state exam

Question 1

TREC is comprised of 9 members.

Answer 1

6 real estate brokers and 3 general public members

Question 2

Appraisers are regulated by

Answer 2

Texas appraisers licensing and certification board (TALCB)

Question 3

TREC members hold office for

Answer 3

6 years

Question 4

Broker responsibilities

Answer 4

must respond to a sponsored sales agent, clients and license holders representing other parties in real estate transactions within 2 days.

Question 5

complaint must be filed by complaining person not more than

Answer 5

4 years after the incident

Question 6

State office of administrative hearing’s decision under this subchapter is entitled to appeal to a district court in

Answer 6

A county in which the administrative hearing was held

Question 7

The commission may suspend or revoke a license or asses a penalty for each violation that is not to exceed

Answer 7

$5,000

Question 8

An unlicensed assitant may perform

Answer 8

administrative tasks (No showing properties or consulting on real estate)

Question 9

The limit on recovery fund payout is

Answer 9

50,000 per transaction -100,000 per license

Question 10

if the desdignated broker owns less than

Answer 10

10% of the business the business must have an errors and omissions insurance policy of at least one million dollars

Question 11

education: Must complete ___ semester hours

Answer 11

12; 4 semester hours of principles of real estate and 2 semesters hours of each agency law, contract law, contract forms, addendums, and real estate finance

Question 12

requirements of a broker license

Answer 12

4 years as an active sales agent or broker out of the 5 years since date of application

Question 13

online education requirements

Answer 13

60 hours of principle of real estate,
30 hours of each remaining five pre licensing courses for a total of 180 hours

Question 14

first time renewal

Answer 14

270 hours post licensing qualifying real estate course hours (180 pre-licensing hours + 90 SAE) plus 4 hours of TREC legal update I and 4 hours of legal update II

Question 15

continuing education active sales agent license renewal requirements

Answer 15

complete 18 hours of approved continuing education

8 hours of TREC lega; update I and II

3 hours of contract related coursework

7 hours of elective continuing education

Question 16

change of sales agent sponsorship

Answer 16

and changes in or termination of sponsorship be communicated in writing using the online form approved by TREC, all termination notices must be sent to TREC

Question 17

advertising

Answer 17

must clearly and prominently display the name of the broker, which may either be a business entity or an individual

Question 18

commision

Answer 18

must be paid to a broker

Question 19

can a broker pay all or a portion of a commission or fee to an unlicensed person?

Answer 19

no but certain rebates are permissible with the permission of the party the broker represents

Question 20

Texas Law requires all brokers and sales agents to provide written notice regarding information about brokerage services

Answer 20

At the first substantive communication with prospective buyers, tenants, sellers, and landlords concerning specific real property

Question 21

the broker owes the client the duties of

Answer 21

fidelity, integrity, and competency

Question 22

Oral contract lasts

Answer 22

4 years

Question 23

the seller of a residential property of not more than one dwelling must provide

Answer 23

promulgated sellers disclosure.

Question 24

As a licensee in Texas, you, as the listing agent, are required.

Answer 24

to use a promulgated form or a contract prepared by an attorney licensed in Texas

Question 25

The statue of frauds _____

Answer 25

requires that a lease for over one year must be in writing

Question 26

the “termination” option of the TREC one to four family residential contract requires _______

Answer 26

consideration and a specific number of days the buyer has to eliminate

Question 27

How many days does a buyer have to terminate a contract if seller does not provide a sellers property disclosure by the notice to

Answer 27

The contract to purchase states that if buyer does not receive the notice, buyer may terminate this contract at any time prior to closing and the earnest money will be refunded to the buyer. If seller delivers the notice, buyer may terminate this contract for any reason within 7 days after buyer recieves the notice or prior to the closing, whichever first occurs, and the earnest money will be refunded to buyer

Question 28

property obtained before marriage

Answer 28

separate property

Question 29

property obtained after marriage

Answer 29

community property

Question 30

urban homestead

Answer 30

limited to 10 acres with improvements

Question 31

rural homestead

Answer 31

limited to 100 acres for a single person and 200 acres for a family

Question 32

non-judicial

Answer 32

Bank can foreclose without going to court

Question 33

Tenants in common

Answer 33

co-ownership, interest passed to heirs upon death

Question 34

joint tenancy with right of survivorship

Answer 34

Interest passed to co owners upon death w/o going through probate

Question 35

Escheat

Answer 35

Goverments revisionary right to abandoned property or property of intestate owners with no heirs, property may revert to the state

Question 36

variance

Answer 36

a variance is requested when a property owner wants to vary or deviate from building codes or build into a setback to prevent economic hardship

Question 37

elements of a valid contract

Answer 37

1: competent parties
2: offer and acceptance
3: Legal purpose
4: consideration
5: in writing and signed

Question 38

statute of fraud

Answer 38

requires certain contracts for the transfer of real estate in writing to be enforceable

Question 39

types of listings

Answer 39

exclusive right to sell listing

exclusive agency listing

open/non-exclusive listing

Question 40

agency

Answer 40

a fiduciary relationship that results when one party (principle) gives another party (agent) the authority to act on the principals behalf to transact business