Massachusetts Real Estate Salesperson Exam
– Verified Practice Questions & Answers with
Detailed Rationales (2026 Edition)
1. A Massachusetts buyer signs a purchase and sale
agreement with a contingency for financing. The lender
later denies the loan. What is the likely outcome?
A. Buyer automatically forfeits deposit
B. Seller must obtain financing
C. Contract may be terminated without penalty
D. Broker must provide financing
Correct Answer: C
Rationale: A financing contingency protects the buyer. If
financing is denied despite good faith effort, the buyer may
usually terminate the contract and recover the deposit,
depending on contract terms.
2. Under Massachusetts law, which entity primarily
regulates real estate licensees?
A. Secretary of the Commonwealth
B. Massachusetts Board of Registration of Real Estate Brokers
and Salespersons
C. Federal Housing Administration
D. County Recorder’s Office
,Correct Answer: B
Rationale: The Massachusetts Board of Registration of Real
Estate Brokers and Salespersons oversees licensing,
education, and discipline of real estate professionals in the
state.
3. Which of the following BEST describes a “fixture” in
Massachusetts real estate law?
A. Personal property always removable
B. Items permanently attached to real estate with intent to
remain
C. Movable trade equipment
D. Temporary decorations in a home
Correct Answer: B
Rationale: Fixtures are items attached to real property in such
a way that they are intended to remain permanently and
become part of the real estate.
4. A seller fails to disclose a known material defect in a
Massachusetts home. Which legal principle is most
applicable?
A. Caveat emptor applies absolutely
B. Fraudulent misrepresentation
C. Statute of Frauds
D. Merger doctrine
Correct Answer: B
,Rationale: In Massachusetts, sellers must disclose known
latent defects. Failure to disclose can constitute fraudulent
misrepresentation if material and intentional.
5. What is the primary purpose of the Massachusetts
Mandatory Lead Paint Disclosure law?
A. Require removal of all lead paint
B. Protect buyers/tenants from known lead hazards in older
housing
C. Ban sale of pre-1978 homes
D. Require annual inspections by agents
Correct Answer: B
Rationale: The law requires disclosure of known lead paint
hazards, particularly in homes built before 1978, to protect
occupants, especially children.
6. Which contract element is REQUIRED for a valid
Massachusetts real estate contract?
A. Oral agreement only
B. Written agreement signed by parties
C. Broker approval
D. County notarization
Correct Answer: B
Rationale: Under the Statute of Frauds, real estate contracts
must be in writing and signed to be enforceable.
, 7. A listing agreement without a termination date in
Massachusetts is:
A. Automatically void
B. Enforceable indefinitely
C. Typically considered voidable or requires clarification
D. Converted to open listing
Correct Answer: C
Rationale: A valid listing agreement must have a definite
termination date; otherwise it may be unenforceable or
subject to regulatory issues.
8. Which type of agency relationship gives the broker the
LEAST fiduciary duty?
A. Seller agency
B. Buyer agency
C. Designated agency
D. Non-agency (transactional facilitator)
Correct Answer: D
Rationale: A transaction facilitator does not represent either
party and therefore owes minimal fiduciary duties compared
to traditional agency relationships.
9. In Massachusetts, earnest money deposits are typically
held by:
– Verified Practice Questions & Answers with
Detailed Rationales (2026 Edition)
1. A Massachusetts buyer signs a purchase and sale
agreement with a contingency for financing. The lender
later denies the loan. What is the likely outcome?
A. Buyer automatically forfeits deposit
B. Seller must obtain financing
C. Contract may be terminated without penalty
D. Broker must provide financing
Correct Answer: C
Rationale: A financing contingency protects the buyer. If
financing is denied despite good faith effort, the buyer may
usually terminate the contract and recover the deposit,
depending on contract terms.
2. Under Massachusetts law, which entity primarily
regulates real estate licensees?
A. Secretary of the Commonwealth
B. Massachusetts Board of Registration of Real Estate Brokers
and Salespersons
C. Federal Housing Administration
D. County Recorder’s Office
,Correct Answer: B
Rationale: The Massachusetts Board of Registration of Real
Estate Brokers and Salespersons oversees licensing,
education, and discipline of real estate professionals in the
state.
3. Which of the following BEST describes a “fixture” in
Massachusetts real estate law?
A. Personal property always removable
B. Items permanently attached to real estate with intent to
remain
C. Movable trade equipment
D. Temporary decorations in a home
Correct Answer: B
Rationale: Fixtures are items attached to real property in such
a way that they are intended to remain permanently and
become part of the real estate.
4. A seller fails to disclose a known material defect in a
Massachusetts home. Which legal principle is most
applicable?
A. Caveat emptor applies absolutely
B. Fraudulent misrepresentation
C. Statute of Frauds
D. Merger doctrine
Correct Answer: B
,Rationale: In Massachusetts, sellers must disclose known
latent defects. Failure to disclose can constitute fraudulent
misrepresentation if material and intentional.
5. What is the primary purpose of the Massachusetts
Mandatory Lead Paint Disclosure law?
A. Require removal of all lead paint
B. Protect buyers/tenants from known lead hazards in older
housing
C. Ban sale of pre-1978 homes
D. Require annual inspections by agents
Correct Answer: B
Rationale: The law requires disclosure of known lead paint
hazards, particularly in homes built before 1978, to protect
occupants, especially children.
6. Which contract element is REQUIRED for a valid
Massachusetts real estate contract?
A. Oral agreement only
B. Written agreement signed by parties
C. Broker approval
D. County notarization
Correct Answer: B
Rationale: Under the Statute of Frauds, real estate contracts
must be in writing and signed to be enforceable.
, 7. A listing agreement without a termination date in
Massachusetts is:
A. Automatically void
B. Enforceable indefinitely
C. Typically considered voidable or requires clarification
D. Converted to open listing
Correct Answer: C
Rationale: A valid listing agreement must have a definite
termination date; otherwise it may be unenforceable or
subject to regulatory issues.
8. Which type of agency relationship gives the broker the
LEAST fiduciary duty?
A. Seller agency
B. Buyer agency
C. Designated agency
D. Non-agency (transactional facilitator)
Correct Answer: D
Rationale: A transaction facilitator does not represent either
party and therefore owes minimal fiduciary duties compared
to traditional agency relationships.
9. In Massachusetts, earnest money deposits are typically
held by:
