Real Estate Salesperson State Exam 5 with all Correct & 100%
Verified Answers |Latest Version |Already Graded A+
Does TREC limit the amount of a rebate that a license holder can share with a client within a
real estate transaction?
(a) Yes, the limit is $50 in value, but not cash
(b) No, there is no limit on a rebate to a client
(c) Yes, the limit is $500
(d) TREC prohibits all rebates ✔Correct Answer-(b) No, there is no limit on a rebate to a client
As part of the Texas Property Code there are recording statutes. The statues say:
(a) Recording can be used to impose TREC rules before they are officially adopted
(b) Recording can be used to give constructive notice of ownership of property to future
purchasers
(c) A broker must keep copies of all documents for a minimum of 4 years
(d) E-documents cannot be recorded ✔Correct Answer-(b) Recording can be used to give
constructive notice of ownership of property to future purchasers. Recording is not related to
TREC rules or how long a broker must keep records. E-documents can be recorded.
TRELA imposes many rules and requirements on Texas Real Estate License holders. According to
TRELA, which of the following actions by a license holder is permitted?
(a) A license holder may put a sign on a property with verbal permission from the owner.
(b) If a client requests a copy of a document, the license holder can refuse to provide it unless
the client wants to take the document to an attorney for review.
(c) A license holder can present a below market value offer to a seller.
(d) A Texas broker, with written permission from both parties, can choose to act as a dual agent
rather than an Intermediary ✔Correct Answer-(c) A license holder can present a below
market value offer to a seller.
A listing agent has received multiple offers on a property and has also been notified by a buyer's
agent that another offer will be delivered this evening. How should the agent handle this
situation?
(a) The agent should present the offers in his possession and tell the seller he expects an
additional offer this evening.
(b) He should present the offers he has and ignore the expected offer.
(c) He should present the best offer and encourage the seller to accept it.
(d) He should notify all interested buyers that he has multiple offers and ask that they submit
their highest and best offers by 9pm that evening. ✔Correct Answer-(a) The agent should
present the offers in his possession and tell the seller he expects an additional offer this
evening.
, Violation of TREC rules can result in disciplinary action for the license holder. Which of the
following would be a violation?
(a) The failure of an agent to read his company policies and procedures manual
(b) The failure to disclose a second DWI conviction to TREC
(c) Allowing any unlicensed employee or family member to show a listing
(d) Using paper documents rather than electronic documents ✔Correct Answer-(c) Allowing
any unlicensed employee or family member to show a listing
To change to a new broker, a sales license holder MUST:
(a) Notify all current clients in writing before making the change
(b) Go on inactive status with TREC before making the change
(c) Notify the current broker in writing
(d) Give the current broker 2 weeks notice before making the change ✔Correct Answer-(c)
Notify the current broker in writing
If the effective date of a contract is the Wednesday before Labor Day, the buyer MUST deliver
the earnest money to the escrow agent no later than the following:
(a) Thursday
(b) Friday
(c) Monday
(d) Tuesday ✔Correct Answer-(d) Tuesday. The money must be delivered by the close of the
third day after the effective date. If the third day is a Saturday, Sunday or Holiday we move
forward to the next day that is not a Saturday, Sunday or Holiday. If the effective date is
Wednesday, Thursday is day 1, Friday is day 2, Saturday, Sunday and Monday (a holiday) do not
count- Tuesday is day 3.
TREC has many promulgated contract forms. Which of the following properties are covered by
TREC forms?
(a) Mobile homes
(b) Apartment complexes
(c) Farms and ranches
(d) Cemetery lots ✔Correct Answer-(c) Farms and ranches. There are no TREC forms for the
other answer choices.
When must a broker deposit earnest money received from a buyer?
(a) Within 3 days of receiving the funds
(b) Any time prior to closing
(c) By the close of the second business day after receiving the funds
(d) When the buyer tells the broker to deposit the funds ✔Correct Answer-(c) By the close of
the second business day after receiving the funds.
