REAL ESTATE SALESPERSON LICENSING
EXAMINATION QUESTIONS AND
CORRECT ANSWERS (VERIFIED
ANSWERS) PLUS RATIONALES 2026 Q&A
| INSTANT DOWNLOAD PDF
1. Which of the following is considered real property?
A. A stack of firewood
B. A house attached to land
C. A car
D. Furniture
B. A house attached to land
Rationale: Real property refers to land and anything permanently
attached to it.
2. A broker lists a property for $250,000. The buyer offers $240,000, and the
seller accepts. The broker earns a 6% commission on the sale price. How
much commission does the broker earn?
A. $15,000
B. $14,400
C. $16,000
D. $12,500
B. $14,400
Rationale: Commission = 6% of $240,000 = 0.06 × 240,000 = $14,400.
3. The main purpose of the Multiple Listing Service (MLS) is to:
A. Set property prices
B. Facilitate cooperation among brokers
C. Finance property sales
, D. Provide insurance for buyers
B. Facilitate cooperation among brokers
Rationale: MLS allows brokers to share listings and cooperate in selling
properties.
4. What is a fiduciary duty?
A. Duty to advertise a property
B. Duty to disclose material facts
C. Duty to act in the best interest of the client
D. Duty to collect rent
C. Duty to act in the best interest of the client
Rationale: A fiduciary duty obligates an agent to prioritize the client’s
interests above all.
5. In a real estate transaction, which document is used to transfer ownership
of property?
A. Lease
B. Deed
C. Mortgage
D. Promissory note
B. Deed
Rationale: A deed is the legal document used to convey ownership of real
estate.
6. Which type of listing allows a broker to earn a commission even if the seller
sells the property themselves?
A. Open listing
B. Exclusive agency listing
C. Exclusive right-to-sell listing
D. Net listing
C. Exclusive right-to-sell listing
Rationale: In an exclusive right-to-sell listing, the broker earns a
commission regardless of who sells the property.
, 7. A property sells for $350,000 with a 5% commission. The seller owes
$120,000 on the mortgage. How much will the seller receive at closing?
A. $192,500
B. $157,500
C. $165,000
D. $175,000
A. $192,500
Rationale: Commission = 0.05 × 350,000 = $17,500; Seller proceeds =
350,000 − 120,000 − 17,500 = $212,500.
(Correction: Actually, 350,000 − 120,000 − 17,500 = $212,500, not $192,500.
Correct answer: $212,500.)
8. What is the primary purpose of a property appraisal?
A. To determine market value
B. To collect taxes
C. To enforce zoning laws
D. To advertise the property
A. To determine market value
Rationale: Appraisals provide an expert opinion of a property’s market
value for lending or sale purposes.
9. Which of the following is an example of a freehold estate?
A. Leasehold
B. Fee simple
C. Estate for years
D. Estate at will
B. Fee simple
Rationale: A fee simple estate represents the greatest ownership interest
in real property, potentially perpetual.
10.A property is sold “as-is.” The seller:
A. Must repair all defects
B. Is not responsible for known defects
C. Cannot sell the property
EXAMINATION QUESTIONS AND
CORRECT ANSWERS (VERIFIED
ANSWERS) PLUS RATIONALES 2026 Q&A
| INSTANT DOWNLOAD PDF
1. Which of the following is considered real property?
A. A stack of firewood
B. A house attached to land
C. A car
D. Furniture
B. A house attached to land
Rationale: Real property refers to land and anything permanently
attached to it.
2. A broker lists a property for $250,000. The buyer offers $240,000, and the
seller accepts. The broker earns a 6% commission on the sale price. How
much commission does the broker earn?
A. $15,000
B. $14,400
C. $16,000
D. $12,500
B. $14,400
Rationale: Commission = 6% of $240,000 = 0.06 × 240,000 = $14,400.
3. The main purpose of the Multiple Listing Service (MLS) is to:
A. Set property prices
B. Facilitate cooperation among brokers
C. Finance property sales
, D. Provide insurance for buyers
B. Facilitate cooperation among brokers
Rationale: MLS allows brokers to share listings and cooperate in selling
properties.
4. What is a fiduciary duty?
A. Duty to advertise a property
B. Duty to disclose material facts
C. Duty to act in the best interest of the client
D. Duty to collect rent
C. Duty to act in the best interest of the client
Rationale: A fiduciary duty obligates an agent to prioritize the client’s
interests above all.
5. In a real estate transaction, which document is used to transfer ownership
of property?
A. Lease
B. Deed
C. Mortgage
D. Promissory note
B. Deed
Rationale: A deed is the legal document used to convey ownership of real
estate.
6. Which type of listing allows a broker to earn a commission even if the seller
sells the property themselves?
A. Open listing
B. Exclusive agency listing
C. Exclusive right-to-sell listing
D. Net listing
C. Exclusive right-to-sell listing
Rationale: In an exclusive right-to-sell listing, the broker earns a
commission regardless of who sells the property.
, 7. A property sells for $350,000 with a 5% commission. The seller owes
$120,000 on the mortgage. How much will the seller receive at closing?
A. $192,500
B. $157,500
C. $165,000
D. $175,000
A. $192,500
Rationale: Commission = 0.05 × 350,000 = $17,500; Seller proceeds =
350,000 − 120,000 − 17,500 = $212,500.
(Correction: Actually, 350,000 − 120,000 − 17,500 = $212,500, not $192,500.
Correct answer: $212,500.)
8. What is the primary purpose of a property appraisal?
A. To determine market value
B. To collect taxes
C. To enforce zoning laws
D. To advertise the property
A. To determine market value
Rationale: Appraisals provide an expert opinion of a property’s market
value for lending or sale purposes.
9. Which of the following is an example of a freehold estate?
A. Leasehold
B. Fee simple
C. Estate for years
D. Estate at will
B. Fee simple
Rationale: A fee simple estate represents the greatest ownership interest
in real property, potentially perpetual.
10.A property is sold “as-is.” The seller:
A. Must repair all defects
B. Is not responsible for known defects
C. Cannot sell the property
