Georgia REC Salesperson Examination Q&A Practice Review
and Study Guide: The Complete DocMerit Preparation
Resource with 800 Detailed Questions, Multiple Answers, and
Comprehensive Rationales for First-Attempt Success
Georgia REC Salesperson Examination Q&A Practice Review and Study Guide is a detailed
DocMerit preparation resource designed to help candidates master the national and Georgia-
specific portions of the licensing exam. The following 800 questions cover all major content
areas, including GREC license law, BRRETA agency relationships, contracts, disclosures, trust
accounts, property ownership, financing, valuation, and real estate math. Each question is
followed by the correct answer and a detailed rationale to reinforce understanding.
1. Which state agency oversees the Georgia Real Estate Commission (GREC)?
A. Georgia Department of Community Affairs
B. Georgia Secretary of State's Office
C. Georgia Department of Revenue
D. Georgia Governor's Office of Consumer Protection
Correct Answer: B
Rationale: The GREC operates under the authority of the Georgia Secretary of State's
Office. The Secretary of State appoints the members of the commission, which regulates
all real estate licensees in the state. The other agencies listed handle different state
functions and do not oversee real estate licensing.
2. How many hours of pre-license education must a candidate complete before sitting for
the Georgia real estate salesperson exam?
A. 40 hours
B. 60 hours
C. 75 hours
D. 90 hours
Correct Answer: C
Rationale: Georgia requires 75 hours of pre-license education from a GREC-approved
school before a candidate can take the salesperson licensing exam. This coursework
covers topics such as license law, real estate principles, and Georgia-specific regulations.
The 40-hour and 60-hour options are insufficient, and 90 hours exceeds the
requirement.
,3. Within what timeframe must a newly licensed Georgia salesperson complete the
required post-license education?
A. Within 6 months of obtaining the license
B. Within the first year of obtaining the license
C. Within 2 years of obtaining the license
D. Before the first license renewal at 4 years
Correct Answer: B
Rationale: Georgia requires newly licensed salespersons to complete a 25-hour post-
license course within their first year of licensure. Failure to complete this requirement by
the deadline results in the license being placed on inactive status. The course covers
practical topics that supplement the pre-license education.
4. The Georgia real estate salesperson exam consists of how many questions, and what is
the passing score?
A. 120 questions (80 national + 40 state); 70% passing score
B. 152 questions (100 national + 52 state); 72% passing score
C. 150 questions (100 national + 50 state); 75% passing score
D. 140 questions (90 national + 50 state); 70% passing score
Correct Answer: B
Rationale: The Georgia salesperson licensing exam has 152 questions split into two
portions: 100 national questions and 52 state-specific questions. A candidate must score
at least 72% on each portion to pass. Both portions must be passed; failing one means
the entire exam must be retaken.
5. What is the minimum age requirement to obtain a real estate salesperson license in
Georgia?
A. 17 years old
B. 18 years old
C. 19 years old
D. 21 years old
Correct Answer: B
Rationale: Applicants must be at least 18 years old to obtain a real estate salesperson
license in Georgia. However, candidates may sit for the exam at age 17, provided they
meet all other requirements. This distinction between testing age and licensing age is a
common exam point.
6. Which of the following is true regarding the Georgia Real Estate Commission's licensing
power?
A. It can set standard commission rates for all transactions
B. It can arbitrate disputes between brokers
C. It can impose disciplinary sanctions on licensees who violate license law
D. It can approve all listing contracts
, Correct Answer: C
Rationale: The GREC is a regulatory body charged with protecting the public. It does not
set commissions (which would violate antitrust law) but does regulate and discipline
licensees who violate license law. The commission has the authority to suspend or
revoke licenses, issue fines, and conduct hearings.
7. If a Georgia real estate licensee fails to complete the required 36 hours of Continuing
Education (CE) by the renewal deadline, what happens to their license?
A. It is permanently revoked
B. It is placed in a "lapsed" status
C. It is automatically suspended for 6 months
D. The licensee is fined $5,000
Correct Answer: B
Rationale: Failure to meet CE requirements by the expiration date causes the license to
lapse. The licensee cannot practice until the CE is completed and the license is
reinstated. A lapsed license is not the same as a revoked license; the licensee can
typically reinstate by completing the missing education and paying a fee.
8. According to the Brokerage Relationships in Real Estate Transactions Act (BRRETA), when
must a broker disclose the types of brokerage relationships available to a prospective
client?
