Free Delaware Real Estate Practice Exam

Q1.The Delaware Real Estate Commission has the authority to establish continuing education (CE) requirements for license renewal. Under current Delaware regulations, how many hours of CE must a broker complete per biennial renewal period?

• A.21 hours
• B.12 hours
• C.30 hours
• D.6 hours

Q2.Under Delaware Real Estate Commission regulations, a broker who wishes to formally contest a Notice of Charges issued by the Commission must request a hearing within how many days of receiving the notice?

• A.20 days
• B.5 days
• C.60 days
• D.45 days

Q3.A Delaware property manager refuses to show rental units in a predominantly white neighborhood to qualified applicants who are of Asian descent, claiming it is to maintain the 'character' of the community. Which Delaware law, in addition to the federal Fair Housing Act, directly prohibits this conduct?

• A.Delaware Residential Landlord-Tenant Code, Title 25
• B.Delaware Fair Housing Act, found within the Delaware Code
• C.Delaware Consumer Fraud Act, Title 6
• D.Delaware Human Relations Commission enabling statute only applies to employment, not housing

Q4.A seller in Delaware provides a completed Seller's Disclosure of Real Property Condition form to the buyer. After the buyer reviews the form, the buyer discovers a material defect not mentioned in the disclosure. Under Delaware law, what is the buyer's remedy?

• A.The buyer may rescind the contract within a reasonable time after discovering the undisclosed defect
• B.The buyer has no remedy because the seller signed the disclosure form
• C.The buyer must notify the Delaware Real Estate Commission before taking any legal action
• D.The buyer's only remedy is to request a price reduction through the listing agent

Q5.Which type of estate gives the holder the most complete ownership rights in real property?

• A.Life estate
• B.Fee simple defeasible
• C.Fee simple absolute
• D.Leasehold estate

Q6.A property manager in Delaware refuses to show available rental units to a prospective tenant because of the tenant's perceived mental disability. Under Delaware law, this action most likely violates:

• A.Only the federal Fair Housing Act, because Delaware has no separate disability protection
• B.Both the federal Fair Housing Act and Delaware's anti-discrimination housing statutes
• C.Only Delaware law, because mental disabilities are not covered by federal law
• D.No law, because a property manager has discretion in tenant selection

Q7.Under the Equal Credit Opportunity Act (ECOA), which of the following information can a lender legally request from a loan applicant?

• A.Whether the applicant plans to have children in the future
• B.The race of the applicant for monitoring purposes with voluntary disclosure
• C.The applicant's marital status when applying for a joint account
• D.The applicant's age if they appear to be under 25

Q8.Under Delaware Real Estate Commission rules, a broker who wishes to operate a branch office must ensure which of the following?

• A.The branch office may operate under the supervision of a licensed salesperson with at least three years of experience
• B.Each branch office must be managed by a licensed broker or associate broker designated to supervise that location
• C.Branch offices do not need separate licenses as long as they share the same business name as the main office
• D.Branch offices are prohibited under Delaware law; all transactions must be conducted from the principal office

Q9.Which of the following practices is expressly prohibited under Delaware Code Title 24, Chapter 29 as a standard of conduct violation by a licensee?

• A.Representing to a buyer that a property has no known defects when the licensee is aware of material defects
• B.Disclosing agency relationships to all parties at the first substantive contact
• C.Referring a client to a home inspector without receiving a referral fee
• D.Advertising a property on a licensed broker's website

Q10.Under Delaware Code Title 24, Chapter 29, a licensed broker discovers that one of their affiliated salespersons has been collecting earnest money deposits and depositing them into the salesperson's personal bank account rather than the broker's escrow account. Which of the following best describes the broker's statutory exposure and primary obligation under Delaware law?

• A.The broker bears supervisory liability and must immediately deposit the funds into a properly designated escrow account, report the violation to the Delaware Real Estate Commission, and may face license discipline for failing to supervise.
• B.The broker has no liability because the salesperson acted independently, and the Commission can only discipline the salesperson directly.
• C.The broker must notify the affected buyer but has no obligation to report the matter to the Delaware Real Estate Commission unless a formal complaint is filed.
• D.The broker's only obligation is to terminate the salesperson's affiliation; no escrow correction or Commission reporting is required.

Q11.Which of the following is NOT a protected class under the federal Fair Housing Act?

• A.Income level or source of income (e.g., housing vouchers)
• B.Race
• C.National origin
• D.Religion

Q12.Two friends purchase an investment property as joint tenants. One friend dies. What happens to her ownership interest?

• A.Her interest passes to her heirs through her estate
• B.Her interest is split equally among all surviving relatives
• C.Her interest is sold by the estate and proceeds distributed
• D.Her interest automatically transfers to the surviving joint tenant through the right of survivorship, bypassing probate

Q13.When reviewing a title insurance policy, which of the following risks would typically NOT be covered by a standard owner's title insurance policy?

• A.A previously undisclosed easement that affects the property's use
• B.Forged signatures on a deed in the chain of title
• C.An outstanding mortgage that was not properly satisfied of record
• D.Environmental contamination from a prior owner's activities

Q14.A recent Arizona Court of Appeals decision held that a buyer's agent who verbally promises 'this property will appraise at list price' may be liable for:

• A.Nothing — verbal opinions are protected as puffery
• B.Criminal fraud under A.R.S. § 13-2310 automatically
• C.A strict liability claim without proving intent or negligence
• D.Negligent misrepresentation if the agent lacked a reasonable basis for the statement

Q15.Under the Delaware Real Estate Commission's rules on commingling, which of the following actions by a broker is expressly prohibited?

• A.Keeping a separate ledger for each client's trust funds within the escrow account
• B.Depositing the broker's own personal funds into the client trust account to cover a bank service charge
• C.Maintaining the trust account at a federally insured financial institution located in Delaware
• D.Providing written notice to clients identifying the financial institution where their funds are held