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TEXAS REAL ESTATE CHAMPIONS BROKERAGE SAE
EXAM|REAL 220+QUESTIONS&ANSWERS|ALREADY
GRADED A+|TEXAS REAL ESTATE BROKERAGE SAE
EXAM 2025- 2026
According to the U.S. Census Bureau, the largest age demographic in the country is those over years of age. Thisdemographic, by and large, will continue to have significant influence in all industries and markets. That said, those in the Millennial Generation are poised to take over as the leaders ofindustry. - ANSWER: 65 action plan - ANSWER: The written action plan will outline the steps,approaches and resources that will be used to fulfill the objectives. AGENCY AND REPRESENTATION - ANSWER: AGENCY AND REPRESENTATION .In real estate, an agency relationship is created with a seller or landlord when the selleror landlord authorizes the broker to seek a buyer or tenant AGENCY AND REPRESENTATION - ANSWER: The most desirable method of creating an agency relationship with a buyer, seller, landlord or tenantis to do so in writing. While oral agency agreements are valid in Texas, they are generally not enforceable. ALHS Accredited Luxury Home Specialist Designation – ANSWER: Accredited Luxury Home Specialist (ALHS) Designation Give your clients confidence that you have been well trained in selling theirluxury homes with the designation that
gives you an edge on the high end real estate market. AMERICANS WITH DISABILITIES ACT The ADA - ANSWER: AMERICANS WITH DISABILITIES ACT The ADA is an expansive law that affects almost all public accommodations, including retail stores, real estate offices, concertvenues, government buildings, professional offices, restaurants, bars and hotels, just to name a few. AMERICANS WITH DISABILITIES ACT The ADA - ANSWER: Because violation of the law is considered a civiloffense, there are no criminal penalties for violations of fair housing laws. AMERICANS WITH DISABILITIES ACT The ADA - ANSWER: REQUIREMENTS FOR NEW BUILDINGS In buildings that are ready for first occupancy after March 13, 1991, and have anelevator and four or more units: Americans with Disabilities Act (ADA) - ANSWER: prohibits discriminationagainst those with disabilities by denying them the full and equal enjoyment of goods, facilities, accommodations,services andprivileges. Analytics - ANSWER: Collect and track digital data from websites, appsand offline repositories
compensation is binding upon Seller and Seller's heirs, administrators, executors, successors, and permitted assignees. Blockbusting - ANSWER: Blockbusting is any attempt to induce panicselling in a neighborhood for financial gain board of directors - ANSWER: Board of Directors to oversee the affairs ofthe corporation Broker Associate - ANSWER: Broker Associate - a broker associated withand conducting all or part of his or her business as an agent of another broker. Broker of Record - ANSWER: Broker of Record - may be the owner of thebrokerage, or another broker who is hired for the position. Brokers must maintain written policies and procedures that meet TRECminimum
requirements - ANSWER: TREC Rules 535.2(i)
Budget - ANSWER: According to the text, the three main categories thatshould be addressed during the planning phase are: operational planning, , and time planning Business plan - ANSWER: Business plan - the major determinants of thereal estate industry BUYER REPRESENTATION AGREEMENTS - ANSWER: Elements of a buyer representation file should include the following:
- General characteristics of the property search (market area)
- Buyer's and broker's obligations
- Term of the agreement
- Broker's duties to clients and customers
- Compensation agreement
- Consent for broker to represent other buyers
- Fair-Housing language
- Signatures of the parties
- Intermediary consent BUYER REPRESENTATION AGREEMENTS - ANSWER: The agreement that buyers sign allowing a broker to represent them is called a Buyer/Tenant Representation Agreement. Like the listing agreement with a seller, this should be inwriting CAN SPAM ACT OF 2003 The Can Spam Act (Public Law No. 108-187) - ANSWER: CAN SPAM ACTOF 2003 The Can Spam Act (Public Law No. 108-187) of 2003 is a commonly used name for theFederal law more formally known as the "Controlling the Assault of Non-Solicited Pornography and Marketing Act of 2003." The law took effect on January 1, 2004. CBA - ANSWER: certified business appraiser CHMS Certified Home Marketing Specialist Designation - ANSWER: Certified Home Marketing Specialist (CHMS)Designation Help your clients prepare their homes for sale with this designation dedicated to marketing dialogue
shareholders. The individual assets of the shareholders may not be used to satisfy the judgment of a creditor CoStar - ANSWER: Commercial real estate website similar to a residentialMLS DAMAGES - ANSWER: DAMAGES When a real estate license holder is sued, it tends to be due to an action under theDTPA. A lawsuit brought about under DTPA has the potential for treble damages if the trier of fact,whether judge or jury, believes that the agent knowingly or intentionally meant to deceive the consumer. DBA - ANSWER: DBAs must be registered in the county in which thebusiness is located as well as the state DBA - ANSWER: Doing Business As DECEPTIVE TRADE PRACTICES AND CONSUMER PROTECTION - ANSWER: DECEPTIVE TRADE PRACTICES AND CONSUMER PROTECTION The Deceptive Trade Practices Act (DTPA) is a Texas law that was passed in 1973. It allowsan aggrieved consumer to sue a seller of goods for damages. DECEPTIVE TRADE PRACTICES AND CONSUMER PROTECTION DTPA - ANSWER: Goods — are defined as tangible chattels (real property istangible when purchased or leased. Under DTPA, the sale of a house is considered a good).
