LOUISIANA REAL ESTATE BROKER EXAM – QUESTIONS AND ANSWERS |
VERIFIED AND WELL DETAILED ANSWERS | PLUS RATIONALES |
GUARANTEED PASS | LATEST EXAM UPDATE
CORE DOMAINS
Property Ownership and Land Use Controls
Real Estate Agency and Brokerage Relationships
Property Valuation and Financial Analysis
Contracts and Conveyance
Louisiana Real Estate License Law and Commission Rules
Fair Housing and Ethical Practice
Property Management and Leasing
Closing Procedures and Settlement
INTRODUCTION
The purpose of this examination is to evaluate the competency of candidates seeking
a real estate broker license. This assessment measures mastery of core legal
principles, brokerage management, and professional standards essential for ethical
and effective practice. The exam utilizes a blend of multiple-choice and scenario-
based questions designed to test knowledge retention and the application of
regulatory frameworks. Candidates are expected to demonstrate critical thinking by
analyzing complex real-world transactions and making sound decisions in compliance
with state laws. Success on this exam indicates a thorough understanding of the
,technical, legal, and operational responsibilities inherent in managing a brokerage
firm.
SECTION ONE
1. A sponsoring broker in Louisiana dies, leaving the brokerage without a qualifying
broker. What is the maximum time the Louisiana Real Estate Commission
allows for the appointment of a successor broker?
A. 30 days
B. 90 days
🟢✔️ C. 180 days
D. 120 days
🔴 Explanation: Under Louisiana Real Estate Commission rules, if a sponsoring
broker dies, the commission may grant up to 180 days for the brokerage to appoint a
successor broker to continue operations.
2. A licensee acts as a dual agent without obtaining written informed consent from
all parties. According to Louisiana law, what is the impact on the transaction?
A. The transaction is automatically voided
B. The broker is entitled to a reduced commission
🟢✔️ C. The licensee may be subject to disciplinary action by the LREC
D. The contract is unenforceable but valid
🔴 Explanation: Failure to obtain proper written informed consent for dual agency is a
,violation of the Louisiana Real Estate Agency Disclosure Act, exposing the licensee to
potential sanctions including license suspension or revocation.
3. Which of the following is considered an immovable under the Louisiana Civil
Code?
A. A mobile home not permanently attached to the land
B. Harvested timber
🟢✔️ C. A building permanently attached to the ground
D. Office furniture in a commercial space
🔴 Explanation: In Louisiana, buildings and standing timber are considered
component parts of the land and are classified as immovables.
4. A property owner grants a neighbor the right to cross their land to access a
public road. If this right is recorded and attaches to the land, it is known as:
A. A personal servitude
🟢✔️ B. A predial servitude
C. A usufruct
D. An encroachment
🔴 Explanation: A predial servitude is a charge on a servient estate for the benefit of a
dominant estate, running with the land regardless of ownership.
5. When a broker receives an earnest money deposit, within what timeframe must
the funds be deposited into a sales escrow account?
, A. 24 hours
🟢✔️ B. 72 hours
C. 5 business days
D. 10 calendar days
🔴 Explanation: Louisiana regulations require that all earnest money deposits must
be deposited into the broker's sales escrow account within 72 hours of the acceptance
of the offer.
6. A seller refuses to disclose a known latent defect regarding the foundation.
Under Louisiana property law, what is the primary duty of the licensee?
A. To remain neutral as the seller's agent
B. To facilitate the sale provided the buyer does not ask
🟢✔️ C. To disclose all known material adverse facts to all parties
D. To advise the seller that the defect will be handled in closing
🔴 Explanation: Regardless of agency, licensees have a statutory duty to disclose all
known material adverse facts regarding the physical condition of the property to all
parties in the transaction.
7. What is the legal term for the right of a spouse to a share of the assets acquired
during a marriage in Louisiana?
