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A tenant installs a walk-in freezer bolted to the floor for a grocery store. What is it?

A
B
C
D
to track
2026 Statistics

Key Facts: Real Estate Exam

50-60%

First-Time Pass Rate

National average

80%+

Pass on 2nd Try

State data

$58,100

Median Agent Income

NAR 2025

1.45M

NAR Members

NAR 2025

46,300

Annual Job Openings

BLS

3-6 mo

Time to License

Average

The real estate national exam has a 50-60% first-time pass rate, meaning nearly half of candidates must retake it. Pass rates vary significantly by state: Minnesota has 78%, while Florida averages 46-55%. Over 80% pass on their second attempt. With 1.45 million NAR members and 46,300 annual job openings (BLS), real estate offers strong career opportunities. Median income is $58,100 (NAR 2025).

Sample Real Estate Practice Questions

Try these sample questions to test your Real Estate exam readiness. Each question includes a detailed explanation. Start the interactive quiz above for the full 7,257+ question experience with AI tutoring.

1A tenant installs a walk-in freezer bolted to the floor for a grocery store. What is it?
A.A fixture that automatically transfers with the property
B.A trade fixture that remains personal property if removed properly
C.An emblement because it is business-related
D.Personal property that can never be removed
Explanation: A walk-in freezer installed by a tenant for business use is a trade fixture, which stays personal property if removed before lease end and damage is repaired. A standard fixture that transfers would apply to an owner, not a commercial tenant. Emblements are annual crops, and the idea that it can never be removed is wrong because trade fixtures are removable with proper timing and repair.
2Which document is used to transfer a chandelier that the seller removes before closing?
A.Deed
B.Mortgage
C.Bill of sale
D.Title insurance policy
Explanation: Once the chandelier is removed, it becomes personal property through severance, so it transfers by bill of sale. A deed transfers real property interests, while a mortgage is a security instrument and not a transfer document. A title insurance policy insures against title defects; it does not convey ownership of personal items.
3Which fixture test is most important when there is a dispute?
A.Method of attachment
B.Adaptation
C.Intent
D.Relationship of the parties
Explanation: Intent is the controlling fixture test because courts focus on whether the parties meant the item to be permanent, and contracts can clarify that intent. Method of attachment and adaptation are evidence of intent but do not override clear agreements. Relationship of the parties matters for trade fixtures, yet intent still decides when the facts conflict.
4A tenant grows annual crops on rented farmland and the lease ends. What happens to the crops?
A.They automatically transfer to the landlord
B.They are emblements and can be harvested by the tenant
C.They are fixtures and must stay
D.They transfer only if the landlord agrees
Explanation: Annual crops grown by a tenant are emblements, treated as personal property so the tenant can harvest after the lease ends. They do not automatically transfer to the landlord unless the lease says so. Fixtures involve attached items like buildings, not crops, and landlord consent is not required when emblements apply.
5Which characteristic explains why two identical houses can sell for very different prices in different neighborhoods?
A.Immobility
B.Indestructibility
C.Area preference (situs)
D.Scarcity
Explanation: Area preference, or situs, explains why identical homes can sell for different prices because location influences demand, schools, transit, and neighborhood reputation. Immobility is true for all land but does not explain price differences between neighborhoods. Indestructibility and scarcity are general traits of land, yet they do not capture the quality of location.
6Which physical characteristic explains why land use planning and zoning are so important?
A.Uniqueness
B.Immobility
C.Scarcity
D.Improvement
Explanation: Immobility means land cannot be moved, so zoning and land use planning must manage how fixed locations are used. Uniqueness refers to differences among parcels, but it does not explain why governments must plan around fixed sites. Scarcity and improvement are economic traits, not the physical reason zoning is necessary.
7Which term describes the most profitable legal use of a property?
A.Externality
B.Highest and best use
C.Fixity
D.Conformity
Explanation: Highest and best use is the most profitable legal use that is physically possible and financially feasible, which matches the question. Externality is an outside influence on value, not a use analysis. Fixity describes permanence of investment, and conformity refers to fitting neighborhood character, both related but not the standard highest use test.
8A new light rail stop is planned near a neighborhood. This is an example of what type of externality?
A.Negative externality
B.Positive externality
C.Nonconforming use
D.Fixity
Explanation: A new light rail stop improves accessibility and typically increases demand, so it is a positive externality. A negative externality would be noise or pollution that reduces value. Nonconforming use relates to zoning changes, and fixity is permanence of investment, neither of which describes an outside improvement that lifts value.
9Which legal description method uses a recorded subdivision map with lot and block numbers?
A.Metes and bounds
B.Lot and block
C.Rectangular survey
D.Chain of title
Explanation: Lot and block uses a recorded subdivision plat with numbered lots and blocks, which matches the question. Metes and bounds relies on a point of beginning with bearings and distances, and rectangular survey uses township and range. A chain of title is the history of ownership, not a legal description method.
10A section in the rectangular survey system contains how many acres?
A.40 acres
B.160 acres
C.320 acres
D.640 acres
Explanation: A section in the rectangular survey system is one mile by one mile, which equals 640 acres. The smaller numbers listed are common fractions of a section, such as a quarter section at 160 acres. Choosing 640 shows you know the base unit before applying fractional descriptions. That base unit is always the starting point for section math.

About the Real Estate Exam

The national portion of the real estate salesperson exam covers property ownership, contracts, financing, valuation, agency relationships, and fair housing laws. Most states also have a state-specific portion.

Questions

80 scored questions

Time Limit

2 hours

Passing Score

70-75%

Exam Fee

$60-100 (PSI/Pearson VUE)

Real Estate Exam Content Outline

20%

Property Ownership

Real vs personal property, estates, encumbrances, and land use controls

20%

Contracts

Purchase agreements, listing agreements, and agency relationships

20%

Financing

Mortgages, loan types, FHA/VA programs, and loan qualification

20%

Valuation & Appraisal

Appraisal methods, market value, and property analysis

15%

Fair Housing

Protected classes, discriminatory practices, and civil rights laws

5%

Math Calculations

Commission, proration, loan calculations, and area measurements

How to Pass the Real Estate Exam

What You Need to Know

  • Passing score: 70-75%
  • Exam length: 80 questions
  • Time limit: 2 hours
  • Exam fee: $60-100

Keys to Passing

  • Complete 500+ practice questions
  • Score 80%+ consistently before scheduling
  • Focus on highest-weighted sections
  • Use our AI tutor for tough concepts

Real Estate Study Tips from Top Performers

1Master property ownership concepts - know the difference between freehold and leasehold estates
2Understand agency relationships and fiduciary duties thoroughly
3Learn fair housing protected classes and prohibited practices (steering, blockbusting, redlining)
4Practice math calculations - commission, proration, and area problems are common
5Know the three appraisal approaches: sales comparison, income, and cost

Frequently Asked Questions

How hard is the real estate exam?

The real estate exam has a national pass rate of about 50-60% on the first attempt. The key to passing is completing hundreds of practice questions and understanding concepts rather than memorizing. Focus on the national portion first, then study state-specific content.

What topics are on the real estate exam?

The exam covers property ownership, contracts, financing, valuation/appraisal, agency relationships, and fair housing laws. The national portion is the same across states, while state portions vary by location.

How long should I study for the real estate exam?

Plan for 60-100 hours of study over 4-8 weeks. Complete at least 500 practice questions and aim for 80%+ on practice tests before scheduling your exam.

What is the passing score for the real estate exam?

Most states require 70-75% to pass the national portion. Check your specific state requirements as passing scores vary. You typically need to pass both national and state portions.