- Services — means work, labor, or repair of goods. Brokerage is a service.
- Consumer — an individual, corporation, partnership, or government source who seeks to acquire or purchase the goods or services. DEFENSES - ANSWER: DEFENSES The State of Texas requires that most sellers of residential property provide a Seller'sDisclosure of Condition of Property to a potential buyer. DISCLOSURE OF RELATIONSHIP WITH RESIDENTIAL SERVICE COMPANY - ANSWER: DISCLOSURE OF RELATIONSHIP WITH RESIDENTIAL SERVICE COMPANY Many brokerages have relationships with Residential Service Companies. TREC FormRSC- 2 should be used in any instance where your brokerage has a relationship with such acompany, to meet disclosure requirements and avoid creating liability. Residential Service Companies are commonly referred to as home warranty companies. Buyers DISCLOSURE OF REPRESENTATION - ANSWER: DISCLOSURE OF REPRESENTATION At the first contact with a party to a potential transaction, a license holder must discloseto that party whom he or she represents. Disruption of business, in the conventional sense, has been perceived to be a negative occurrence, often resulting in lost sales and profits. - ANSWER: "disruption". DO-NOT-CALL IMPLEMENTATION ACT OF 2003 - ANSWER: DO-NOT-CALL
due diligence - ANSWER: Due diligence is an absolute necessity. The more potential business owners can learn about an existing business, the more they willbe positioned to make informed decisions. during periods of declining economic activity or rising interest rates, the amount of work for brokers and agents will - ANSWER:slow and employment may decline. ELEMENTS OF A LISTING AGREEMENT - ANSWER: • Agency relationships
- Brokerage fees
- Property condition
- Relationships with buyers
- Market value of the property being listed
- Local market conditions
- The 3% category of entrepreneurs earn 10x as much as the other 97% of the entrepreneurs. - ANSWER: • The 3% category of entrepreneurs earn 10x asmuch as the other 97% of the entrepreneurs. 6 months to 2 years' worth - ANSWER: How much cash reserves doindustry experts recommend new brokerages have available for operating expenses? A sales agent shall not maintain a trust account. Any trust money received by a salesagent must be immediately delivered to the sales agent's sponsoring broker. - ANSWER: A sales agent shall not maintain a trust account. Any trust money receivedby a sales agent
must be immediately delivered to the sales agent's sponsoring broker. A state law that applies to unfair competition - ANSWER: A state law thatapplies to unfair competition is the Texas Free Enterprise and Antitrust Act, which is enforced by the Texas Attorney General. ABR Accredited Buyer's Representative - ANSWER: Accredited Buyer's Representative (ABR) Designation Show your buyers that you are an expert in the field with the designation that is solely dedicated to the buyer's representative. According to the Harvard Business School, 3% of entrepreneurs have handwrittengoals, 13% have goals, but do not write them down. 84% have not ventured into the realm of goals. - ANSWER: According to the Harvard Business School, 3% of entrepreneurshave handwritten goals, 13% have goals, but do not write them down. 84% have not ventured into the realm of goals. Entire Agreement - ANSWER: Entire Agreement: This Listing is the entireagreement of the parties and may not be changed except by written agreement. Errors and Omissions insurance - ANSWER: Errors and Omissionsinsurance - contract between an insurance company and the broker EXCLUSIVE AGENCY - ANSWER: EXCLUSIVE AGENCY In an exclusive agency listing, the seller agrees to list the property with only one brokerduring the listing term, with the provision that the seller can sell the property himself or herself,without
FACTA is enforced by the Federal Trade Commission (FTC) - ANSWER:FACTA is enforced by the Federal Trade Commission (FTC) Fair Housing Act - ANSWER: Fair Housing Act - If an individual feels he orshe has been discriminated against, the individual may file a complaint with the Texas Workforce Commission Civil Rights Division, HUD, the courts, or with the U.S. AttorneyGeneral. The complaint must be filed within two years of the alleged act. Fair Housing Act - ANSWER: Fair Housing Act. No one may take any of thefollowing actions based on race, color, national origin, religion, sex, familial status or handicap in the sale or rental of housing Fair Housing Act - ANSWER: PENALTIES Penalties for violation of the act are up to $75,000 for the first violation, and up to $150,000 for subsequent violations. FAIR HOUSING LAWS - ANSWER: FAIR HOUSING LAWS It prohibits discrimination on the basis of race, religion and national origin. Gender was added as a protected class in 1974, followed by physical handicapand familial status in 1988. Familial status protection - ANSWER: Familial status protection alsoapplies to pregnant women and anyone securing legal custody of a child under 18. Housing for older persons is exempt from the prohibition against familialstatus discrimination if:
