TEXAS REAL ESTATE BROKER EXAM (TREC) – PRACTICE
EXAM Newest 2025 – 2026 Questions From Actual
Exams Complete Questions And Correct Detailed
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Content Covered (Most Tested Areas):
Agency Relationships, Contracts, Property Ownership, Finance,
Appraisal, Real Estate Law, Brokerage Operations, Leasing, Property
Management, Land Use Controls, Ethics
1. Which type of listing gives the broker the right to earn a commission
regardless of who sells the property?
A. Open listing
B. Exclusive agency listing
C. Exclusive right-to-sell listing
D. Net listing
Answer: Exclusive right-to-sell listing
This listing guarantees the broker a commission no matter who finds the
buyer, including the owner.
2. In Texas, which law primarily governs real estate license holders?
A. Sherman Act
B. Texas Real Estate License Act
C. Uniform Commercial Code
D. Deceptive Trade Practices Act
Answer: Texas Real Estate License Act
TRELA establishes licensing requirements and regulations for real estate
professionals.
,3. What form of ownership includes the right of survivorship?
A. Tenancy in common
B. Community property
C. Joint tenancy
D. Fee simple
Answer: Joint tenancy
Joint tenancy automatically transfers ownership to surviving owners upon
death.
4. A broker acting for both buyer and seller with consent is practicing:
A. Dual agency
B. Subagency
C. Intermediary brokerage
D. Fiduciary agency
Answer: Intermediary brokerage
Texas allows intermediary relationships with written consent from both
parties.
5. Which contract element requires that all parties have legal capacity?
A. Consideration
B. Offer
C. Competent parties
D. Mutual consent
Answer: Competent parties
Contracts require parties to be legally capable, meaning of age and sound
mind.
6. A lien that arises by law due to unpaid taxes is:
A. Voluntary lien
B. General lien
C. Statutory lien
D. Equitable lien
Answer: Statutory lien
Tax liens are created automatically by statute when taxes are unpaid.
, 7. The primary purpose of an appraisal is to determine:
A. Market demand
B. Property condition
C. Market value
D. Replacement cost
Answer: Market value
Appraisals estimate the most probable selling price in a competitive market.
8. Which approach is most relevant for valuing a single-family home?
A. Cost approach
B. Income approach
C. Sales comparison approach
D. Gross rent multiplier
Answer: Sales comparison approach
This method compares similar recently sold properties.
9. The statute that requires certain contracts to be in writing is:
A. Blue Sky Law
B. Statute of Frauds
C. Homestead Law
D. Antitrust Law
Answer: Statute of Frauds
Real estate contracts must be written to be enforceable.
10.Earnest money is best described as:
A. Commission paid to broker
B. Loan deposit
C. Good faith deposit
D. Closing cost
Answer: Good faith deposit
Earnest money shows the buyer’s intent to proceed with the purchase.
11.Which financing instrument secures a loan with real property?
A. Promissory note
B. Deed of trust
EXAM Newest 2025 – 2026 Questions From Actual
Exams Complete Questions And Correct Detailed
Answers (Verified Answers) |Already Graded A+||Brand
New!!
Content Covered (Most Tested Areas):
Agency Relationships, Contracts, Property Ownership, Finance,
Appraisal, Real Estate Law, Brokerage Operations, Leasing, Property
Management, Land Use Controls, Ethics
1. Which type of listing gives the broker the right to earn a commission
regardless of who sells the property?
A. Open listing
B. Exclusive agency listing
C. Exclusive right-to-sell listing
D. Net listing
Answer: Exclusive right-to-sell listing
This listing guarantees the broker a commission no matter who finds the
buyer, including the owner.
2. In Texas, which law primarily governs real estate license holders?
A. Sherman Act
B. Texas Real Estate License Act
C. Uniform Commercial Code
D. Deceptive Trade Practices Act
Answer: Texas Real Estate License Act
TRELA establishes licensing requirements and regulations for real estate
professionals.
,3. What form of ownership includes the right of survivorship?
A. Tenancy in common
B. Community property
C. Joint tenancy
D. Fee simple
Answer: Joint tenancy
Joint tenancy automatically transfers ownership to surviving owners upon
death.
4. A broker acting for both buyer and seller with consent is practicing:
A. Dual agency
B. Subagency
C. Intermediary brokerage
D. Fiduciary agency
Answer: Intermediary brokerage
Texas allows intermediary relationships with written consent from both
parties.
5. Which contract element requires that all parties have legal capacity?
A. Consideration
B. Offer
C. Competent parties
D. Mutual consent
Answer: Competent parties
Contracts require parties to be legally capable, meaning of age and sound
mind.
6. A lien that arises by law due to unpaid taxes is:
A. Voluntary lien
B. General lien
C. Statutory lien
D. Equitable lien
Answer: Statutory lien
Tax liens are created automatically by statute when taxes are unpaid.
, 7. The primary purpose of an appraisal is to determine:
A. Market demand
B. Property condition
C. Market value
D. Replacement cost
Answer: Market value
Appraisals estimate the most probable selling price in a competitive market.
8. Which approach is most relevant for valuing a single-family home?
A. Cost approach
B. Income approach
C. Sales comparison approach
D. Gross rent multiplier
Answer: Sales comparison approach
This method compares similar recently sold properties.
9. The statute that requires certain contracts to be in writing is:
A. Blue Sky Law
B. Statute of Frauds
C. Homestead Law
D. Antitrust Law
Answer: Statute of Frauds
Real estate contracts must be written to be enforceable.
10.Earnest money is best described as:
A. Commission paid to broker
B. Loan deposit
C. Good faith deposit
D. Closing cost
Answer: Good faith deposit
Earnest money shows the buyer’s intent to proceed with the purchase.
11.Which financing instrument secures a loan with real property?
A. Promissory note
B. Deed of trust
