TREC REAL ESTATE EXAM PREP |ACTUAL
QUESTIONS AND VERIFIED ANSWERS|BRAND NEW
2026-2027 UPDATE|GRADED A+
Question 1
Which is NOT a reason why understanding agency is important?
A. There has been an increase in real estate litigations in recent years.
B. There are too many "ready, willing, and able" buyers
C. There are multiple brokers involved in a transaction.
D. Public perception of real estate agents is often negative.
CORRECT ANSWER
B. There are too many "ready, willing, and able" buyers
Question 2
What is the most common classification of real estate agents?
A. A universal agent, a general agent, and a special agent
B. A substantive agent, a principal agent, and a representative agent
C. A universal agent, an authorized agent, and a special agent
D. A coupled agent, a principal agent, and a general agent.
CORRECT ANSWER
A. A universal agent, a general agent, and a special agent
Question 3
Which of the following is NOT a task a broker would have in a special agency agreement
with a seller?
1
,A. Advertise the property.
B. Negotiate offers presented.
C. Facilitate the closing.
D. Provide lease management services.
CORRECT ANSWER
D. Provide lease management services.
Question 4
Subagency was developed to
A. provide agents with more customers
B. provide brokers with additional clients.
C. allow agents to share listing fees.
D. allow brokers to share their listings.
CORRECT ANSWER
D. allow brokers to share their listings.
Question 5
While most lawsuits are either based on fraud, misrepresentation, or a party trying to get
out of a contract, the focus of a lawsuit often turns to
A. agency relationships.
B. the integrity of the parties.
C. the addendums to the written contract.
D. the seller's disclosure of the property.
CORRECT ANSWER
A. agency relationships.
2
,Question 6
Who has the power to create agency on behalf of the broker?
A. The office manager
B. A seller
C. A buyer
D. A sales agent from the broker's office
CORRECT ANSWER
D. A sales agent from the broker's office
Question 7
What does a written agency agreement do?
A. Guarantees there will never be a lawsuit between the parties
B. Details the conditions of a property
C. Creates a clear, concise, and understandable agreement regarding the responsibilities of
both parties
D. Makes a client feel less committed to the relationship
CORRECT ANSWER
C. Creates a clear, concise, and understandable agreement regarding the responsibilities
of both parties
Question 8
Verbal agency agreements:
A. are just as clear as written agreements.
B. often hold up in court with no problem.
C. are brokers and judges preferred type of agreements.
3
, D. create more opportunity for misunderstandings.
CORRECT ANSWER
D. create more opportunity for misunderstandings.
Question 9
What do brokers use to represent buyer and seller?
A. Intermediary Relationships
B. Dual Contracts
C. Multi-Agency
D. Single Agency
CORRECT ANSWER
A. Intermediary Relationships
Question 10
Fiduciary duties are designed to
A. ensure a win-win situation occurs between buyers and sellers.
B. ensure the broker's office receives a fair commission.
C. place the client's needs above the brokers and salespeople
D. place the customer's needs above the brokers and salespeople.
CORRECT ANSWER
C. place the client's needs above the brokers and salespeople
Question 11
Which situation is not an example of intermediate agency?
4
QUESTIONS AND VERIFIED ANSWERS|BRAND NEW
2026-2027 UPDATE|GRADED A+
Question 1
Which is NOT a reason why understanding agency is important?
A. There has been an increase in real estate litigations in recent years.
B. There are too many "ready, willing, and able" buyers
C. There are multiple brokers involved in a transaction.
D. Public perception of real estate agents is often negative.
CORRECT ANSWER
B. There are too many "ready, willing, and able" buyers
Question 2
What is the most common classification of real estate agents?
A. A universal agent, a general agent, and a special agent
B. A substantive agent, a principal agent, and a representative agent
C. A universal agent, an authorized agent, and a special agent
D. A coupled agent, a principal agent, and a general agent.
CORRECT ANSWER
A. A universal agent, a general agent, and a special agent
Question 3
Which of the following is NOT a task a broker would have in a special agency agreement
with a seller?
1
,A. Advertise the property.
B. Negotiate offers presented.
C. Facilitate the closing.
D. Provide lease management services.
CORRECT ANSWER
D. Provide lease management services.
Question 4
Subagency was developed to
A. provide agents with more customers
B. provide brokers with additional clients.
C. allow agents to share listing fees.
D. allow brokers to share their listings.
CORRECT ANSWER
D. allow brokers to share their listings.
Question 5
While most lawsuits are either based on fraud, misrepresentation, or a party trying to get
out of a contract, the focus of a lawsuit often turns to
A. agency relationships.
B. the integrity of the parties.
C. the addendums to the written contract.
D. the seller's disclosure of the property.
CORRECT ANSWER
A. agency relationships.
2
,Question 6
Who has the power to create agency on behalf of the broker?
A. The office manager
B. A seller
C. A buyer
D. A sales agent from the broker's office
CORRECT ANSWER
D. A sales agent from the broker's office
Question 7
What does a written agency agreement do?
A. Guarantees there will never be a lawsuit between the parties
B. Details the conditions of a property
C. Creates a clear, concise, and understandable agreement regarding the responsibilities of
both parties
D. Makes a client feel less committed to the relationship
CORRECT ANSWER
C. Creates a clear, concise, and understandable agreement regarding the responsibilities
of both parties
Question 8
Verbal agency agreements:
A. are just as clear as written agreements.
B. often hold up in court with no problem.
C. are brokers and judges preferred type of agreements.
3
, D. create more opportunity for misunderstandings.
CORRECT ANSWER
D. create more opportunity for misunderstandings.
Question 9
What do brokers use to represent buyer and seller?
A. Intermediary Relationships
B. Dual Contracts
C. Multi-Agency
D. Single Agency
CORRECT ANSWER
A. Intermediary Relationships
Question 10
Fiduciary duties are designed to
A. ensure a win-win situation occurs between buyers and sellers.
B. ensure the broker's office receives a fair commission.
C. place the client's needs above the brokers and salespeople
D. place the customer's needs above the brokers and salespeople.
CORRECT ANSWER
C. place the client's needs above the brokers and salespeople
Question 11
Which situation is not an example of intermediate agency?
4