A. Separate property
🟢✔️ B. Community property
C. Dower rights
D. Curtesy rights
VERIFIED AND WELL DETAILED ANSWERS | PLUS RATIONALES |
GUARANTEED PASS | LATEST EXAM UPDATE
CORE DOMAINS
Property Ownership and Land Use Controls
Real Estate Agency and Brokerage Relationships
Property Valuation and Financial Analysis
Contracts and Conveyance
Louisiana Real Estate License Law and Commission Rules
Fair Housing and Ethical Practice
Property Management and Leasing
Closing Procedures and Settlement
INTRODUCTION
The purpose of this examination is to evaluate the competency of candidates seeking
a real estate broker license. This assessment measures mastery of core legal
principles, brokerage management, and professional standards essential for ethical
and effective practice. The exam utilizes a blend of multiple-choice and scenario-
based questions designed to test knowledge retention and the application of
regulatory frameworks. Candidates are expected to demonstrate critical thinking by
analyzing complex real-world transactions and making sound decisions in compliance
with state laws. Success on this exam indicates a thorough understanding of the
,technical, legal, and operational responsibilities inherent in managing a brokerage
firm.
SECTION ONE
1. A sponsoring broker in Louisiana dies, leaving the brokerage without a qualifying
broker. What is the maximum time the Louisiana Real Estate Commission
allows for the appointment of a successor broker?
A. 30 days
B. 90 days
🟢✔️ C. 180 days
D. 120 days
🔴 Explanation: Under Louisiana Real Estate Commission rules, if a sponsoring
broker dies, the commission may grant up to 180 days for the brokerage to appoint a
successor broker to continue operations.
2. A licensee acts as a dual agent without obtaining written informed consent from
all parties. According to Louisiana law, what is the impact on the transaction?
A. The transaction is automatically voided
B. The broker is entitled to a reduced commission
🟢✔️ C. The licensee may be subject to disciplinary action by the LREC
D. The contract is unenforceable but valid
🔴 Explanation: Failure to obtain proper written informed consent for dual agency is a
,violation of the Louisiana Real Estate Agency Disclosure Act, exposing the licensee to
potential sanctions including license suspension or revocation.
3. Which of the following is considered an immovable under the Louisiana Civil
Code?
A. A mobile home not permanently attached to the land
B. Harvested timber
🟢✔️ C. A building permanently attached to the ground
D. Office furniture in a commercial space
🔴 Explanation: In Louisiana, buildings and standing timber are considered
component parts of the land and are classified as immovables.
4. A property owner grants a neighbor the right to cross their land to access a
public road. If this right is recorded and attaches to the land, it is known as:
A. A personal servitude
🟢✔️ B. A predial servitude
C. A usufruct
D. An encroachment
🔴 Explanation: A predial servitude is a charge on a servient estate for the benefit of a
dominant estate, running with the land regardless of ownership.
5. When a broker receives an earnest money deposit, within what timeframe must
the funds be deposited into a sales escrow account?
, A. 24 hours
🟢✔️ B. 72 hours
C. 5 business days
D. 10 calendar days
🔴 Explanation: Louisiana regulations require that all earnest money deposits must
be deposited into the broker's sales escrow account within 72 hours of the acceptance
of the offer.
6. A seller refuses to disclose a known latent defect regarding the foundation.
Under Louisiana property law, what is the primary duty of the licensee?
A. To remain neutral as the seller's agent
B. To facilitate the sale provided the buyer does not ask
🟢✔️ C. To disclose all known material adverse facts to all parties
D. To advise the seller that the defect will be handled in closing
🔴 Explanation: Regardless of agency, licensees have a statutory duty to disclose all
known material adverse facts regarding the physical condition of the property to all
parties in the transaction.
7. What is the legal term for the right of a spouse to a share of the assets acquired
during a marriage in Louisiana?
A. Separate property
🟢✔️ B. Community property
C. Dower rights
D. Curtesy rights
