Texas Real Estate State Exam Questions with 100% Correct Answers

What state agency is responsible for the licensing of real estate appraisers? Correct Answer Texas Appraiser Licensing and Certification Board A broker or salesperson who fails to give the statutory title notice to the buyer at or before closing A) will have the license suspended without reinstatement for two years. B) must forfeit the entire commission on the subject transaction but in so doing is absolved of any other liability. C) may have the license suspended or revoked and cannot collect a commission on the subject sale. D) is required to show cause as to why such disclosure was not made. Correct Answer may have the license suspended or revoked and cannot collect a commission on the subject sale. Failure to advise a buyer in writing before the closing of a real estate transaction that the buyer should obtain title assurance is grounds for suspension or revocation of a license; specifically, the agent must advise the buyer to have the abstract covering the real estate that is the subject of the contract examined by an attorney chosen by the buyer or be provided with or obtain a title insurance policy. After the first renewal, what mandatory classes are required to renew a salesperson's real estate license? A) Completion of 15 hours of continuing education acceptable to the Commission B) No mandatory requirements C) Completion of 60 additional hours in core real estate courses D) 18 hours of home study Correct Answer compleion of 15 hours of continuing education acceptable to the Commission. A licensee applying for first renewal of a salesperson license must provide satisfactory evidence of completion of a total of 18 semester hours (270 classroom hours), with 180 hours being the application education requirement courses. Please note that this means only 6 additional semester (90 classroom) hours in core real estate courses are required to be filed during the term of the license as a licensed salesperson. These hours are known as SAE, or Salesperson Apprentice Education. These 90 additional classroom hours in core real estate courses for the SAE must be submitted and in the TREC system by the end of the second year of licensure. After the first renewal, a license holder is required to complete 15 MCE (Mandatory Continuing Education) hours of acceptable mandatory continuing education every two years. A real estate licensee who receives an offer must A) present offers from highest sales price to lowest price. B) present any offers in the order they were received. C) hold offers to make sure all buyers have a fair chance at the property. D) present the offer as quickly as possible. Correct Answer present the offer as quickly as possible. All offers should be in writing and presented to the property owner as quickly as is reasonably practical. The TREC rules call for immediate presentation. No real estate broker or salesperson has the right to withhold an offer from a property owner. Which Canon of Professional Ethics requires that the broker or salesperson employ prudence and caution in the discharge of her duties to avoid misrepresentation? A) Accounting B) Competency C) Fidelity D) Integrity Correct Answer integrity. The Canons of Professional Ethics and Conduct define integrity to include "...employment of prudence and caution so as to avoid misrepresentation...by acts of commission or omission." For a business entity to be licensed as a broker the following is required: A) the entity must provide proof of E&O insurance of $1 million for each occurrence if the designated agent owns less than 10% of the entity. B) a managing officer of the entity must be designated as the agent for purposes of TRELA. C) all of these are required. D) the designated agent must have a broker's license in active and good standing with TREC. Correct Answer all of these are required. For a business entity to hold a broker license, a managing officer of the entity must be designated as the agent for purposes of TRELA and must have an active broker's license in good standing with TREC. The business entity must have E&O insurance with a minimum of $1 million for each occurrence if the designated agent is less than a 10% owner of the entity. After real estate has been sold by the city or county to satisfy a delinquent tax lien, the defaulted owner of a homestead usually has a right to A) have the sale canceled by paying the back taxes and penalties. B) file a judgment lien against the purchaser at the tax foreclosure sale. C) redeem the property within a two-year time limit.