2020 Salesperson's Real Estate Exam Prep
With 884 practice questions and answers you'll be ready to pass the State Exam. Our practice real estate exam questions are the best in the industry to pass the California real estate salesperson's exam. Our online salesperson's exam prep offers the best way to study, through online flash cards and timed simulations of the State Exam. Our online real estate salesperson exam prep lets you choose to study every practice question or just those that you've answered wrong. The Real Estate Salesperson's Pass Pack offers the best way to prepare study for the California Real Estate Salesperson's Exam.
Don't fail the California Real Estate Salesperson's Exam
As an experienced publisher with over 40 years experience in real estate and construction, these are not generic questions. Our real estate exam prep practice questions and answers are written based off the same resources the state uses to write their exam. These are specifically geared towards passing the California Real Estate Salesperson's exam.
WARNING: Questions are for California only.
- Online Real Estate Exam Prep - Study from anywhere
- Real Estate Flashcards and Practice Questions
- Only study the questions you answered wrong
- 884 practice test questions and answers
- 5 Practice Tests
- Exam Simulation - Timed and Graded like the California State Bureau of Real Estate's (BRE) Exam
- Up-to-date with the newest questions
- 90 days unlimited access
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I recently took real estate classes from a competing company. After finishing the 3 courses to enable me to take the state exam. I began to take the simulated state tests that were offered as part of the course. Being a business owner for many years and starting real estate as a second career I knew that the 150 questions would never be enough info to pass the test. I read all the websites promises and guarantees and decided this was where my money was best spent. I loved being able to read and study from the 150 flash cards on 5 separate tests. THEN being able to take these 150 test questions that TOTALLY were right on to actual state test. I passed test on first try!! To prove my point my wife took the state test last week and only studied from our class offering of their 150 simulated test questions and did NOT pass. I showed her these flash cards and tests and she was blown away how accurate they were to state test as the questions were still fresh in her mind. That being said she is now fully entrenched in studying only these questions and tests. I highly recommend that if you want to pass, sign up today and study all that is offered here and you will have great successful results.
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Sample Real Estate Salesperson's Exam Prep Test Questions and Answers
001. The most common instrument for transferring real property in California is:
(a) grant deed
(b) quitclaim deed
(c) trust deed
(d) livery of seisin
(a) Read the question with care: the most common type of financing in California is the deed of trust; but this question asks about the actual transfer of ownership. Quitclaim deeds offer far less security and are generally not trusted by escrow companies.
002. A licensed salesperson gave notice to the salesperson’s employing broker. What, if anything, must the broker do with the salesperson’s license?
(a) Leave the license unmarked and give it to the next broker who employs the salesperson.
(b) Return the license to the salesperson and notify the Real Estate Commissioner.
(c) Mark the license “inactivated,” return it to the salesperson, and notify the Real Estate Commissioner.
(d) Mark the license “canceled” and mail it to the Real Estate Commissioner.
(b) The broker must immediately notify the Commissioner in writing--using the Salesperson Change Application (Form RE214)--and return the license certificate to the salesperson. The salesperson strikes out the former employing broker’s name and address, enters the name and address of the new employing broker, and dates and initials the license certificate. The new broker and the salesperson must complete and mail RE214 to the Bureau of Real Estate within 5 days. The new broker retains the certificate in the main office.
003. The seller has already executed a sales agreement with a buyer, but the deal has not yet closed. The seller learns that a new freeway offramp is being built, so the seller believes (reasonably) that the property will be worth much more money. The seller cancels the contract and refuses to return the deposit. As the seller’s agent, you should:
(a) advise the buyer that he or she may wish to seek legal council
(b) act as a mediator between the buyer and seller
(c) advise the seller to settle with the buyer
(d) advise the seller that he or she may wish to seek legal council
(d) Answer “c” comes awfully close to legal advice, which an agent or broker cannot supply.
004. To avoid being a blind ad, an advertisement for real estate must reveal:
(a) the address of the property
(b) the price of the property
(c) the name of the broker
(d) the name of the broker and salesperson
(c) The name of the broker must be disclosed in an ad. The ad must also reveal that the broker is licensed by the State of California (B&P Code, Sec. 10140.5). 003.
005. When appraising a vacant lot, which is the preferred method?
(a) land use
(b) cost approach
(c) sales comparison approach
(d) allocation approach
006. A seller is aware that the house’s wiring was done by an unlicensed electrician and is defective. The seller does not mention this to the listing broker. The broker sells the home to a buyer. After close of escrow, the faulty electrical wires cause a fire in the home.
(a) The seller and broker may be liable for damages
(b) The seller but not the broker may be liable for damages because the broker was not informed about it
(c) The broker but not the seller is responsible because the broker did not inspect the wiring
(d) There is no liability for either the broker or seller because escrow has closed
(a) Even though not informed by seller, the broker can be held liable for the actions of the seller!
007. Which of the following can be said to “run with the land”?
(b) stock in a mutual water company
(d) all of the above
(d) All three are rights or liabilities that affect the present and future owners. Easements and covenants are the two main contingencies that run with the land.
008. The three traditional steps in developing land are:
(a) purchase, subdivide, sell
(b) purchase, build, sell
(c) purchase, subdivide, hold
(d) purchase, build, hold
009. “Of indefinite duration” is a phrase that describes an:
(a) estate for years
(b) estate from period to period
(c) estate of inheritance
(d) less-than-freehold estate
(c) The owner of a fee simple estate has the right to use the property for an indefinite period of time. An estate of inheritance is one type of fee simple estate.
