Pg. 1
NEW YORK REAL ESTATE LICENSE EXAM
2025-2026. 30 QUESTIONS & CORRECT
VERIFIED ANSWERS. GRADED A+
Which of the following fees are NOT the buyer's responsibility?
Select one:
a. Transfer tax
b. Recording Charges
c. Appraisal fee
d. Title search - CORRECT ANSWER - Answer: a. Transfer tax
Buyer's Fees
Below is a list of the types of fees that would be the buyer's responsibility at
closing. Many of the fees will vary depending upon the sale price of the unit.
Appraisal fee
Credit report
Mortgage points - 1 to 3 percent of the loan amount, if any.
Bank underwriting fee
Bank legal fees
Mortgage tax - $2.05 per $100 for mortgages under $500,000; $2.175 per $100 for
$500,000 and up
Title search
Title insurance - about $450 per $100,000
Mansion tax - 1 percent of the sales price for sales of $1 million or more
Recording Charges
Buyer's attorney
, Pg. 2
Condo-board application
Condo credit report
Managing agent fee
Prepaid expenses - mortgage and common charges to the end of the month; real
estate tax escrow up to six months
Move-in deposit - refundable upon completion of a move
Move-in fee / Hazard insurance Fee
The primary purpose of the Truth in Lending Act is to:
Select one:
a. require full disclosure of the amount of the promissory note
b. provide information to the borrowers on the loan terms and conditions
c. discourage excessive loan costs for consumer borrowers
d. establish limits on the total charges a lender can assess for a loan - CORRECT
ANSWER - Answer: b. provide information to the borrowers on the loan terms and
conditions
Truth in Lending (Regulation Z)
The primary purpose of the Truth in Lending Act is to promote the informed use of
consumer credit by requiring creditors to disclose credit terms so that consumers
may make comparisons between credit sources.
What are the criteria of Real property tax exemptions?
Select one:
a. The use to which the property is put.
b. The owner's ability to pay taxes.
c. The desire of the state and local governments to encourage certain economic or
social activities.
, Pg. 3
d. All of these. - CORRECT ANSWER - Answer: d. All of these.
Chapter 13 - Unit 1, Exempt Properties
All real property in New York is subject to assessment. Both residential properties
and commercial properties, including vacant land are assessed.
All real property in New York is also subject to taxation, unless specific legal
provisions grant it exempt status. Real property tax exemptions are granted on the
basis of many different criteria, including the following:
The use to which the property is put.
The owner's ability to pay taxes.
The desire of the state and local governments to encourage certain economic or
social activities.
What is an agent in real estate?
Select one:
a. A person who is empowered by a contract to represent the interests of the client.
b. A person who represents the principal in dealings with third parties.
c. Both a and b.
d. Neither a nor b. - CORRECT ANSWER - Answer: c. Both a and b.
Client or Customer - Who Does the Agent Represent?
As we said earlier, an agent is a person who is empowered by contract to represent
the interests of a client, also known as the principal. The principal could be a seller,
a buyer, a landlord, or a tenant. The agent represents the principal in dealings with
third parties, who are known as customers.
For example, Mary Jones asks Broker Jim to help her find her first home. Broker
Jim takes Mary to see a home listed by Broker Sara. In this scenario, Broker Jim is
Mary's agent, Mary is Broker Jim's client or principal, and the seller of the home
listed by Broker Sara is the customer.
The agency relationship established between the agent and the principal puts in
place a set of fiduciary duties (which we will describe as we move along in this
NEW YORK REAL ESTATE LICENSE EXAM
2025-2026. 30 QUESTIONS & CORRECT
VERIFIED ANSWERS. GRADED A+
Which of the following fees are NOT the buyer's responsibility?
Select one:
a. Transfer tax
b. Recording Charges
c. Appraisal fee
d. Title search - CORRECT ANSWER - Answer: a. Transfer tax
Buyer's Fees
Below is a list of the types of fees that would be the buyer's responsibility at
closing. Many of the fees will vary depending upon the sale price of the unit.
Appraisal fee
Credit report
Mortgage points - 1 to 3 percent of the loan amount, if any.
Bank underwriting fee
Bank legal fees
Mortgage tax - $2.05 per $100 for mortgages under $500,000; $2.175 per $100 for
$500,000 and up
Title search
Title insurance - about $450 per $100,000
Mansion tax - 1 percent of the sales price for sales of $1 million or more
Recording Charges
Buyer's attorney
, Pg. 2
Condo-board application
Condo credit report
Managing agent fee
Prepaid expenses - mortgage and common charges to the end of the month; real
estate tax escrow up to six months
Move-in deposit - refundable upon completion of a move
Move-in fee / Hazard insurance Fee
The primary purpose of the Truth in Lending Act is to:
Select one:
a. require full disclosure of the amount of the promissory note
b. provide information to the borrowers on the loan terms and conditions
c. discourage excessive loan costs for consumer borrowers
d. establish limits on the total charges a lender can assess for a loan - CORRECT
ANSWER - Answer: b. provide information to the borrowers on the loan terms and
conditions
Truth in Lending (Regulation Z)
The primary purpose of the Truth in Lending Act is to promote the informed use of
consumer credit by requiring creditors to disclose credit terms so that consumers
may make comparisons between credit sources.
What are the criteria of Real property tax exemptions?
Select one:
a. The use to which the property is put.
b. The owner's ability to pay taxes.
c. The desire of the state and local governments to encourage certain economic or
social activities.
, Pg. 3
d. All of these. - CORRECT ANSWER - Answer: d. All of these.
Chapter 13 - Unit 1, Exempt Properties
All real property in New York is subject to assessment. Both residential properties
and commercial properties, including vacant land are assessed.
All real property in New York is also subject to taxation, unless specific legal
provisions grant it exempt status. Real property tax exemptions are granted on the
basis of many different criteria, including the following:
The use to which the property is put.
The owner's ability to pay taxes.
The desire of the state and local governments to encourage certain economic or
social activities.
What is an agent in real estate?
Select one:
a. A person who is empowered by a contract to represent the interests of the client.
b. A person who represents the principal in dealings with third parties.
c. Both a and b.
d. Neither a nor b. - CORRECT ANSWER - Answer: c. Both a and b.
Client or Customer - Who Does the Agent Represent?
As we said earlier, an agent is a person who is empowered by contract to represent
the interests of a client, also known as the principal. The principal could be a seller,
a buyer, a landlord, or a tenant. The agent represents the principal in dealings with
third parties, who are known as customers.
For example, Mary Jones asks Broker Jim to help her find her first home. Broker
Jim takes Mary to see a home listed by Broker Sara. In this scenario, Broker Jim is
Mary's agent, Mary is Broker Jim's client or principal, and the seller of the home
listed by Broker Sara is the customer.
The agency relationship established between the agent and the principal puts in
place a set of fiduciary duties (which we will describe as we move along in this
