GEORGIA REAL ESTATE SALESPERSON EXAM – QUESTIONS AND ANSWERS |
VERIFIED AND WELL DETAILED ANSWERS | PLUS RATIONALES |
GUARANTEED PASS | LATEST EXAM UPDATE
Core Domains
• Agency Relationships and BRRETA
• Contracts and Georgia Purchase Agreements
• Trust Accounts and Escrow Management
• Georgia License Law and GREC Regulations
• Property Ownership, Valuation, and Finance
• Fair Housing and Federal Disclosures
• Advertising and Broker Supervision
• Real Estate Calculations and Closing Practices
Introduction
The Georgia Real Estate Salesperson Exam is designed to assess a candidate’s
mastery of the knowledge and skills required to engage in real estate brokerage
in the State of Georgia competently and lawfully. The examination evaluates
candidates on foundational real estate principles, Georgia-specific statutes,
regulatory requirements, ethical obligations, and practical decision-making. A
substantial portion of the exam utilizes scenario-based questions that require the
application of concepts to realistic professional situations rather than simple
recall. The assessment emphasizes real-world problem-solving, compliance with
GREC rules, fiduciary duties, and the exercise of sound professional judgment in
transactions involving buyers, sellers, and the public.
,SECTION ONE: QUESTIONS 1–50
1. Under Georgia’s Brokerage Relationships in Real Estate Transactions Act
(BRRETA), what must a licensee do when first working with a prospective
buyer who has not yet signed a brokerage engagement?
A. Immediately establish a client relationship and begin advocating for the
buyer’s interests
B. Provide a written disclosure of the types of agency relationships available
and the licensee’s role before entering into a brokerage engagement
C. Require the buyer to sign a buyer-brokerage agreement before providing
any information about properties
D. Assume the buyer is a customer and owe no duties beyond honesty and fair
dealing
🟢 Correct Answer: B. Provide a written disclosure of the types of agency
relationships available and the licensee’s role before entering into a brokerage
engagement
🔴 Rationale: BRRETA requires licensees to provide a timely written disclosure
to prospective clients explaining the types of brokerage relationships available
and the licensee’s role. This disclosure must occur before entering into a
brokerage engagement.
2. A Georgia broker receives an earnest money check on a Tuesday
afternoon. The broker is out of the office until Thursday. What is the broker’s
obligation regarding the deposit?
A. Hold the check in the office safe until the broker returns on Thursday
B. Deposit the check into the trust account on Tuesday when received
C. Deposit the check within one business day of receipt
D. Deposit the check within five banking days of the binding agreement date
,🟢 Correct Answer: B. Deposit the check into the trust account on Tuesday
when received
🔴 Rationale: Georgia license law requires trust funds to be deposited as soon
after receipt as is practically possible. The broker must deposit funds into the
designated trust account promptly, not hold them for personal convenience.
3. A salesperson affiliated with a Georgia brokerage wants to advertise a
property on social media. Which of the following is required under GREC
advertising rules?
A. The salesperson may advertise independently without broker approval
B. The advertisement must include the salesperson’s personal cell phone
number
C. The advertisement must be under the direct supervision of the broker and in
the name of the firm
D. The salesperson must obtain written permission from the seller only if the
property is listed
🟢 Correct Answer: C. The advertisement must be under the direct supervision
of the broker and in the name of the firm
🔴 Rationale: Rule 520-1-.09 requires that all advertising by salespersons be
under the direct supervision of their broker and in the name of the firm.
Independent advertising without broker oversight is prohibited.
4. A buyer signs a GAR Purchase and Sale Agreement. The due diligence
period is 10 days. On day 7, the buyer discovers significant foundation
problems and wishes to terminate. What is the buyer’s right under the GAR
contract?
, A. The buyer may terminate for any reason during the due diligence period and
receive a refund of the due diligence fee
B. The buyer may terminate only if the seller agrees to release earnest money
C. The buyer may terminate for any reason during the due diligence period; the
due diligence fee is generally non-refundable
D. The buyer may terminate only if the foundation problem is a material defect
that the seller failed to disclose
🟢 Correct Answer: C. The buyer may terminate for any reason during the due
diligence period; the due diligence fee is generally non-refundable
🔴 Rationale: The Georgia due diligence period grants the buyer a unilateral
right to terminate for any reason. The due diligence fee compensates the seller
and is generally non-refundable even if the buyer terminates.
5. A Georgia broker maintains a trust account at a local bank. Which of the
following accounts would satisfy GREC requirements for holding trust funds?
A. A savings account at a federally insured institution
B. A federally insured checking account designated as a trust account
C. A money market account at a credit union
D. A personal checking account used exclusively for real estate transactions
🟢 Correct Answer: B. A federally insured checking account designated as a
trust account
🔴 Rationale: Georgia rules require trust funds to be held in a federally insured
checking account designated as a trust or escrow account. Savings accounts,
money market accounts, and personal accounts are not compliant.