A. At the time of closing
B. Upon signing the purchase agreement
C. At the first substantive contact
D. Only if requested by the client
Correct Answer: C
Rationale: BRRETA requires that a broker disclose the types of relationships they offer
(and any conflicts of interest) at the first substantive contact with a prospective client.
This early disclosure ensures consumers understand their representation options before
sharing sensitive information.
9. A salesperson received an earnest money check. Per GREC regulations, unless the
contract states otherwise, where must these funds be deposited?
A. In the salesperson's personal savings account
B. In the brokerage's operating account
C. In the brokerage's trust account
D. In the seller's personal account
Correct Answer: C
Rationale: GREC regulations require that earnest money be deposited into the
brokerage's trust account unless the contract specifies otherwise. Commingling trust
funds with operating funds is prohibited. The salesperson must turn the check over to
the qualifying broker for proper handling.
, 10. If a brokerage firm's only qualifying broker leaves the firm, how long does the firm have
to replace them?
A. 24 hours
B. 3 days
C. 7 days
D. 30 days
Correct Answer: D
Rationale: When a brokerage firm loses its qualifying broker, the firm has 30 days to
replace them. During this period, the firm may continue operating but must appoint a
temporary qualifying broker or expedite the hiring of a permanent one. Failure to
comply can result in the firm losing its license.
11. Which of the following is a fiduciary duty owed by a licensee to a client under BRRETA?
A. Obedience
B. Loyalty
C. Disclosure
D. All of the above
Correct Answer: D
Rationale: Under BRRETA, licensees owe several fiduciary duties to their clients,
including obedience (following lawful instructions), loyalty (acting in the client's best
interest), and disclosure (revealing material facts). Other duties include confidentiality,
accounting, and reasonable care. These duties form the foundation of the agency
relationship.
12. What type of agency relationship allows a broker to assign different licensees within the
same firm to represent opposing parties in a transaction?
A. Single agency
B. Dual agency
C. Designated agency
D. Subagency
Correct Answer: C
Rationale: Designated agency allows a broker to appoint different licensees within the
same firm to represent the buyer and seller separately. This arrangement requires
written consent from both parties and full disclosure. It differs from dual agency, where
one licensee represents both sides.
13. Under BRRETA, which of the following is NOT a fiduciary duty owed to a client?
A. Loyalty
B. Obedience
C. Confidentiality
D. Commission setting
Correct Answer: D
and Study Guide: The Complete DocMerit Preparation
Resource with 800 Detailed Questions, Multiple Answers, and
Comprehensive Rationales for First-Attempt Success
Georgia REC Salesperson Examination Q&A Practice Review and Study Guide is a detailed
DocMerit preparation resource designed to help candidates master the national and Georgia-
specific portions of the licensing exam. The following 800 questions cover all major content
areas, including GREC license law, BRRETA agency relationships, contracts, disclosures, trust
accounts, property ownership, financing, valuation, and real estate math. Each question is
followed by the correct answer and a detailed rationale to reinforce understanding.
1. Which state agency oversees the Georgia Real Estate Commission (GREC)?
A. Georgia Department of Community Affairs
B. Georgia Secretary of State's Office
C. Georgia Department of Revenue
D. Georgia Governor's Office of Consumer Protection
Correct Answer: B
Rationale: The GREC operates under the authority of the Georgia Secretary of State's
Office. The Secretary of State appoints the members of the commission, which regulates
all real estate licensees in the state. The other agencies listed handle different state
functions and do not oversee real estate licensing.
2. How many hours of pre-license education must a candidate complete before sitting for
the Georgia real estate salesperson exam?
A. 40 hours
B. 60 hours
C. 75 hours
D. 90 hours
Correct Answer: C
Rationale: Georgia requires 75 hours of pre-license education from a GREC-approved
school before a candidate can take the salesperson licensing exam. This coursework
covers topics such as license law, real estate principles, and Georgia-specific regulations.
The 40-hour and 60-hour options are insufficient, and 90 hours exceeds the
requirement.
,3. Within what timeframe must a newly licensed Georgia salesperson complete the
required post-license education?
A. Within 6 months of obtaining the license
B. Within the first year of obtaining the license
C. Within 2 years of obtaining the license
D. Before the first license renewal at 4 years
Correct Answer: B
Rationale: Georgia requires newly licensed salespersons to complete a 25-hour post-
license course within their first year of licensure. Failure to complete this requirement by
the deadline results in the license being placed on inactive status. The course covers
practical topics that supplement the pre-license education.
4. The Georgia real estate salesperson exam consists of how many questions, and what is
the passing score?
