Texas Real Estate Exam-State Portion
Questions and Answers | Latest
Version | 2025/2026 | Correct & Verified
What fund is used to reimburse consumers harmed by a licensed real estate professional’s illegal
actions?
✔✔The Real Estate Recovery Trust Account
How long is an initial Texas real estate salesperson license valid?
✔✔Two years
How many qualifying education hours are required to apply for a Texas salesperson license?
✔✔180 hours
What document authorizes a broker to act on behalf of a client?
✔✔A written agency agreement
What form must be given to a consumer at the first substantive contact regarding real estate
services?
✔✔Information About Brokerage Services (IABS)
Who appoints the members of the Texas Real Estate Commission?
✔✔The Governor of Texas
1
,What is the minimum age to obtain a Texas real estate license?
✔✔18 years old
What type of brokerage relationship requires loyalty, obedience, and confidentiality?
✔✔Agency relationship
What name is given to holding money on behalf of others in real estate transactions?
✔✔Trust funds
Where must earnest money be deposited by a Texas broker?
✔✔A trust or escrow account
What law requires disclosure of material facts about a property?
✔✔Texas common law duty of disclosure
What notice must be provided when a property lies in a municipal utility district?
✔✔Statutory MUD notice
What entity issues promulgated real estate contract forms in Texas?
✔✔Texas Real Estate Commission
2
,What is the maximum late renewal period for a Texas real estate license?
✔✔Six months
What happens if a license is not renewed within six months after expiration?
✔✔The license becomes inactive and cannot be used
What role may an unlicensed assistant perform in Texas?
✔✔Administrative and clerical tasks only
What document discloses known property defects to a buyer?
✔✔Seller’s Disclosure Notice
Who is responsible for supervising sponsored sales agents?
✔✔The sponsoring broker
What type of listing allows multiple brokers to market a property with commission paid only to
the one who sells it?
✔✔Open listing
What listing type gives one broker exclusive rights to earn a commission regardless of who sells
the property?
✔✔Exclusive right to sell listing
3
, What must a broker do when terminating sponsorship of a sales agent?
✔✔Notify TREC promptly
What Texas law prohibits discrimination in housing beyond federal protections?
✔✔Texas Fair Housing Act
How many hours of continuing education are required for license renewal in Texas?
✔✔18 hours
What course is mandatory for sales agent license renewal until the SAE requirement is met?
✔✔Sales Agent Apprentice Education (SAE)
What document authorizes a broker to place a sign on listed property?
✔✔The listing agreement
What does TREC stand for?
✔✔Texas Real Estate Commission
What kind of license is required to manage property for others for compensation?
✔✔A broker or sponsored sales agent license
4
Questions and Answers | Latest
Version | 2025/2026 | Correct & Verified
What fund is used to reimburse consumers harmed by a licensed real estate professional’s illegal
actions?
✔✔The Real Estate Recovery Trust Account
How long is an initial Texas real estate salesperson license valid?
✔✔Two years
How many qualifying education hours are required to apply for a Texas salesperson license?
✔✔180 hours
What document authorizes a broker to act on behalf of a client?
✔✔A written agency agreement
What form must be given to a consumer at the first substantive contact regarding real estate
services?
✔✔Information About Brokerage Services (IABS)
Who appoints the members of the Texas Real Estate Commission?
✔✔The Governor of Texas
1
,What is the minimum age to obtain a Texas real estate license?
✔✔18 years old
What type of brokerage relationship requires loyalty, obedience, and confidentiality?
✔✔Agency relationship
What name is given to holding money on behalf of others in real estate transactions?
✔✔Trust funds
Where must earnest money be deposited by a Texas broker?
✔✔A trust or escrow account
What law requires disclosure of material facts about a property?
✔✔Texas common law duty of disclosure
What notice must be provided when a property lies in a municipal utility district?
✔✔Statutory MUD notice
What entity issues promulgated real estate contract forms in Texas?
✔✔Texas Real Estate Commission
2
,What is the maximum late renewal period for a Texas real estate license?
✔✔Six months
What happens if a license is not renewed within six months after expiration?
✔✔The license becomes inactive and cannot be used
What role may an unlicensed assistant perform in Texas?
✔✔Administrative and clerical tasks only
What document discloses known property defects to a buyer?
✔✔Seller’s Disclosure Notice
Who is responsible for supervising sponsored sales agents?
✔✔The sponsoring broker
What type of listing allows multiple brokers to market a property with commission paid only to
the one who sells it?
✔✔Open listing
What listing type gives one broker exclusive rights to earn a commission regardless of who sells
the property?
✔✔Exclusive right to sell listing
3
, What must a broker do when terminating sponsorship of a sales agent?
✔✔Notify TREC promptly
What Texas law prohibits discrimination in housing beyond federal protections?
✔✔Texas Fair Housing Act
How many hours of continuing education are required for license renewal in Texas?
✔✔18 hours
What course is mandatory for sales agent license renewal until the SAE requirement is met?
✔✔Sales Agent Apprentice Education (SAE)
What document authorizes a broker to place a sign on listed property?
✔✔The listing agreement
What does TREC stand for?
✔✔Texas Real Estate Commission
What kind of license is required to manage property for others for compensation?
✔✔A broker or sponsored sales agent license
4
