This comprehensive 150-question Barney Fletcher Real Estate Final Exam covers all essential topics for
Georgia licensing success, including Real Estate Principles, Property Ownership, Brokerage Operations,
Contracts, Financing, Appraisal, Agency Relationships, and GREC Regulations. Each question includes
multiple-choice options with the correct answer highlighted and detailed rationales explaining the
underlying legal and professional concepts. This graded A+ resource is fully updated for 2026/2027,
featuring expert-verified solutions aligned with Georgia statutes, GREC rules, and industry best practices
to ensure maximum exam readiness.
SECTION 1: LISTING AGREEMENTS AND COMMISSIONS
1. When is the correct time for the salesperson to get the proper legal
description of the seller's property?
A) At the time of the listing
B) At the time of the offer
C) At the time of closing
D) At the time of the appraisal
Correct Answer: A) At the time of the listing
Rationale: The legal description should be obtained at the time of listing
to ensure accurate marketing and contract preparation. The legal description
is essential for identifying the property in the listing agreement and
subsequent purchase contract. Waiting until later can cause delays and
potential errors. The salesperson should verify the legal description
using the deed, plat, or survey early in the process.
2. A broker receives an offer from a buyer to purchase a property listed
with the broker. The buyer wants to buy subject to inspection and financing.
1
,The seller accepts. What does this create?
A) A valid contract
B) A unilateral contract
C) An option
D) A void contract
Correct Answer: A) A valid contract
Rationale: A valid contract exists when there is mutual agreement,
consideration, and capacity. The fact that the contract includes
contingencies does not make it invalid. The contract becomes binding
upon acceptance by the seller. The buyer may terminate if contingencies
are not satisfied, but the contract itself is valid and enforceable
subject to those conditions.
3. In a cooperative sale, where the listing broker and the selling broker
represent the seller, the selling broker has which of the following
relationships?
A) Agent of the listing broker
B) Subagent of the listing broker
C) Agent of the seller
D) Subagent of the buyer
Correct Answer: A) Agent of the listing broker
Rationale: In a traditional cooperative sale where both brokers represent
the seller, the selling broker acts as a subagent of the listing broker.
This means the selling broker is considered an agent of the listing broker,
not directly the seller's agent. The selling broker owes fiduciary duties
to the seller through the listing broker. This arrangement has become less
common with the rise of buyer agency.
4. A broker had an exclusive right to sell agency listing. In order to collect
the commission, he must:
A) Prove he was the procuring agent
B) Prove he was licensed at the time of the sale
C) Prove he had a ready, willing, and able buyer that met the seller's terms
2
,D) All of the above
Correct Answer: B) Prove he was licensed at the time of the sale
Rationale: In an exclusive right to sell listing, the broker is entitled to
a commission regardless of who finds the buyer, as long as the broker is
licensed at the time of the sale. The broker does not need to prove they
were the procuring cause or that they produced a ready, willing, and able
buyer. However, the broker must hold a valid license when the transaction
closes to legally collect a commission. Unlicensed activity voids the
right to compensation.
5. A broker estimated the property lines by stating it ran between two trees
in the back yard. After closing, the buyer found it was over six feet off.
Is the broker liable?
A) No, he gave an estimate
B) No, the buyer should have gotten a survey
C) Yes, he made a statement which he realized could be false
D) Yes, the broker should have surveyed the property himself
Correct Answer: C) Yes, he made a statement which he realized could be false
Rationale: The broker is liable for misrepresentation because he made a
statement about property boundaries without verifying the accuracy. Even
though the buyer could have obtained a survey, the broker's statement was
made as if it were factual. When a broker makes statements that could
reasonably be false and fails to disclose uncertainty, it constitutes
negligent misrepresentation. Brokers should always recommend that buyers
obtain a survey to verify property lines.
6. Smith has an exclusive listing with broker Jones for $220,000. Jones finds
a buyer who wants representation and Jones represents both Smith and the buyer,
verbally disclosing that he is now representing both as clients. Has Jones
violated license law?
A) Yes, because this is subagency
B) Yes, because this is undisclosed dual agency
C) No, because he disclosed to all parties that neither had to consent to
dual agency
3
, D) No, because he disclosed to all parties that his actions may be adverse to
Correct Answer: B) Yes, because this is undisclosed dual agency
Rationale: Dual agency requires both written informed consent from both
parties and proper disclosure. Verbal disclosure is not sufficient under
Georgia law and GREC rules. The broker must provide written disclosure of
dual agency and obtain written consent from both parties. Without proper
written consent, the broker has engaged in undisclosed dual agency, which
violates license law and fiduciary duties. The broker also failed to obtain
proper consent before representing both parties.
7. A buyer and seller sign an agreement to change the contract to close on
May 1 instead of May 2. This is a(n):
A) Addendum
B) Special stipulation
C) Amendment
D) Clause
Correct Answer: C) Amendment
Rationale: An amendment is a formal change to an existing contract that
alters its terms. When the parties agree to change the closing date, they
are amending the original purchase agreement. An addendum adds new terms
to the contract without changing existing terms. A clause is a specific
provision within a contract. Amendments require mutual agreement and
should be in writing to be enforceable under the Statute of Frauds.