6. Under BRRETA, a licensee working with a customer rather than a client
owes which of the following duties?
VERIFIED AND WELL DETAILED ANSWERS | PLUS RATIONALES |
GUARANTEED PASS | LATEST EXAM UPDATE
Core Domains
• Agency Relationships and BRRETA
• Contracts and Georgia Purchase Agreements
• Trust Accounts and Escrow Management
• Georgia License Law and GREC Regulations
• Property Ownership, Valuation, and Finance
• Fair Housing and Federal Disclosures
• Advertising and Broker Supervision
• Real Estate Calculations and Closing Practices
Introduction
The Georgia Real Estate Salesperson Exam is designed to assess a candidate’s
mastery of the knowledge and skills required to engage in real estate brokerage
in the State of Georgia competently and lawfully. The examination evaluates
candidates on foundational real estate principles, Georgia-specific statutes,
regulatory requirements, ethical obligations, and practical decision-making. A
substantial portion of the exam utilizes scenario-based questions that require the
application of concepts to realistic professional situations rather than simple
recall. The assessment emphasizes real-world problem-solving, compliance with
GREC rules, fiduciary duties, and the exercise of sound professional judgment in
transactions involving buyers, sellers, and the public.
,SECTION ONE: QUESTIONS 1–50
1. Under Georgia’s Brokerage Relationships in Real Estate Transactions Act
(BRRETA), what must a licensee do when first working with a prospective
buyer who has not yet signed a brokerage engagement?
A. Immediately establish a client relationship and begin advocating for the
buyer’s interests
B. Provide a written disclosure of the types of agency relationships available
and the licensee’s role before entering into a brokerage engagement
C. Require the buyer to sign a buyer-brokerage agreement before providing
any information about properties
D. Assume the buyer is a customer and owe no duties beyond honesty and fair
dealing
🟢 Correct Answer: B. Provide a written disclosure of the types of agency
relationships available and the licensee’s role before entering into a brokerage
engagement
🔴 Rationale: BRRETA requires licensees to provide a timely written disclosure
to prospective clients explaining the types of brokerage relationships available
and the licensee’s role. This disclosure must occur before entering into a
brokerage engagement.
2. A Georgia broker receives an earnest money check on a Tuesday
afternoon. The broker is out of the office until Thursday. What is the broker’s
obligation regarding the deposit?
A. Hold the check in the office safe until the broker returns on Thursday
B. Deposit the check into the trust account on Tuesday when received
C. Deposit the check within one business day of receipt
D. Deposit the check within five banking days of the binding agreement date
,🟢 Correct Answer: B. Deposit the check into the trust account on Tuesday
when received
🔴 Rationale: Georgia license law requires trust funds to be deposited as soon
after receipt as is practically possible. The broker must deposit funds into the
designated trust account promptly, not hold them for personal convenience.
3. A salesperson affiliated with a Georgia brokerage wants to advertise a
property on social media. Which of the following is required under GREC
advertising rules?
A. The salesperson may advertise independently without broker approval
B. The advertisement must include the salesperson’s personal cell phone
number
C. The advertisement must be under the direct supervision of the broker and in
the name of the firm
D. The salesperson must obtain written permission from the seller only if the
property is listed
🟢 Correct Answer: C. The advertisement must be under the direct supervision
of the broker and in the name of the firm
🔴 Rationale: Rule 520-1-.09 requires that all advertising by salespersons be
under the direct supervision of their broker and in the name of the firm.
Independent advertising without broker oversight is prohibited.
4. A buyer signs a GAR Purchase and Sale Agreement. The due diligence
period is 10 days. On day 7, the buyer discovers significant foundation
problems and wishes to terminate. What is the buyer’s right under the GAR
contract?
, A. The buyer may terminate for any reason during the due diligence period and
receive a refund of the due diligence fee
B. The buyer may terminate only if the seller agrees to release earnest money
C. The buyer may terminate for any reason during the due diligence period; the
due diligence fee is generally non-refundable
D. The buyer may terminate only if the foundation problem is a material defect
that the seller failed to disclose
🟢 Correct Answer: C. The buyer may terminate for any reason during the due
diligence period; the due diligence fee is generally non-refundable
🔴 Rationale: The Georgia due diligence period grants the buyer a unilateral
right to terminate for any reason. The due diligence fee compensates the seller
and is generally non-refundable even if the buyer terminates.
5. A Georgia broker maintains a trust account at a local bank. Which of the
following accounts would satisfy GREC requirements for holding trust funds?
A. A savings account at a federally insured institution
B. A federally insured checking account designated as a trust account
C. A money market account at a credit union
D. A personal checking account used exclusively for real estate transactions
🟢 Correct Answer: B. A federally insured checking account designated as a
trust account
🔴 Rationale: Georgia rules require trust funds to be held in a federally insured
checking account designated as a trust or escrow account. Savings accounts,
money market accounts, and personal accounts are not compliant.
6. Under BRRETA, a licensee working with a customer rather than a client
owes which of the following duties?
