REAL ESTATE AGENCY
FINAL Exam Questions
And Correct Answers
(Verified Answers)
Plus Rationales
2025/2026 Q&A |
Instant Download Pdf
1. Which duty requires an agent to act in the client’s best
interest?
A. Disclosure
B. Accounting
C. Loyalty
D. Obedience
Loyalty means putting client interests first.
2. An agency relationship is created by:
A. Court order
B. Agreement between parties
, C. Government license
D. Property transfer
Agency arises through mutual consent.
3. The principal in real estate is:
A. Buyer’s agent
B. Broker
C. Client who hires the agent
D. Closing attorney
Principal is the person represented.
4. Which is NOT a fiduciary duty?
A. Confidentiality
B. Loyalty
C. Profit maximization for agent
D. Disclosure
Agents must not prioritize personal profit over client.
5. Dual agency occurs when:
A. Two brokers are involved
B. One agent represents both buyer and seller
C. Two buyers compete
D. One broker has no clients
Dual agency involves both sides.
6. Written agency agreements are:
A. Optional in all states
B. Required in most states for enforceability
C. Illegal
D. Only verbal
Most jurisdictions require written contracts.
,7. A listing agreement is between:
A. Buyer and seller
B. Seller and broker
C. Buyer and lender
D. Agent and government
It authorizes broker to sell property.
8. Exclusive right-to-sell means:
A. Owner sells alone
B. Multiple agents allowed
C. Broker earns commission regardless of who sells
D. No commission paid
Broker is entitled to commission in all cases.
9. An open listing allows:
A. One broker only
B. Multiple brokers and owner sale
C. No sale
D. Government control
No exclusivity exists.
10. Agency disclosure must be made:
A. At closing
B. Never
C. Early in client relationship
D. After contract
Disclosure must be timely.
11. A subagent works for:
A. Buyer
B. Listing broker
C. Seller directly
, D. Government
Subagents assist listing broker.
12. Confidentiality continues:
A. Until offer
B. After agency ends
C. Only during showing
D. Never
Some duties survive termination.
13. Puffing is:
A. Fraud
B. Opinionated exaggeration
C. Misrepresentation
D. Legal fact
Opinions, not facts.
14. Material fact means:
A. Small detail
B. Information affecting decision
C. Optional data
D. Agent opinion
Must be disclosed.
15. Misrepresentation can be:
A. Intentional only
B. Intentional or negligent
C. Legal always
D. Required
Both types are illegal.
FINAL Exam Questions
And Correct Answers
(Verified Answers)
Plus Rationales
2025/2026 Q&A |
Instant Download Pdf
1. Which duty requires an agent to act in the client’s best
interest?
A. Disclosure
B. Accounting
C. Loyalty
D. Obedience
Loyalty means putting client interests first.
2. An agency relationship is created by:
A. Court order
B. Agreement between parties
, C. Government license
D. Property transfer
Agency arises through mutual consent.
3. The principal in real estate is:
A. Buyer’s agent
B. Broker
C. Client who hires the agent
D. Closing attorney
Principal is the person represented.
4. Which is NOT a fiduciary duty?
A. Confidentiality
B. Loyalty
C. Profit maximization for agent
D. Disclosure
Agents must not prioritize personal profit over client.
5. Dual agency occurs when:
A. Two brokers are involved
B. One agent represents both buyer and seller
C. Two buyers compete
D. One broker has no clients
Dual agency involves both sides.
6. Written agency agreements are:
A. Optional in all states
B. Required in most states for enforceability
C. Illegal
D. Only verbal
Most jurisdictions require written contracts.
,7. A listing agreement is between:
A. Buyer and seller
B. Seller and broker
C. Buyer and lender
D. Agent and government
It authorizes broker to sell property.
8. Exclusive right-to-sell means:
A. Owner sells alone
B. Multiple agents allowed
C. Broker earns commission regardless of who sells
D. No commission paid
Broker is entitled to commission in all cases.
9. An open listing allows:
A. One broker only
B. Multiple brokers and owner sale
C. No sale
D. Government control
No exclusivity exists.
10. Agency disclosure must be made:
A. At closing
B. Never
C. Early in client relationship
D. After contract
Disclosure must be timely.
11. A subagent works for:
A. Buyer
B. Listing broker
C. Seller directly
, D. Government
Subagents assist listing broker.
12. Confidentiality continues:
A. Until offer
B. After agency ends
C. Only during showing
D. Never
Some duties survive termination.
13. Puffing is:
A. Fraud
B. Opinionated exaggeration
C. Misrepresentation
D. Legal fact
Opinions, not facts.
14. Material fact means:
A. Small detail
B. Information affecting decision
C. Optional data
D. Agent opinion
Must be disclosed.
15. Misrepresentation can be:
A. Intentional only
B. Intentional or negligent
C. Legal always
D. Required
Both types are illegal.
