California Broker Exam Prep Edge California Practice Real Estate Exam Questions

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Below are eight free real estate practice exam questions that will closely resemble your California licensing exam. Review these questions and see what you know! The answers are provided beneath the question set.

1. James represented a client who believes James was guilty of misrepresentation. The client files a complaint against James. Which entity will investigate?

  1. A private investigator
  2. California DRE
  3. James’ broker
  4. The state attorney general

2. How many hours of continuing education must a California licensee complete in order to renew a real estate license?

  1. 135 hours
  2. 30 hours
  3. 45 hours
  4. 8 hours

3. Ruby just bought a few undeveloped acres in the California desert. Once she installs her manufactured home, she plans to obtain water for herself and her animals by digging a well to access the ______.

  1. Appropriated water
  2. Percolating ground water
  3. Public water source
  4. Riparian water

4. California licensee Renee makes sure she follows the DRE requirements when she prepares listing agreements and purchase agreements by ______.

  1. Destroying all documents carrying a client signature in a manner approved by DRE
  2. Giving a copy of the agreement to her client after it’s signed
  3. Maintaining the documents in the brokerage files for at least five years from the closing date
  4. Sending a copy of the agreement to DRE

5. Nadine is a busy California licensee. She receives an offer for one of her listings, conveyed to her by a buyer’s representative. What’s true Nadine’s obligation to others in this situation?

  1. "She must be loyal to her client, which means providing the buyer in this transaction with as little care and attention as possible.
  2. She owes everyone she comes in contact with, whether they are part of a transaction or not, the duty of reasonable skill and care.
  3. She owes her client the duty of reasonable skill and care and must treat the buyer with honesty and fairness.
  4. She owes her client the duty of utmost skill and care, and other principals in the transaction (such as the buyer making the offer on her listing) the duty of reasonable skill and care.

6. Your buyer clients Sylvie and Daryl reviewed their inspection report and decided that they would address small repairs themselves, but they want the seller to have regrading done to direct water away from the house. What is your responsibility at this point?

  1. You must identify three potential contractors from whom the sellers can select.
  2. You need to communicate to the listing agent that the buyers are requesting regrading.
  3. You need to send the report to the sellers and ask them what they’d be willing to fix.
  4. You should help the buyers gather tools and materials for the small repairs.

7. What is an advance fee agreement?

  1. A clause in a listing agreement that stipulates the amount of commission the broker is owed if the property sells.
  2. A fee the agent charges a client for services the agent expects to provide but haven’t yet been provided.
  3. The clause in a purchase agreement that describes money held in escrow, such as the buyer’s earnest money.
  4. The fee paid to the escrow officer who conducts the closing.

8. Which of the following is the most serious consequence of treating a customer as a client?

  1. Breaching your duty to your actual client
  2. Drumming up potential business
  3. Wasting your time
  4. Working for someone for free
Answers: 1. B, 2. C, 3. B, 4. B, 5. D, 6. B, 7. B, 8. A


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