010. A contractor’s bond is required for licensed contractors in the amount of:
(a) $ 7,500
011. “Alienation of title” to real property means:
(a) to record a homestead
(b) to encumber the title
(c) to cloud the title
(d) to convey or transfer title and possession
(d) Alienation is the transfer of property and possession of land or other items to another person.
012. Prospective Buyer Wilson signed an offer to purchase property. Before the broker could secure an unqualified acceptance from the seller, Wilson had a heart attack and died. Which of the following is a correct statement?
(a) The offer is binding despite Wilson’s decease.
(b) The offer is binding if the administrator of the estate is duly informed.
(c) The death of Wilson effectively releases the offer.
(d) The offer is not binding because Wilson died before the deed was delivered.
(c) The death of an offeror or offeree revokes the offer regardless of any notice of the offer [Civil Code, Sec. 1587(4)].
013. The recording of a lis pendens:
(a) does not affect the title
(b) clouds the title and affects marketability
(c) clouds the title but does not affect marketability
(d) affects the current owner but not a subsequent owner.
(b) Once recorded with the County Recorder, the notice constitutes a cloud on the title and prevents the owner from conveying a marketable title (one that a fully informed and reasonable purchaser would ordinarily be willing to accept). The title may still be conveyed, although most prospective buyers will be wary because of the lis pendens.
014. Water that emanates from the ground and is not from an underground lake or river is called:
015. Which of the following is not essential to the creation of an agency relationship?
(a) fiduciary relationship of the agent and principal
(b) competency on the part of the principal
(c) payment of consideration
(d) agreement of the parties to an agency
(c) Usually a commission is paid to an agent: “A consideration is not necessary to make an authority binding on the principal” (Civil Code, Sec. 2308). Even if an agent volunteers his or her services gratis, he or she will be held to one or more obligations of an ordinary agent. But under normal circumstances, a contract is signed to establish an agency, and consideration is essential to the creation of a valid contract that is legally binding on the parties.
016. If a house sells for $300,000 and the buyer puts down $50,000, how much is one point?
(b) One point = 1% of the amount borrowed, not the purchase price. Your first reflex might have been $3,000.
017. A contract signed under duress is:
(b) Duress is an unlawful constraint; a person is forced to do something against his or her will. Duress makes the contract voidable. A voidable contract is valid and enforceable on its face, but it may be rejected by a party who signed it while “disabled” in a legal sense (e.g., through duress, menace, or undue influence).
018. In which circumstance may persons receive a commission for selling property while not holding a real estate license?
(a) If the sale is under $300,000
(b) If the sale is of a single-family home or condominium
(c) When they are compensated only for advertising and related expenses
(d) When they are acting as an attorney-in-fact
(d) An attorney-in-fact transacts business for another person; he or she assumes the full fiduciary and other legal responsibilities of an agent (B&P Code 10133(a)(2)).
019. An advertisement for a listing placed by a real estate salesperson must include the:
(a) name of the employing broker
(b) employing broker’s name and address
(c) salesperson’s name
(d) both (b) and (c)
(a) Advertising of any licensed service “shall not be under the name of a salesman unless the name of the employing broker is set forth” (Regulations of the Real Estate Commissioner, Sec. 2770).
020. Structural pest control records are available from the Structural Pest Control Board to:
(a) parties involved in a transaction
(b) licensed appraisers
(c) licensed brokers
(d) Anyone can ask for a copy. Actually, the Board no longer keeps copies of the reports. All requests to the Board are relayed to the pest control company who did the inspection, who then issues a copy of the report to the person requesting—thus saving the taxpayers a big chunk of change.
021. In regard to a condominium and without specific conveyances, which of the following is considered the property of the owner?
(a) shared walls
(b) structural walls
(c) freestanding kitchen appliances
(d) common areas
(c) An owner is said to own “from the walls in.” Kitchen appliances that are not attached are considered personal property.
022. For an easement to be prescriptive in California, the easement must be in continuous use for:
(a) 2 years
(b) 5 years
(c) 10 years
(d) 15 years
(b) A prescriptive easement is created from an open, adverse, and continuous use for at least five years. (A prescript, in general, is a rule, command, or ordinance.) Someone can acquire an easement over another’s land for a particular purpose (e.g., walking along a path or reaching their home by means of a driveway). This is not the same as adverse possession, which involves actual occupancy of the property and payment of property taxes; if done correctly, adverse possession can result in an actual transfer of ownership.
023. When the terms of a loan are fully satisfied, what kind of document is filed?
(a) trustor reconveyance to the trustee
(b) trustee reconveyance to the trustor
(c) trustor reconveyance to the beneficiary
(d) trustee reconveyance to the beneficiary
(d) The trustee records a full reconveyance to the County Recorder. A copy is delivered to the beneficiary.
024. If prices in general decrease, the result will be:
(a) an increase in the value of money
(b) a decrease in the value of money
(c) no effect on the value of money because prices are in terms of money
(d) an increase in the value of commodities
(a) A given amount of money will buy more, so the value of money will increase.
025. Refusing to show property to a minority is an example of which of the following?
(d) all of the above
(c) In general, steering is the discriminatory practice of guiding clients toward specific neighborhoods based on criteria such as race. It also applies to a failure to show certain homes or to inform potential buyers of homes that would have met their specifications.