STATE PORTION III - TREBS EXAM
PREP 2025 QUESTIONS AND ANSWERS
T3. A license holder has taken a listing on a property and is using a lottery to sell the property.
This is:
A. Grounds for suspension or revocation of license
B. Lawful if they obey the Texas State Lottery Law
C. Allowed because the seller request this type of sale
D. Only allowed if the seller agrees to the lottery paragraph in the listing agreement - ANS A.
Grounds for suspension or revocation of license. TRELA does not allow a license holder to offer
a property for sale by lottery. A lottery/raffle sale of a home is illegal nationwide, except under
narrowly defined circumstances, such as a non-profit.
T3. All of the following would be cause to suspend or revoke a license being held by a broker or
salesperson under the Real Estate License Act EXCEPT:
A. Knowingly making a substantial misrepresentation
B. Acting in the dual capacity of broker and undisclosed principal in any transaction
C. Failing to specify in a listing contract a definite termination date which is not subject to prior
notice
D. Revealing to an owner an offer which your knowledge and experience convince you to be
well below "fair market value" - ANS D. Revealing to an owner an offer which your
knowledge and experience convince you to be well below "fair market value." Answers "A," "B,"
and "C" are all listed in the license act as reasons the real estate license could be revoked.
Answer "D" is the correct answer. A licensee is required to give the client advice and opinions,
and your knowledge and experience would be an example of advice and opinions.
1|P a g e C o p y r i g h t © 2 0 2 5 T H E B R I G H T A L L R I G H T S R E S E R V E D
PREP 2025 QUESTIONS AND ANSWERS
T3. A license holder has taken a listing on a property and is using a lottery to sell the property.
This is:
A. Grounds for suspension or revocation of license
B. Lawful if they obey the Texas State Lottery Law
C. Allowed because the seller request this type of sale
D. Only allowed if the seller agrees to the lottery paragraph in the listing agreement - ANS A.
Grounds for suspension or revocation of license. TRELA does not allow a license holder to offer
a property for sale by lottery. A lottery/raffle sale of a home is illegal nationwide, except under
narrowly defined circumstances, such as a non-profit.
T3. All of the following would be cause to suspend or revoke a license being held by a broker or
salesperson under the Real Estate License Act EXCEPT:
A. Knowingly making a substantial misrepresentation
B. Acting in the dual capacity of broker and undisclosed principal in any transaction
C. Failing to specify in a listing contract a definite termination date which is not subject to prior
notice
D. Revealing to an owner an offer which your knowledge and experience convince you to be
well below "fair market value" - ANS D. Revealing to an owner an offer which your
knowledge and experience convince you to be well below "fair market value." Answers "A," "B,"
and "C" are all listed in the license act as reasons the real estate license could be revoked.
Answer "D" is the correct answer. A licensee is required to give the client advice and opinions,
and your knowledge and experience would be an example of advice and opinions.
1|P a g e C o p y r i g h t © 2 0 2 5 T H E B R I G H T A L L R I G H T S R E S E R V E D
