthreatGtoGtheGgeneralGpublic.

TheGcommissionGisn'tGmeetingGforGanotherGfewGweeks.G-GCORRECTGANSWER-
TheGcommissionGfearsGtheGlicenseeGisGaGthreatGtoGtheGgeneralGpublic.



YouGhaveGaGlotGofGclientsGandGwouldGlikeGyourGunlicensedGassistantGtoGhelpGyou.GWhichGofGtheseGactivitie
sGwouldGyourGassistantGbeGallowedGtoGperform?

,ConductGaGshowing.

FillGoutGaGpurchaseGcontractGonGbehalfGofGaGbuyer.

PresentGaGcounter-offer.

ScheduleGorGcancelGshowings.G-GCORRECTGANSWER-ScheduleGorGcancelGshowings.



Maria,GanGIndianaGbroker,GisGconductingGherselfGaccordingGtoGtheGIndianaGprofessionalGstandardsGofGprac
ticeGinGwhichGofGtheseGscenarios?

AfterGherGsellerGacceptsGaGbuyer'sGoffer,GsheGdecidesGnotGtoGinformGtheGbuyerGofGtheGzoningGchangesGshe
GjustGlearnedGabout,GevenGthoughGtheyGwillGaffectGtheGallowedGuseGofGtheGproperty.



SheGadvisesGoneGofGherGclientsGaboutGaGlegalGmatterGoutsideGherGareaGofGexpertise.

SheGpaysGherGunlicensedGassistant,GTed,GaGbonusGwhenGheGtakesGchargeGofGherGopenGhouses,GleavingGher
GfreeGtoGpursueGotherGactivities.



SheGrefusesGtoGrestrictGherGadvertisementsGforGaGlistingGtoGherGseller'sGdesiredGtargetGaudience,GpeopleGo
fGKoreanGdescent.G-GCORRECTGANSWER-
SheGrefusesGtoGrestrictGherGadvertisementsGforGaGlistingGtoGherGseller'sGdesiredGtargetGaudience,GpeopleGo
fGKoreanGdescent.



WhichGofGtheseGscenariosGwouldGviolateGIndianaGrulesGforGrealGestateGlicenseeGcompensation?

AGlicenseeGwhoGearnsGaGreferralGfeeGdirectsGtheGpaymentGtoGbeGmadeGtoGhisGmanagingGbroker.

AGmanagingGbrokerGpaysGanGaffiliatedGbrokerGaGpercentageGofGtheGfeeGtheGaffiliatedGlicenseeGearnedGfro
mGtheGtransaction.

AGmanagingGbrokerGsplitsGtheGcommissionGherGaffiliatedGlicenseeGearnedGonGaGtransactionGwithGtheGbrok
erageGrepresentingGtheGbuyer.

AnGaffiliatedGlicenseeGpaysGaGsplitGtoGherGmanagingGbrokerGfromGtheGcommissionGsheGearned,GaccordingG
toGtheirGemploymentGagreement.G-GCORRECTGANSWER-
AnGaffiliatedGlicenseeGpaysGaGsplitGtoGherGmanagingGbrokerGfromGtheGcommissionGsheGearned,GaccordingG
toGtheirGemploymentGagreement.



InGIndiana,GrepresentingGbothGpartiesGinGaGtransaction,GwithG______,GisGcalledGlimitedGagency.

AgencyGeligibility

DisclosureGofGdualGrepresentation

PermissionGfromGtheGIndianaGRealGEstateGCommission

WrittenGinformedGconsentG-GCORRECTGANSWER-WrittenGinformedGconsent

, IndianaGmakesGitGunlawful,GandGagainstGtheGprofessionalGstandardsGofGpractice,GforGaGbrokerGtoGdoGwhich
GofGtheGfollowing?



AcceptGescrowGfundsGfromGaGclientGwithoutGpermissionGfromGaGmanagingGbroker

DisburseGescrowGfundsGaccordingGtoGtheGtermsGofGaGpurchaseGcontract

KeepGescrowGfundsGundeposited,GifGagreedGtoGinGwritingGbyGallGpartiesGinGaGtransaction

NeglectGtoGremitGorGtoGaccountGforGescrowGfundsG-GCORRECTGANSWER-
NeglectGtoGremitGorGtoGaccountGforGescrowGfunds



AndyGhasGaGmanagingGbroker-
levelGlicense,GbutGhe'sGsupervisedGbyGCharleneGatGTipGTopGRealty.GWhat'sGtrueGaboutGAndyGandGCharlene
?

AndyGisGanGassociateGbrokerGwhoGworksGforGTipGTopGRealty,GwhereGCharleneGisGaGmanagingGbroker.

BothGAndyGandGCharlotteGmustGbeGpartnersGorGmembersGofGTipGTopGRealtyGasGwellGasGmanagingGbrokers.

CharleneGisGtheGbusinessGownerGofGTipGTopGRealty,GandGAndyGisGtheGcompany'sGmanagingGbroker.

TipGTopGRealtyGisGeitherGaGpartnershipGorGanGLLCGbutGcan'tGbeGaGcorporation.G-GCORRECTGANSWER-
AndyGisGanGassociateGbrokerGwhoGworksGforGTipGTopGRealty,GwhereGCharleneGisGaGmanagingGbroker.



Rosie,GanGIndianaGbroker,GtellsGherGbuyerGclient,G"ThatGpropertyGisGaGstealGatGthatGprice.GIGcanGguaranteeG
you'llGmakeGaGprofitGwhenGyouGresell."GHasGRosieGviolatedGIndiana'sGprofessionalGstandardsGofGpractice?

No,GRosieGhasGaGdutyGtoGherGclientGtoGprovideGhonestGadviceGbasedGonGherGexpertiseGandGknowledgeGofGt
heGrealGestateGmarket.

No,GRosie'sGremarkGwouldGnotGbeGconsideredGreasonableGbyGtheGaverageGbuyerGclient,GsoGitGdoesn'tGqual
ifyGasGmisrepresentation.

Yes,Git'sGunlawfulGforGaGlicenseeGtoGguaranteeGfutureGprofitsGbuyersGmayGrealizeGwhenGtheyGre-
sellGaGpropertyGthey'reGconsideringGpurchasing.

Yes,GtheGprofessionalGstandardsGofGpracticeGmakeGitGunlawfulGforGaGlicenseeGtoGadviseGaGclientGaboutGanyG
potentialGforGprofitGorGlossGinGaGrealGestateGsale.G-GCORRECTGANSWER-
Yes,Git'sGunlawfulGforGaGlicenseeGtoGguaranteeGfutureGprofitsGbuyersGmayGrealizeGwhenGtheyGre-
sellGaGpropertyGthey'reGconsideringGpurchasing.



TheGIndianaGRealGEstateGCommissionGmayGorderGwhatGtypeGofGexaminationGifGtheGcircumstancesGofGanGin
vestigationGdeemGitGappropriate?