Tennessee Real Estate Affiliate Broker Exam Practice Test
Frequently asked questions
How many Tennessee Real Estate Affiliate Broker Exam practice questions are here?+
A full bank of original Tennessee Real Estate Affiliate Broker Exam practice questions across the official content areas, weighted like the real exam, with explanations. Free, no signup.
What is the Tennessee Real Estate Affiliate Broker Exam exam like?+
A multiple-choice exam. Practice by topic here, then take the full timed mock exam to gauge readiness.
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No. Every question is 100% original, written from public primary sources with explanations. We never copy real exam questions or paid prep material.
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PrepPass practice is in English, 中文 and Español. The official exam is in English — switch the question language to English any time to rehearse the exact terminology you'll see on test day.
Sample practice questions
A few real questions from this free bank, with full explanations. Use the practice tool above for the whole set.
- 1. Property Ownership
A form of co-ownership in which two or more owners each hold an undivided interest with the right of survivorship is known as:
- a.Tenancy in common
- b.Joint tenancy
- c.Ownership in severalty
- d.A leasehold estate
Answer: b
Explanation: In a joint tenancy, co-owners hold equal, undivided interests and enjoy the right of survivorship: when one joint tenant dies, that share passes automatically to the surviving joint tenants rather than to heirs. Tenancy in common has no survivorship, and ownership in severalty is ownership by one person alone.
- 2. Valuation and Market Analysis
Which approach to value is generally the most reliable for appraising a single-family, owner-occupied home?
- a.The sales comparison approach
- b.The income approach
- c.The gross rent multiplier method
- d.The cost approach only
Answer: a
Explanation: The sales comparison approach compares the subject property to recently sold, similar properties and adjusts for differences. Because ample comparable sales usually exist for residential homes, it best reflects what a buyer would pay. The income approach suits rental and investment property, while the cost approach is most useful for new or special-purpose buildings.
- 3. Contracts
Under which legal doctrine must a contract for the sale of real estate be in writing to be enforceable?
- a.The parol evidence rule
- b.The statute of frauds
- c.The doctrine of laches
- d.The statute of limitations
Answer: b
Explanation: The statute of frauds requires certain contracts, including those for the sale of an interest in real estate, to be in writing and signed to be enforceable. The parol evidence rule limits use of outside evidence to change a written contract, and laches concerns unreasonable delay in asserting a right.
- 4. Agency
An agent's fiduciary duty to place the principal's interests above the agent's own and to avoid conflicts of interest is the duty of:
- a.Loyalty
- b.Accounting
- c.Disclosure
- d.Reasonable care
Answer: a
Explanation: Loyalty requires the agent to act solely in the principal's best interest and avoid self-dealing or conflicts of interest. Accounting concerns safeguarding and reporting the principal's money and property; disclosure requires sharing material facts. These are commonly summarized by the acronym OLD CAR.
- 5. Property Disclosures
Federal law requires sellers and landlords to disclose known lead-based paint hazards for residential housing built before:
- a.1968
- b.1978
- c.1988
- d.1992
Answer: b
Explanation: The federal Residential Lead-Based Paint Hazard Reduction Act requires disclosure of known lead-based paint and hazards, and delivery of an EPA pamphlet, for target housing built before 1978, the year residential lead paint was banned. Buyers must generally be given a 10-day period to test for lead.
- 6. Practice of Real Estate
Directing prospective buyers toward or away from particular neighborhoods based on their race or other protected class is an illegal practice known as:
- a.Blockbusting, which is legal with disclosure
- b.Steering, which is prohibited by fair housing law
- c.A permitted marketing strategy
- d.A RESPA requirement
Answer: b
Explanation: Steering is guiding buyers toward or away from neighborhoods based on a protected characteristic, limiting their housing choices. It violates the Fair Housing Act. Blockbusting (inducing panic selling) and redlining (denying loans by area) are separately prohibited practices.
- 7. Real Estate Calculations
A home sells for $300,000 and the total real estate commission is 6% of the sale price. What is the total commission?
- a.$1,800
- b.$18,000
- c.$15,000
- d.$24,000
Answer: b
Explanation: Commission equals sale price multiplied by the rate: $300,000 x 0.06 = $18,000. Be careful to convert the percentage to a decimal (6% = 0.06). This $18,000 is the total paid to the brokerages before any split between the listing and selling sides.
- 8. Tennessee License Law (T.C.A. 62-13)
Tennessee real estate licensing is administered by the Tennessee Real Estate Commission (TREC) under:
- a.Tennessee Code Annotated Title 62, Chapter 13
- b.U.S. Department of Housing and Urban Development regulations
- c.the bylaws of the National Association of REALTORS
- d.local multiple listing service rules
Answer: a
Explanation: TREC licenses and regulates real estate professionals in Tennessee under Title 62, Chapter 13 of the Tennessee Code Annotated. TREC handles licensing, education standards, and discipline; trade associations and the MLS do not license practitioners.
- 9. Tennessee Agency
Under Tennessee law, a licensee who does not represent either party but assists them in completing a transaction acts as a:
- a.Designated agent
- b.Facilitator (transaction broker)
- c.Dual agent
- d.Subagent
Answer: b
Explanation: Tennessee recognizes the 'facilitator,' sometimes called a transaction broker, who assists parties in a transaction without representing either as an agent. A facilitator does not owe the full fiduciary duties of an agent but must still be honest and disclose known adverse facts.
- 10. Tennessee Practice
Earnest money held by a Tennessee firm must be placed in a separate escrow or trust account and disbursed according to:
- a.The affiliate broker's personal discretion
- b.The terms of the agreement and TREC rules
- c.The buyer's verbal request only
- d.Whatever cash is on hand
Answer: b
Explanation: Tennessee firms must deposit earnest money in a separate escrow or trust account and may disburse it only as the purchase agreement and TREC rules allow. The principal broker is responsible for proper handling; commingling or improper disbursement is a violation.