VERSIONS OF THE EXAM FROM 2025 TO 2026
| ACCURATE AND VERIFIED ANSWERS | NEXT
GEN FORMAT | GUARANTEED PASS
1. What will a broker first be required to prove in court before recovering a commission?
A. He/she had a contract of employment
B. He/she was properly licensed at the time of the cause of the action
C. He/she showed the property to the purchaser
D. He/she was a resident of Georgia at the time of the cause of the action
✅ Correct Answer: B. He/she was properly licensed at the time of the cause of the action
Rationale: To recover a commission, a broker must first establish they were legally authorized to
act as a broker at the time of the transaction.
2. Which of the following does not represent grounds for disciplinary action against the
licensee?
A. A salesperson fails to deliver a signed offer to the seller within a reasonable time
B. A broker advertises real estate for sale without the consent of the owner
C. A broker deposits earnest money into a personal account
D. Accepting a referral fee from an out-of-state broker
✅ Correct Answer: D. Accepting a referral fee from an out-of-state broker
Rationale: Accepting referral fees is not a violation as long as it is properly disclosed and legal
under state law.
3. If a licensee does not renew their license within the time period required by law:
A. They must reapply as an original applicant
B. They may renew within one year with a reinstatement fee
C. They may renew within two years by paying a reinstatement fee
D. They may renew within two years by paying all renewal fees, late charges, and a
reinstatement fee
✅ Correct Answer: D. They may renew within two years by paying all renewal fees, late
charges, and a reinstatement fee
Rationale: Georgia law allows a two-year grace period with additional fees to reinstate a
license.
4. How long must a broker retain a copy of the closing statement after a transaction?
,A. One year
B. Three years
C. Seven years
D. Forever
✅ Correct Answer: B. Three years
Rationale: Georgia real estate regulations require transaction documents to be retained for
three years.
5. Rules passed by the Real Estate Commission:
A. Are contained in the License Law
B. Regulate the Commission staff
C. Are based upon some provision in the License Law
D. Are effective only until the next legislative session
✅ Correct Answer: C. Are based upon some provision in the License Law
Rationale: Commission rules must be grounded in the authority granted by statute.
6. A salesperson may advertise personal property for sale without using the broker’s name if:
A. A minimum brokerage fee is to be paid
B. The broker is told
C. The ad states “owner is a licensed real estate agent”
D. The broker verbally approves of the ad
✅ Correct Answer: C. The ad states “owner is a licensed real estate agent”
Rationale: Disclosure of licensure is required to ensure transparency when selling one's own
property.
7. A salesperson who passes the broker’s examination must:
A. Activate their license within 12 months of the exam date
B. Apply within 3 months or pay extra after 12 months
C. Has no time limit as long as their license remains active
D. Has 12 months to apply, or 24 months if becoming associate broker
✅ Correct Answer: A. Activate their license within 12 months of the exam date
Rationale: The license must be activated within one year to avoid retesting.
8. If a salesperson fails to disclose a known electrical issue, who is responsible?
A. Only the salesperson
B. Only the broker
C. The salesperson and the broker
D. No one
,✅ Correct Answer: C. The salesperson and the broker
Rationale: Brokers are responsible for supervising licensees, and both parties may share liability.
9. Each licensee must notify the Commission in writing in all EXCEPT:
A. Charged with forgery
B. Charged and pleaded “nolo contendere” to obtaining money under false pretenses
C. Convicted of conspiracy to defraud
D. Convicted of embezzlement
✅ Correct Answer: A. Charged with forgery
Rationale: Only convictions or pleas trigger mandatory reporting, not just charges.
10. Salesperson Joe decides to sell his home. He must:
A. Get written permission from his broker
B. Act as a principal, not a licensee
C. Disclose licensure in ads
D. Advertise under broker’s name unless no fee is paid and broker approves in writing
✅ Correct Answer: D. Advertise under broker’s name unless no fee is paid and broker
approves in writing
Rationale: Advertising rules apply unless no commission is involved and written broker approval
is given.
11. The Commission requires the salesperson-broker agreement to:
A. State accounting procedures for signs, keys, etc.
B. Be enforced by the Commission
C. Specify compensation methods
D. Both A and C
✅ Correct Answer: D. Both A and C
Rationale: Contracts must define exit procedures and how commission is calculated.
12. The Commission considers all EXCEPT what before sanctioning a broker for licensee
violations?
A. If the broker ratified the act
B. If the broker knew or participated
C. Broker’s attorney qualifications
D. Broker’s supervision systems
✅ Correct Answer: C. Broker’s attorney qualifications
Rationale: Attorney skill is irrelevant to compliance oversight responsibilities.
13. Brokers who maintain rental trust accounts:
, A. May pay bills for an owner from it
B. May need to deposit their own money
C. Must maintain balance equal to security deposits if used for such
D. All of the above
✅ Correct Answer: D. All of the above
Rationale: These are all common and acceptable trust account practices.
14. Which of the following is NOT personal property?
A. Trade fixtures
B. Privacy fence
C. Patio furniture
D. Portable dishwasher
✅ Correct Answer: B. Privacy fence
Rationale: Fixtures attached to the land, like fences, are considered real property.
15. If a seller wants to remove front yard shrubs, what is required?
A. Must leave them
B. Can remove unless valuable
C. Can remove if planted by seller
D. Removal must be stated in contract
✅ Correct Answer: D. Removal must be stated in contract
Rationale: Landscaping is typically considered a fixture; removal must be agreed in writing.
16. A permanent addition to a building is:
A. Real property
B. Personal property
C. A chattel real
D. An encumbrance
✅ Correct Answer: A. Real property
Rationale: Permanent structures become part of the real estate.
17. Water rights along a large lake or ocean are:
A. Tidal rights
B. Shore rights
C. Correlative rights
D. Littoral rights
✅ Correct Answer: D. Littoral rights
Rationale: Littoral rights govern properties abutting oceans or lakes.