A. 120 questions (80 national + 40 state); 70% passing score
B. 152 questions (100 national + 52 state); 72% passing score
C. 150 questions (100 national + 50 state); 75% passing score
D. 140 questions (90 national + 50 state); 70% passing score
Correct Answer: B
Rationale: The Georgia salesperson licensing exam has 152 questions split into two
portions: 100 national questions and 52 state-specific questions. A candidate must score
at least 72% on each portion to pass. Both portions must be passed; failing one means
the entire exam must be retaken.
5. What is the minimum age requirement to obtain a real estate salesperson license in
Georgia?
A. 17 years old
B. 18 years old
C. 19 years old
D. 21 years old
Correct Answer: B
Rationale: Applicants must be at least 18 years old to obtain a real estate salesperson
license in Georgia. However, candidates may sit for the exam at age 17, provided they
meet all other requirements. This distinction between testing age and licensing age is a
common exam point.
6. Which of the following is true regarding the Georgia Real Estate Commission's licensing
power?
A. It can set standard commission rates for all transactions
B. It can arbitrate disputes between brokers
C. It can impose disciplinary sanctions on licensees who violate license law
D. It can approve all listing contracts
, Correct Answer: C
Rationale: The GREC is a regulatory body charged with protecting the public. It does not
set commissions (which would violate antitrust law) but does regulate and discipline
licensees who violate license law. The commission has the authority to suspend or
revoke licenses, issue fines, and conduct hearings.
7. If a Georgia real estate licensee fails to complete the required 36 hours of Continuing
Education (CE) by the renewal deadline, what happens to their license?
A. It is permanently revoked
B. It is placed in a "lapsed" status
C. It is automatically suspended for 6 months
D. The licensee is fined $5,000
Correct Answer: B
Rationale: Failure to meet CE requirements by the expiration date causes the license to
lapse. The licensee cannot practice until the CE is completed and the license is
reinstated. A lapsed license is not the same as a revoked license; the licensee can
typically reinstate by completing the missing education and paying a fee.
8. According to the Brokerage Relationships in Real Estate Transactions Act (BRRETA), when
must a broker disclose the types of brokerage relationships available to a prospective
client?
A. At the time of closing
B. Upon signing the purchase agreement
C. At the first substantive contact
D. Only if requested by the client
Correct Answer: C
Rationale: BRRETA requires that a broker disclose the types of relationships they offer
(and any conflicts of interest) at the first substantive contact with a prospective client.
This early disclosure ensures consumers understand their representation options before
sharing sensitive information.
9. A salesperson received an earnest money check. Per GREC regulations, unless the
contract states otherwise, where must these funds be deposited?
A. In the salesperson's personal savings account
B. In the brokerage's operating account
C. In the brokerage's trust account
D. In the seller's personal account
Correct Answer: C
Rationale: GREC regulations require that earnest money be deposited into the
brokerage's trust account unless the contract specifies otherwise. Commingling trust
funds with operating funds is prohibited. The salesperson must turn the check over to
the qualifying broker for proper handling.
, 10. If a brokerage firm's only qualifying broker leaves the firm, how long does the firm have
to replace them?
A. 24 hours
B. 3 days
C. 7 days
D. 30 days
Correct Answer: D
Rationale: When a brokerage firm loses its qualifying broker, the firm has 30 days to
replace them. During this period, the firm may continue operating but must appoint a
temporary qualifying broker or expedite the hiring of a permanent one. Failure to
comply can result in the firm losing its license.
11. Which of the following is a fiduciary duty owed by a licensee to a client under BRRETA?
A. Obedience
B. Loyalty
C. Disclosure
D. All of the above
Correct Answer: D
Rationale: Under BRRETA, licensees owe several fiduciary duties to their clients,
including obedience (following lawful instructions), loyalty (acting in the client's best
interest), and disclosure (revealing material facts). Other duties include confidentiality,
accounting, and reasonable care. These duties form the foundation of the agency
relationship.
12. What type of agency relationship allows a broker to assign different licensees within the
same firm to represent opposing parties in a transaction?
A. Single agency
B. Dual agency
C. Designated agency
D. Subagency
Correct Answer: C
Rationale: Designated agency allows a broker to appoint different licensees within the
same firm to represent the buyer and seller separately. This arrangement requires
written consent from both parties and full disclosure. It differs from dual agency, where
one licensee represents both sides.
13. Under BRRETA, which of the following is NOT a fiduciary duty owed to a client?
A. Loyalty
B. Obedience
C. Confidentiality
D. Commission setting
Correct Answer: D
