Free Florida Real Estate Practice Exam

Q1.A sales associate is listing a home located within a community governed by a homeowners' association (HOA) in Florida. The seller has not yet provided the buyer with the HOA disclosure summary. Under Florida Statute 720, what is the consequence if the buyer does not receive the required HOA disclosure summary before signing the purchase contract?

• A.The contract is automatically void and the seller must pay a statutory fine to the HOA.
• B.The buyer may void the contract within three days after receiving the disclosure summary, or prior to closing, whichever occurs first.
• C.The buyer has 15 days after closing to rescind the contract and recover the full purchase price.
• D.The failure to provide the disclosure summary has no legal consequence as long as the buyer waives the right in writing at closing.

Q2.Under the Florida Brokerage Relationship Disclosure Act (F.S. 475.278), which of the following is the DEFAULT brokerage relationship when a licensee works with a buyer or seller in a residential transaction if no other relationship is established in writing?

• A.Single agent relationship
• B.Transaction broker relationship
• C.No-brokerage relationship
• D.Designated sales associate relationship

Q3.A Florida real estate sales associate receives a citation from the DBPR for a minor, technical violation of license law. Under the Florida disciplinary citation process in Chapter 455, F.S., and Rule 61J2, F.A.C., which of the following best describes the effect of the citation procedure?

• A.A citation results in automatic license revocation unless the licensee pays the fine and completes remedial education within 30 days
• B.A citation allows the DBPR to impose a fine for minor violations without a formal hearing, but the licensee may contest the citation and request a formal administrative proceeding
• C.A citation is equivalent to a formal administrative complaint and permanently becomes part of the licensee's public disciplinary record regardless of whether the licensee pays the fine
• D.A citation may only be issued by FREC after a probable cause finding, and it bypasses DBPR involvement entirely

Q4.Under the FHA, an assistance animal is:

• A.Only a service dog trained under the ADA
• B.A pet, subject to all pet rules and pet fees
• C.A service animal OR an emotional support animal that does work or provides emotional support related to a disability — not a pet under the FHA
• D.Only an animal certified by a federal registry

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.Under the federal Truth-in-Lending Act (TILA), the Annual Percentage Rate (APR) is best described as:

• A.The interest rate stated on the face of the promissory note
• B.The total dollar amount of interest paid over the life of the loan
• C.The true cost of credit expressed as a yearly rate, including fees and other loan costs
• D.The lender's prime rate adjusted for the borrower's credit score

Q7.A broker's salesperson is working with a buyer who has a Section 8 Housing Choice Voucher. The salesperson tells the buyer that the broker's office does not assist clients who use vouchers, citing the fact that source of income is not a protected class under the federal Fair Housing Act. As the supervising broker, what is the most critical issue you must address regarding this policy?

• A.The policy is fully lawful because the federal FHA does not list source of income as a protected class, and brokers have discretion to limit the clients they serve.
• B.The policy may constitute unlawful familial status or race discrimination under a disparate impact theory if voucher holders in your market are disproportionately members of federally protected classes, and the broker must evaluate whether the policy violates federal law or applicable state and local ordinances that prohibit source-of-income discrimination.
• C.The salesperson is correct that source of income is not federally protected, so the broker's only obligation is to ensure the policy is applied consistently to all voucher holders regardless of race or national origin.
• D.The policy is lawful as long as the broker provides written notice of the limitation to all prospective clients before entering into a brokerage agreement.

Q8.A team lead conditioning referrals and mentorship opportunities on personal social interactions with team members is an example of:

• A.Quid pro quo harassment in an internal professional hierarchy
• B.Hostile environment harassment between co-equal agents
• C.Third-party harassment by a client
• D.Neither — real estate teams are not covered by harassment law

Q9.Under the federal lead-based paint disclosure rule, how many days does a buyer have to conduct a lead-based paint inspection or risk assessment after signing a purchase contract for a pre-1978 home?

• A.5 days
• B.10 days
• C.30 days
• D.15 days

Q10.Which federal agency is primarily responsible for enforcing the Fair Housing Act?

• A.Federal Trade Commission (FTC)
• B.Consumer Financial Protection Bureau (CFPB)
• C.Department of Justice (DOJ)
• D.Department of Housing and Urban Development (HUD)

Q11.A property was purchased for $320,000 with a 20% down payment. The lender charges 2.5 discount points. The borrower also pays a 1% origination fee. What is the total dollar amount paid in points and origination fees at closing?

• A.$8,000
• B.$9,600
• C.$8,960
• D.$7,680

Q12.Marcus lists a property for a seller who is later determined to have been legally incompetent at the time of signing the listing agreement. What is the legal status of that contract?

• A.Void — the contract never had legal effect
• B.Fully enforceable — the other party relied on the contract in good faith
• C.Voidable — the incompetent party or their guardian can rescind it
• D.Suspended — it remains valid until a court rules otherwise

Q13.A mortgage broker refers all of its residential loan customers to a title company in which the mortgage broker holds an undisclosed 15% ownership interest. The mortgage broker argues no RESPA violation occurs because the title fees charged are within market range. As the supervising real estate broker whose affiliated licensees are sending buyers to this mortgage broker, which of the following most accurately describes the RESPA Section 8 analysis and your resulting supervisory obligation?

• A.A RESPA Section 8(a) violation exists regardless of fee reasonableness because any thing of value exchanged incident to a referral of settlement service business is prohibited unless an applicable exemption applies; the undisclosed ownership interest constitutes a compensated referral arrangement, and the supervising broker must immediately cease directing clients to that mortgage broker and implement written supervisory policies to prevent recurrence.
• B.No RESPA violation exists because Section 8 only prohibits cash kickbacks; an ownership interest in a referral recipient is a lawful affiliated business arrangement (AfBA) that requires no disclosure when the fees are market-rate.
• C.A RESPA violation exists only if the title company charges fees above the HUD-established maximum; because the fees are market-rate, the arrangement is permissible but the supervising broker should voluntarily disclose the relationship.
• D.RESPA Section 8 applies only to lenders and title companies, not to mortgage brokers or real estate brokers; therefore the supervising broker has no RESPA-based supervisory obligation in this scenario.

Q14.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

Q15.A lender denies a mortgage application from a married couple, citing the income of only the primary applicant and refusing to consider the co-applicant's part-time income because it is 'too variable to be reliable.' The couple believes this policy disproportionately affects women, who more commonly hold part-time positions. Which federal law is most directly implicated, and what is the correct standard a broker should communicate to the clients?

• A.The Equal Credit Opportunity Act (ECOA) is most directly implicated; lenders must consider all income from any source that the applicant chooses to disclose, and a blanket policy excluding part-time income can constitute unlawful discrimination on the basis of sex.
• B.The Fair Housing Act is the exclusive remedy because it prohibits discriminatory lending practices, and ECOA applies only to credit cards and auto loans, not mortgage transactions.
• C.The Truth in Lending Act (TILA) is most directly implicated because lenders must accurately disclose the basis for credit denial, but they retain full discretion to set underwriting criteria without restriction.
• D.The Community Reinvestment Act (CRA) is most directly implicated because it requires lenders to serve all segments of the community, including part-time workers.