TREC TEXAS REAL ESTATE EXAM |ACTUAL
QUESTIONS AND VERIFIED ANSWERS|BRAND NEW
2026-2027 UPDATE|GRADED A+
Question 1
1. TREC has the power to order witnesses to appear and/or produce records of documents
for its investigations and hearings. This is called subpoena power. If a license holder fails to
respond to a subpoena, what can TREC do?
(a) TREC can assess an administrative penalty against the license holder for up to $4,000.
(b) TREC can immediately revoke the license of the license holder without a hearing.
(c) TREC can file suit with the Attorney General to enforce the subpoena.
(d) TREC can file charges of felony against the license holder, based on fraud.
CORRECT ANSWER
(c) TREC can file suit with the Attorney General to enforce the subpoena.
Question 2
2. A license holder in violation of the TRELA has received a summons from TREC that a
hearing will be held regarding the possible revocation or suspension of his license. The
license holder fails to respond to the summons. What will TREC do?
(a) Schedule a hearing in the county court where the license holder practices real estate
(b) Schedule a hearing at the TREC office in Austin
1
,(c) Schedule a hearing in the district court serving the license holder
(d) Schedule a hearing at the main office or business address of the license holder
CORRECT ANSWER
(b) Schedule a hearing at the TREC office in Austin
Question 3
3. With the knowledge and consent of her broker/employer, an unlicensed assistant is
showing property to prospective buyers. What is true about this situation?
(a) The broker and unlicensed assistant are both guilty of a third degree felony
(b) Both the broker and unlicensed assistant can be fined an administrative penalty of
$5,000 per day
(c) Only the unlicensed assistant can be fined by TREC for this activity
(d) Only the broker can be fined by TREC for this activity
CORRECT ANSWER
(b) Both the broker and unlicensed assistant can be fined an administrative penalty of
$5,000 per day
Question 4
4. TREC has received an application for a Texas Real Estate Sales License from Mary. Mary
has completed all her educational requirements, and passed the state exam. At this point
TREC will begin the background check. Which of the following statements is FALSE?
2
,(a) TREC has no time limit for determining integrity
(b) TREC has 30 days to complete the background check
(c) TREC has 30 days to notify Mary of a decision to disapprove her application
(d) Mary has 10 days to appeal a denial of her application
CORRECT ANSWER
(b) TREC has 30 days to complete the background check
TREC has no limit on days to review your application or complete your background check.
They have 30 days to notify you of their decision and you have 10 days to appeal that
decision.
Question 5
5. Marcos was a Texas licensed Real Estate Sales agent for some time. He then chose to
become inactive and TREC has been holding his license in inactive status. He now wishes
to activate the license. What will he have to do?
(a) Apply through a broker, pay $50 and take a 30-hour continuing education course
(b) Apply through a broker, pay $200 and take a 30-hour continuing education course
(c) Apply through a broker, pay $50 and take a 18-hour continuing education course
(d) Apply through a broker, pay $200 and take a 15-hour continuing education course
CORRECT ANSWER
3
, (c) Apply through a broker, pay $50 and take a 18-hour continuing education course
Question 6
6. A license holder has defaulted on his Texas State Student loans. As a result of this TREC
will:
(a) require the license holder to pay a $200 penalty to renew his license
(b) revoke the license of the license holder immediately
(c) refuse to renew the license of this individual unless and until the loan payments are
brought up to date
(d) require the license holder to move his license to inactive status
CORRECT ANSWER
(c) refuse to renew the license of this individual unless and until the loan payments are
brought up to date
Question 7
7. When a license holder markets his own property, he should:
(a) Use the IABS to disclose his interest in the property
(b) Use the TREC promulgated form to disclose his interest in the property
(c) Not mention his interest unless the buyer decides to buy the property
4
QUESTIONS AND VERIFIED ANSWERS|BRAND NEW
2026-2027 UPDATE|GRADED A+
Question 1
1. TREC has the power to order witnesses to appear and/or produce records of documents
for its investigations and hearings. This is called subpoena power. If a license holder fails to
respond to a subpoena, what can TREC do?
(a) TREC can assess an administrative penalty against the license holder for up to $4,000.
(b) TREC can immediately revoke the license of the license holder without a hearing.
(c) TREC can file suit with the Attorney General to enforce the subpoena.
(d) TREC can file charges of felony against the license holder, based on fraud.
CORRECT ANSWER
(c) TREC can file suit with the Attorney General to enforce the subpoena.
Question 2
2. A license holder in violation of the TRELA has received a summons from TREC that a
hearing will be held regarding the possible revocation or suspension of his license. The
license holder fails to respond to the summons. What will TREC do?
(a) Schedule a hearing in the county court where the license holder practices real estate
(b) Schedule a hearing at the TREC office in Austin
1
,(c) Schedule a hearing in the district court serving the license holder
(d) Schedule a hearing at the main office or business address of the license holder
CORRECT ANSWER
(b) Schedule a hearing at the TREC office in Austin
Question 3
3. With the knowledge and consent of her broker/employer, an unlicensed assistant is
showing property to prospective buyers. What is true about this situation?
(a) The broker and unlicensed assistant are both guilty of a third degree felony
(b) Both the broker and unlicensed assistant can be fined an administrative penalty of
$5,000 per day
(c) Only the unlicensed assistant can be fined by TREC for this activity
(d) Only the broker can be fined by TREC for this activity
CORRECT ANSWER
(b) Both the broker and unlicensed assistant can be fined an administrative penalty of
$5,000 per day
Question 4
4. TREC has received an application for a Texas Real Estate Sales License from Mary. Mary
has completed all her educational requirements, and passed the state exam. At this point
TREC will begin the background check. Which of the following statements is FALSE?
2
,(a) TREC has no time limit for determining integrity
(b) TREC has 30 days to complete the background check
(c) TREC has 30 days to notify Mary of a decision to disapprove her application
(d) Mary has 10 days to appeal a denial of her application
CORRECT ANSWER
(b) TREC has 30 days to complete the background check
TREC has no limit on days to review your application or complete your background check.
They have 30 days to notify you of their decision and you have 10 days to appeal that
decision.
Question 5
5. Marcos was a Texas licensed Real Estate Sales agent for some time. He then chose to
become inactive and TREC has been holding his license in inactive status. He now wishes
to activate the license. What will he have to do?
(a) Apply through a broker, pay $50 and take a 30-hour continuing education course
(b) Apply through a broker, pay $200 and take a 30-hour continuing education course
(c) Apply through a broker, pay $50 and take a 18-hour continuing education course
(d) Apply through a broker, pay $200 and take a 15-hour continuing education course
CORRECT ANSWER
3
, (c) Apply through a broker, pay $50 and take a 18-hour continuing education course
Question 6
6. A license holder has defaulted on his Texas State Student loans. As a result of this TREC
will:
(a) require the license holder to pay a $200 penalty to renew his license
(b) revoke the license of the license holder immediately
(c) refuse to renew the license of this individual unless and until the loan payments are
brought up to date
(d) require the license holder to move his license to inactive status
CORRECT ANSWER
(c) refuse to renew the license of this individual unless and until the loan payments are
brought up to date
Question 7
7. When a license holder markets his own property, he should:
(a) Use the IABS to disclose his interest in the property
(b) Use the TREC promulgated form to disclose his interest in the property
(c) Not mention his interest unless the buyer decides to buy the property
4