Which of the following actions can be taken by TREC after a license holder has been found to be
in violation of TREC rules:
(a) TREC can revoke or suspend a license
Verified Answers |Latest Version |Already Graded A+
Does TREC limit the amount of a rebate that a license holder can share with a client within a
real estate transaction?
(a) Yes, the limit is $50 in value, but not cash
(b) No, there is no limit on a rebate to a client
(c) Yes, the limit is $500
(d) TREC prohibits all rebates ✔Correct Answer-(b) No, there is no limit on a rebate to a client
As part of the Texas Property Code there are recording statutes. The statues say:
(a) Recording can be used to impose TREC rules before they are officially adopted
(b) Recording can be used to give constructive notice of ownership of property to future
purchasers
(c) A broker must keep copies of all documents for a minimum of 4 years
(d) E-documents cannot be recorded ✔Correct Answer-(b) Recording can be used to give
constructive notice of ownership of property to future purchasers. Recording is not related to
TREC rules or how long a broker must keep records. E-documents can be recorded.
TRELA imposes many rules and requirements on Texas Real Estate License holders. According to
TRELA, which of the following actions by a license holder is permitted?
(a) A license holder may put a sign on a property with verbal permission from the owner.
(b) If a client requests a copy of a document, the license holder can refuse to provide it unless
the client wants to take the document to an attorney for review.
(c) A license holder can present a below market value offer to a seller.
(d) A Texas broker, with written permission from both parties, can choose to act as a dual agent
rather than an Intermediary ✔Correct Answer-(c) A license holder can present a below
market value offer to a seller.
A listing agent has received multiple offers on a property and has also been notified by a buyer's
agent that another offer will be delivered this evening. How should the agent handle this
situation?
(a) The agent should present the offers in his possession and tell the seller he expects an
additional offer this evening.
(b) He should present the offers he has and ignore the expected offer.
(c) He should present the best offer and encourage the seller to accept it.
(d) He should notify all interested buyers that he has multiple offers and ask that they submit
their highest and best offers by 9pm that evening. ✔Correct Answer-(a) The agent should
present the offers in his possession and tell the seller he expects an additional offer this
evening.
, Violation of TREC rules can result in disciplinary action for the license holder. Which of the
following would be a violation?
(a) The failure of an agent to read his company policies and procedures manual
(b) The failure to disclose a second DWI conviction to TREC
(c) Allowing any unlicensed employee or family member to show a listing
(d) Using paper documents rather than electronic documents ✔Correct Answer-(c) Allowing
any unlicensed employee or family member to show a listing
To change to a new broker, a sales license holder MUST:
(a) Notify all current clients in writing before making the change
(b) Go on inactive status with TREC before making the change
(c) Notify the current broker in writing
(d) Give the current broker 2 weeks notice before making the change ✔Correct Answer-(c)
Notify the current broker in writing
If the effective date of a contract is the Wednesday before Labor Day, the buyer MUST deliver
the earnest money to the escrow agent no later than the following:
(a) Thursday
(b) Friday
(c) Monday
(d) Tuesday ✔Correct Answer-(d) Tuesday. The money must be delivered by the close of the
third day after the effective date. If the third day is a Saturday, Sunday or Holiday we move
forward to the next day that is not a Saturday, Sunday or Holiday. If the effective date is
Wednesday, Thursday is day 1, Friday is day 2, Saturday, Sunday and Monday (a holiday) do not
count- Tuesday is day 3.
TREC has many promulgated contract forms. Which of the following properties are covered by
TREC forms?
(a) Mobile homes
(b) Apartment complexes
(c) Farms and ranches
(d) Cemetery lots ✔Correct Answer-(c) Farms and ranches. There are no TREC forms for the
other answer choices.
When must a broker deposit earnest money received from a buyer?
(a) Within 3 days of receiving the funds
(b) Any time prior to closing
(c) By the close of the second business day after receiving the funds
(d) When the buyer tells the broker to deposit the funds ✔Correct Answer-(c) By the close of
the second business day after receiving the funds.
Which of the following actions can be taken by TREC after a license holder has been found to be
in violation of TREC rules:
(a) TREC can revoke or suspend a license