- HUD has determined that it is specifically designed for and occupied by elderlypersons under a federal, state or local government program or
- It is occupied solely by persons who are 62 or older
- It houses at least one person who is 55 or older in at least 80 percent of the occupiedunits, and adheres to a policy that demonstrates an intent to house persons who are 55 or older. FBN - ANSWER: Fictitious Business Name FEDERAL FAIR HOUSING LAWS - ANSWER: FEDERAL FAIR HOUSINGLAWS The first federal fair housing law was the Civil Rights Act of 1866, which prohibits discrimination in housing based on race or color
can be remembered by using the acronym OLDCAR franchise - ANSWER: The most common reason real estate brokerschoose to join a franchise is name recognition FTC - ANSWER: Penalties The FTC fines telemarketing companies up to $16,000 for each call to a member of theDo-Not- CALL list general partner - ANSWER: The general partner is responsible for day-to-day operations of the business and has full liability. At least one general partner is required in a limited partnership. The general partner is most often the "promoter" whobrought the limited partners into the venture Goals should be measurable attainable, and reviewed often. - ANSWER:Goals should be measurable attainable, and reviewed often. Goods - ANSWER: tangible chattel
Governing Law: - ANSWER: Governing Law: Texas law governs theinterpretation, validity, performance, and enforcement of this Listing. Identity theft - ANSWER: Identity theft - when someone steals yourpersonal information and uses it to open accounts Illegal boycott - ANSWER:. An illegal boycott is an agreement among twoor more competitors not to do business with another competitor for the purpose of inducing the other competitor to change its business practices. Illegal boycott - ANSWER: an agreement between competitors notto do business with another competitor in order to make him or her change business practices Illegal boycott - ANSWER: Illegal group boycotts often arise in real estateadvertising Informal Proceedings TREC - ANSWER: Informal Proceedings TREC is also required to adopt procedures governing informal disposition of contested cases. An informal disposition must provide the complainant and the license holder the opportunity to be heard. INFORMATION ABOUT BROKERAGE SERVICES - ANSWER: A substantive discussion doesnot
INTEGRITY - ANSWER: INTEGRITY
A real estate broker or sales agent has a special obligation to exercise integrity in the discharge of his or her responsibilities, including employment of prudence and cautionso as to avoid misrepresentation, in any way, by acts of commission or omission. Is the Facebook group itself an actual violation of anti-trust laws? - ANSWER: No jargon, disruption means to break free from convention and shake up routines and habits, changing the way that a business has traditionally thought and behaved inthe past in order to innovate. It is through disruption that new markets can be discovered, newproducts created, and new values established. Innovation through disruption can displace the more established firms that have long possessed the highest market share. - ANSWER:jargon, disruption Joint and Several - ANSWER: Joint and Several: All Sellers executing thisListing are jointly and severally liable for the performance of all its terms. joint venture - ANSWER: A group of individuals who have joined togetherfor a single business venture JUNK FAX PREVENTION ACT OF 2005 The Telephone Consumer Protection Act (TCPA) - ANSWER: JUNK FAXPREVENTION ACT OF 2005 The Telephone Consumer Protection Act (TCPA), 47 USC § 227, restricts the use of thefacsimile machine to deliver unsolicited advertisements. Specifically, the TCPA prohibits the useof "any
telephone facsimile machine, computer, or other device to send an unsolicited advertisement to a telephone facsimile machine." less risk equals lower returns. - ANSWER: A general premise in investing - any kind of investing - is that less risk equals lower returns. limited liability company - ANSWER: limited liability company (LLC) isformed by filing articles of organization with the Texas Secretary of State and is governed by the Texas Limited Liability Company Act. LIMITED LIABILITY PARTNERSHIP A general partnership may elect to become a limited liability partnership by filing astatement