8. When a person, upon payment of a consideration, has an obligation to buy
land at a fixed price within a specified period of time, his right could be
described as:
A) A right of first refusal
B) An option
C) A sales contract
D) Either A or B
Correct Answer: C) A sales contract
4
Georgia licensing success, including Real Estate Principles, Property Ownership, Brokerage Operations,
Contracts, Financing, Appraisal, Agency Relationships, and GREC Regulations. Each question includes
multiple-choice options with the correct answer highlighted and detailed rationales explaining the
underlying legal and professional concepts. This graded A+ resource is fully updated for 2026/2027,
featuring expert-verified solutions aligned with Georgia statutes, GREC rules, and industry best practices
to ensure maximum exam readiness.
SECTION 1: LISTING AGREEMENTS AND COMMISSIONS
1. When is the correct time for the salesperson to get the proper legal
description of the seller's property?
A) At the time of the listing
B) At the time of the offer
C) At the time of closing
D) At the time of the appraisal
Correct Answer: A) At the time of the listing
Rationale: The legal description should be obtained at the time of listing
to ensure accurate marketing and contract preparation. The legal description
is essential for identifying the property in the listing agreement and
subsequent purchase contract. Waiting until later can cause delays and
potential errors. The salesperson should verify the legal description
using the deed, plat, or survey early in the process.
2. A broker receives an offer from a buyer to purchase a property listed
with the broker. The buyer wants to buy subject to inspection and financing.
1
,The seller accepts. What does this create?
A) A valid contract
B) A unilateral contract
C) An option
D) A void contract
Correct Answer: A) A valid contract
Rationale: A valid contract exists when there is mutual agreement,
consideration, and capacity. The fact that the contract includes
contingencies does not make it invalid. The contract becomes binding
upon acceptance by the seller. The buyer may terminate if contingencies
are not satisfied, but the contract itself is valid and enforceable
subject to those conditions.
3. In a cooperative sale, where the listing broker and the selling broker
represent the seller, the selling broker has which of the following
relationships?
A) Agent of the listing broker
B) Subagent of the listing broker
C) Agent of the seller
D) Subagent of the buyer
Correct Answer: A) Agent of the listing broker
Rationale: In a traditional cooperative sale where both brokers represent
the seller, the selling broker acts as a subagent of the listing broker.
This means the selling broker is considered an agent of the listing broker,
not directly the seller's agent. The selling broker owes fiduciary duties
to the seller through the listing broker. This arrangement has become less
common with the rise of buyer agency.
4. A broker had an exclusive right to sell agency listing. In order to collect
the commission, he must:
A) Prove he was the procuring agent
B) Prove he was licensed at the time of the sale
C) Prove he had a ready, willing, and able buyer that met the seller's terms
2
,D) All of the above
Correct Answer: B) Prove he was licensed at the time of the sale
Rationale: In an exclusive right to sell listing, the broker is entitled to
a commission regardless of who finds the buyer, as long as the broker is
licensed at the time of the sale. The broker does not need to prove they
were the procuring cause or that they produced a ready, willing, and able
buyer. However, the broker must hold a valid license when the transaction
closes to legally collect a commission. Unlicensed activity voids the
right to compensation.
5. A broker estimated the property lines by stating it ran between two trees
in the back yard. After closing, the buyer found it was over six feet off.
Is the broker liable?
A) No, he gave an estimate
B) No, the buyer should have gotten a survey
C) Yes, he made a statement which he realized could be false
D) Yes, the broker should have surveyed the property himself
Correct Answer: C) Yes, he made a statement which he realized could be false
Rationale: The broker is liable for misrepresentation because he made a
statement about property boundaries without verifying the accuracy. Even
though the buyer could have obtained a survey, the broker's statement was
made as if it were factual. When a broker makes statements that could
reasonably be false and fails to disclose uncertainty, it constitutes
negligent misrepresentation. Brokers should always recommend that buyers
obtain a survey to verify property lines.
6. Smith has an exclusive listing with broker Jones for $220,000. Jones finds
a buyer who wants representation and Jones represents both Smith and the buyer,
verbally disclosing that he is now representing both as clients. Has Jones
violated license law?
A) Yes, because this is subagency
B) Yes, because this is undisclosed dual agency
C) No, because he disclosed to all parties that neither had to consent to
dual agency
3
, D) No, because he disclosed to all parties that his actions may be adverse to
Correct Answer: B) Yes, because this is undisclosed dual agency
Rationale: Dual agency requires both written informed consent from both
parties and proper disclosure. Verbal disclosure is not sufficient under
Georgia law and GREC rules. The broker must provide written disclosure of
dual agency and obtain written consent from both parties. Without proper
written consent, the broker has engaged in undisclosed dual agency, which
violates license law and fiduciary duties. The broker also failed to obtain
proper consent before representing both parties.
7. A buyer and seller sign an agreement to change the contract to close on
May 1 instead of May 2. This is a(n):
A) Addendum
B) Special stipulation
C) Amendment
D) Clause
Correct Answer: C) Amendment
Rationale: An amendment is a formal change to an existing contract that
alters its terms. When the parties agree to change the closing date, they
are amending the original purchase agreement. An addendum adds new terms
to the contract without changing existing terms. A clause is a specific
provision within a contract. Amendments require mutual agreement and
should be in writing to be enforceable under the Statute of Frauds.
8. When a person, upon payment of a consideration, has an obligation to buy
land at a fixed price within a specified period of time, his right could be
described as:
A) A right of first refusal
B) An option
C) A sales contract
D) Either A or B
Correct Answer: C) A sales contract
4
