Real Estate Broker License Practice Exam
General National Version – 2025 Edition)
1. Which of the following interests represents the most complete
form of ownership in real property?
A. Life estate
B. Leasehold estate
C. Fee simple absolute
D. Tenancy in common
Rationale: Fee simple absolute grants full ownership rights,
subject only to government powers such as taxation, eminent
domain, and police power.
2. A real estate broker owes the client all of the following duties
EXCEPT:
A. Loyalty
B. Obedience
C. Disclosure to the buyer of confidential information
D. Accounting
Rationale: A broker must maintain client confidentiality;
disclosing private information violates fiduciary duty.
3. Zoning laws are an example of which government power?
A. Escheat
B. Police power
C. Eminent domain
D. Taxation
Rationale: Police power allows governments to regulate land use
for public safety, health, and welfare through zoning and
building codes.
,4. An agency relationship is created primarily through:
A. Consideration
B. Written agreement only
C. Consent and agreement of the parties
D. Estoppel
Rationale: Agency arises when both principal and agent consent
to representation, whether written or implied.
5. Which of the following types of listing allows the seller to sell the
property without paying a commission if the broker didn’t procure
the buyer?
A. Exclusive right-to-sell
B. Exclusive agency listing
C. Net listing
D. Open listing
Rationale: In an exclusive agency, only one broker is hired, but
the seller retains the right to sell without obligation to pay
commission.
6. A borrower’s right to redeem property after foreclosure sale is
known as:
A. Statutory right of redemption
B. Equitable right of redemption
C. Reversionary interest
D. Foreclosure reinstatement
Rationale: Equitable redemption allows the borrower to reclaim
property before the foreclosure sale by paying the debt.
7. Which of the following deeds provides the greatest protection to
the grantee?
A. Bargain and sale deed
B. Quitclaim deed
, C. Special warranty deed
D. General warranty deed
Rationale: The general warranty deed guarantees clear title
through the entire history of ownership.
8. An appraisal that estimates land value separately from
improvements uses which approach?
A. Income approach
B. Market data approach
C. Cost approach
D. Gross rent multiplier
Rationale: The cost approach is used for unique properties and
separates land value from depreciated improvement value.
9. A property’s market value is best defined as:
A. Assessed value for taxation
B. Replacement cost
C. Highest possible selling price
D. Most probable price a willing buyer and seller would agree
upon
Rationale: Market value reflects the most probable price under
normal conditions without pressure.
10. The Federal Fair Housing Act prohibits discrimination based
on all of the following EXCEPT:
A. Race
B. Religion
C. Sex
D. Age
Rationale: Age is not covered under the federal Fair Housing Act,
though it may be under other laws like HOPA.
General National Version – 2025 Edition)
1. Which of the following interests represents the most complete
form of ownership in real property?
A. Life estate
B. Leasehold estate
C. Fee simple absolute
D. Tenancy in common
Rationale: Fee simple absolute grants full ownership rights,
subject only to government powers such as taxation, eminent
domain, and police power.
2. A real estate broker owes the client all of the following duties
EXCEPT:
A. Loyalty
B. Obedience
C. Disclosure to the buyer of confidential information
D. Accounting
Rationale: A broker must maintain client confidentiality;
disclosing private information violates fiduciary duty.
3. Zoning laws are an example of which government power?
A. Escheat
B. Police power
C. Eminent domain
D. Taxation
Rationale: Police power allows governments to regulate land use
for public safety, health, and welfare through zoning and
building codes.
,4. An agency relationship is created primarily through:
A. Consideration
B. Written agreement only
C. Consent and agreement of the parties
D. Estoppel
Rationale: Agency arises when both principal and agent consent
to representation, whether written or implied.
5. Which of the following types of listing allows the seller to sell the
property without paying a commission if the broker didn’t procure
the buyer?
A. Exclusive right-to-sell
B. Exclusive agency listing
C. Net listing
D. Open listing
Rationale: In an exclusive agency, only one broker is hired, but
the seller retains the right to sell without obligation to pay
commission.
6. A borrower’s right to redeem property after foreclosure sale is
known as:
A. Statutory right of redemption
B. Equitable right of redemption
C. Reversionary interest
D. Foreclosure reinstatement
Rationale: Equitable redemption allows the borrower to reclaim
property before the foreclosure sale by paying the debt.
7. Which of the following deeds provides the greatest protection to
the grantee?
A. Bargain and sale deed
B. Quitclaim deed
, C. Special warranty deed
D. General warranty deed
Rationale: The general warranty deed guarantees clear title
through the entire history of ownership.
8. An appraisal that estimates land value separately from
improvements uses which approach?
A. Income approach
B. Market data approach
C. Cost approach
D. Gross rent multiplier
Rationale: The cost approach is used for unique properties and
separates land value from depreciated improvement value.
9. A property’s market value is best defined as:
A. Assessed value for taxation
B. Replacement cost
C. Highest possible selling price
D. Most probable price a willing buyer and seller would agree
upon
Rationale: Market value reflects the most probable price under
normal conditions without pressure.
10. The Federal Fair Housing Act prohibits discrimination based
on all of the following EXCEPT:
A. Race
B. Religion
C. Sex
D. Age
Rationale: Age is not covered under the federal Fair Housing Act,
though it may be under other laws like HOPA.
