Texas Real Estate Broker Exam 2026 – 190 Practice Questions with
Answers & Detailed Rationales, TREC Licensing, Agency &
Intermediary, Contracts & Forms, Trust Accounts, Broker
Operations, Ethics, Texas Property Law & Case Studies
Section 1: TREC Authority, Licensing, and Regulatory Framework (Questions 1–30)
Question 1
The Texas Real Estate Commission consists of nine members. How many must be licensed
brokers or sales agents?
A. Three
B. Four
C. Five
D. Six
Correct Answer: D
Explanation: TREC comprises nine members: six licensed brokers or sales agents and three
public members, ensuring industry expertise and public representation.
Question 2
Under the doctrine of respondeat superior, which party bears ultimate responsibility for the
acts of sponsored sales agents?
A. The sales agent personally
B. The client who hired the agent
,C. The Texas Real Estate Commission
D. The designated broker
Correct Answer: D
Explanation: The designated broker is vicariously liable for all acts of sponsored agents under
respondeat superior, reflecting the broker's supervisory duty.
Question 3
How many experience points must a broker license applicant accumulate under the 2026
standards?
A. 360 points
B. 540 points
C. 720 points
D. 900 points
Correct Answer: C
Explanation: SB 1968 doubled the experience point requirement from 360 to 720 points
effective January 1, 2026, for broker license applicants.
Question 4
Which TREC publication provides license holders with updates on rule changes, contract
revisions, and important regulatory developments?
A. Texas Real Estate Journal
,B. The Advisor
C. Broker Monthly
D. TREC Today
Correct Answer: B
Explanation: The Advisor is TREC's official newsletter, serving as the primary communication
channel for regulatory updates and compliance information.
Question 5
A broker license applicant must complete how many total education hours?
A. 270 hours
B. 630 hours
C. 900 hours
D. 1,000 hours
Correct Answer: C
Explanation: Broker applicants must complete 900 total education hours, of which 630 are
related education; a bachelor's degree satisfies the related education requirement.
Question 6
What is the minimum age to obtain a Texas real estate broker's license?
A. 18
, B. 19
C. 21
D. 25
Correct Answer: A
Explanation: The minimum age for a Texas real estate broker license is 18 years, consistent
with the age of majority for contractual capacity.
Question 7
If a broker does NOT directly own at least 10% of a business entity, TREC requires proof that
the entity maintains what?
A. A $500,000 bond
B. Errors and omissions insurance of $1 million per occurrence
C. Workers' compensation insurance
D. A designated office in every county of operation
Correct Answer: B
Explanation: When the designated broker owns less than 10% of the entity, TREC requires $1
million errors and omissions insurance per occurrence to protect consumers.
Question 8
How often must a Texas broker license be renewed?
A. Every year
Answers & Detailed Rationales, TREC Licensing, Agency &
Intermediary, Contracts & Forms, Trust Accounts, Broker
Operations, Ethics, Texas Property Law & Case Studies
Section 1: TREC Authority, Licensing, and Regulatory Framework (Questions 1–30)
Question 1
The Texas Real Estate Commission consists of nine members. How many must be licensed
brokers or sales agents?
A. Three
B. Four
C. Five
D. Six
Correct Answer: D
Explanation: TREC comprises nine members: six licensed brokers or sales agents and three
public members, ensuring industry expertise and public representation.
Question 2
Under the doctrine of respondeat superior, which party bears ultimate responsibility for the
acts of sponsored sales agents?
A. The sales agent personally
B. The client who hired the agent
,C. The Texas Real Estate Commission
D. The designated broker
Correct Answer: D
Explanation: The designated broker is vicariously liable for all acts of sponsored agents under
respondeat superior, reflecting the broker's supervisory duty.
Question 3
How many experience points must a broker license applicant accumulate under the 2026
standards?
A. 360 points
B. 540 points
C. 720 points
D. 900 points
Correct Answer: C
Explanation: SB 1968 doubled the experience point requirement from 360 to 720 points
effective January 1, 2026, for broker license applicants.
Question 4
Which TREC publication provides license holders with updates on rule changes, contract
revisions, and important regulatory developments?
A. Texas Real Estate Journal
,B. The Advisor
C. Broker Monthly
D. TREC Today
Correct Answer: B
Explanation: The Advisor is TREC's official newsletter, serving as the primary communication
channel for regulatory updates and compliance information.
Question 5
A broker license applicant must complete how many total education hours?
A. 270 hours
B. 630 hours
C. 900 hours
D. 1,000 hours
Correct Answer: C
Explanation: Broker applicants must complete 900 total education hours, of which 630 are
related education; a bachelor's degree satisfies the related education requirement.
Question 6
What is the minimum age to obtain a Texas real estate broker's license?
A. 18
, B. 19
C. 21
D. 25
Correct Answer: A
Explanation: The minimum age for a Texas real estate broker license is 18 years, consistent
with the age of majority for contractual capacity.
Question 7
If a broker does NOT directly own at least 10% of a business entity, TREC requires proof that
the entity maintains what?
A. A $500,000 bond
B. Errors and omissions insurance of $1 million per occurrence
C. Workers' compensation insurance
D. A designated office in every county of operation
Correct Answer: B
Explanation: When the designated broker owns less than 10% of the entity, TREC requires $1
million errors and omissions insurance per occurrence to protect consumers.
Question 8
How often must a Texas broker license be renewed?
A. Every year
