NATIONAL REAL ESTATE EXAM GUIDE TO
PEARSON VUE BOOK 2026 QUESTIONS
WITH 100% VERIFIED ANSWERS GRADED
A+
⩥ Bilateral Contract. Answer: Contract containing TWO promises.
Example: A listing agreement is a bilateral contract
⩥ Client/Principal. Answer: A person who has entered into an agency
relationship w/ a licensee & with whom there is a written contract
⩥ Customer. Answer: Any 3rd party w/ whom a licensee works
⩥ In-Company Transaction. Answer: Transaction in which the buyer and
seller are both represented by the same brokerage.
⩥ Management-Level License. Answer: A licensee who is employed by
or affiliated w/ a brokerage who has supervisory responsibility over
other licensees.
⩥ Statute of Frauds requires the following:. Answer: 1) Certain contracts
be in writing to be enforceable, 2) All real estate contracts for the sale of
LAND & ALL LEASES for more than one year, options for more than 6
months, must be in writing & signed by all parties.
,⩥ Novation. Answer: Substituting a new obligation for an old one. Also,
a transfer of rights and/or duties under contract.
⩥ If the original party to an agreement is replaced due to novation, are
they liable?. Answer: No
⩥ Mailbox Rule. Answer: Acceptance that becomes effective as soon as
it is sent in the mail, unless the contract specified a certain means for
delivery.
⩥ Grantor is the. Answer: Owner
⩥ Grantee is the. Answer: Buyer
⩥ Optionor is the. Answer: Seller
⩥ Optionee is the. Answer: Buyer
⩥ Lessor is the. Answer: Landlord
⩥ Lessee is the. Answer: Tenant
, ⩥ Vendor is the. Answer: Seller
⩥ Vendee is the. Answer: Buyer
⩥ Mortgagor is the. Answer: Buyer
⩥ Mortgagee is the. Answer: Lender
⩥ Trustor is the. Answer: Buyer
⩥ Trustee is the. Answer: 3rd Party to the transaction
⩥ Regulation Z dictates. Answer: Disclosure Requirements in Credit
Transactions, including the disclosure of the Annual Percentage Rate
(APR)
⩥ Regulation Z applies to:. Answer: ALL REAL ESTATE credit
transactions except for commercial loans. For non-real estate
transactions, it covers up to $25,000.
⩥ The Cooling Off Period is a condition of:. Answer: Regulation Z. It
gives the customer the right to rescind the transaction for up to 3
business days following the transaction for liens placed on a principal
residence.
PEARSON VUE BOOK 2026 QUESTIONS
WITH 100% VERIFIED ANSWERS GRADED
A+
⩥ Bilateral Contract. Answer: Contract containing TWO promises.
Example: A listing agreement is a bilateral contract
⩥ Client/Principal. Answer: A person who has entered into an agency
relationship w/ a licensee & with whom there is a written contract
⩥ Customer. Answer: Any 3rd party w/ whom a licensee works
⩥ In-Company Transaction. Answer: Transaction in which the buyer and
seller are both represented by the same brokerage.
⩥ Management-Level License. Answer: A licensee who is employed by
or affiliated w/ a brokerage who has supervisory responsibility over
other licensees.
⩥ Statute of Frauds requires the following:. Answer: 1) Certain contracts
be in writing to be enforceable, 2) All real estate contracts for the sale of
LAND & ALL LEASES for more than one year, options for more than 6
months, must be in writing & signed by all parties.
,⩥ Novation. Answer: Substituting a new obligation for an old one. Also,
a transfer of rights and/or duties under contract.
⩥ If the original party to an agreement is replaced due to novation, are
they liable?. Answer: No
⩥ Mailbox Rule. Answer: Acceptance that becomes effective as soon as
it is sent in the mail, unless the contract specified a certain means for
delivery.
⩥ Grantor is the. Answer: Owner
⩥ Grantee is the. Answer: Buyer
⩥ Optionor is the. Answer: Seller
⩥ Optionee is the. Answer: Buyer
⩥ Lessor is the. Answer: Landlord
⩥ Lessee is the. Answer: Tenant
, ⩥ Vendor is the. Answer: Seller
⩥ Vendee is the. Answer: Buyer
⩥ Mortgagor is the. Answer: Buyer
⩥ Mortgagee is the. Answer: Lender
⩥ Trustor is the. Answer: Buyer
⩥ Trustee is the. Answer: 3rd Party to the transaction
⩥ Regulation Z dictates. Answer: Disclosure Requirements in Credit
Transactions, including the disclosure of the Annual Percentage Rate
(APR)
⩥ Regulation Z applies to:. Answer: ALL REAL ESTATE credit
transactions except for commercial loans. For non-real estate
transactions, it covers up to $25,000.
⩥ The Cooling Off Period is a condition of:. Answer: Regulation Z. It
gives the customer the right to rescind the transaction for up to 3
business days following the transaction for liens placed on a principal
residence.
