Real estate agency and fiduciary duties
Review how agency relationships create duties such as loyalty, disclosure, reasonable care, confidentiality, and obedience to lawful instructions.
Free Texas exam prep practice
Prepare for the Texas Real Estate Salesperson exam with original practice questions, instant answer feedback, clear explanations, and no registration required.
Practice question
A Texas sales agent is preparing seller representation materials under a sponsoring broker. Which duty best fits the agency relationship?
Source-aware practice
This Texas page was reviewed against public Texas Real Estate Commission and Pearson VUE source material documented in the editorial source manifest. The practice set includes 40 original concept-review questions aligned to blueprint domains such as Texas licensing, TREC oversight, and sponsoring broker relationships; agency, disclosures, trust funds, advertising, and consumer protection; and contracts, property ownership, valuation, math, and closing concepts. Use the linked regulator or exam administrator resources to confirm current licensing requirements before testing.
These questions are original study material. They are not copied from official exams, recalled items, leaked sources, or answer-sharing sites.
Review details
Reviewed against public licensing guidance and exam outline information where available.
Last reviewed
2026-08-17
Licensing authority
Texas Real Estate Commission
Exam vendor
Pearson VUE
State-specific review topics
Study guide
Use this guide with the practice flow above. The goal is not to memorize answers, but to recognize how agency, disclosure, contract, financing, ownership, fair housing, and Texas licensing concepts appear in question form.
Review how agency relationships create duties such as loyalty, disclosure, reasonable care, confidentiality, and obedience to lawful instructions.
Focus on identifying known facts that could affect a buyer's decision, especially property condition issues and required transaction disclosures.
Practice offer, acceptance, consideration, competent parties, lawful purpose, contingencies, and other concepts that make real estate agreements enforceable.
Review loan-to-value, escrow, closing steps, earnest money, and how funds and documents move through a transaction.
Know the difference between deeds, title, ownership interests, valuation methods, and documents that do not transfer ownership.
Texas-focused review should include licensing responsibilities, advertising rules, fair housing, consumer protection, and regulator guidance.
Sample questions
Use these sample questions to check your readiness. Each one includes the correct answer and a short explanation. Start the interactive practice above to work through the full 40-question set with answer feedback and optional AI help.
Correct answer: A. Act with loyalty, reasonable care, and appropriate disclosure within the agency relationship
Explanation: Agency duties include loyalty, reasonable care, and appropriate disclosure. A Texas sales agent does not control lender approval, lender appraisals, or known material issues.
Correct answer: B. Address known material information through appropriate disclosure and broker guidance
Explanation: Known material property condition information should not be concealed. Disclosure obligations and sponsoring broker guidance help prevent misleading omissions.
Correct answer: C. Texas Real Estate Commission
Explanation: The Texas Real Estate Commission is associated with Texas real estate licensing and regulation. Other entities may affect transactions or property records, but they are not the state licensing commission.
Correct answer: D. Handle the funds according to contract terms, trust-account rules, and broker procedures
Explanation: Earnest money and similar entrusted funds require careful handling under the written agreement, trust-account requirements, and responsible broker procedures.
Correct answer: A. $10,500
Explanation: Multiply the sale price by 3%. $350,000 × 0.03 = $10,500.
Correct answer: B. Deed
Explanation: A deed is commonly used to transfer title to real property. Marketing materials and appointment records do not convey ownership interests.
Correct answer: C. Sales comparison approach
Explanation: The sales comparison approach estimates value by comparing the subject property with similar recently sold properties and adjusting for differences.
Correct answer: D. Fair housing discrimination concern
Explanation: Advertising a preference based on protected characteristics can create a fair housing issue. Neutral descriptions of property features are different from discriminatory preferences.
Correct answer: B. The agent generally conducts licensed activity through a sponsoring broker
Explanation: A Texas sales agent generally performs licensed real estate activity through a sponsoring broker. Broker sponsorship and supervision are key compliance concepts.
Correct answer: C. Escrow
Explanation: Escrow can hold funds or documents according to instructions until the transaction conditions for closing are met.
Common questions
No. They are original practice questions designed to review common real estate principles and Texas salesperson licensing concepts.
No. Basic practice questions, answer feedback, and explanations are available without login.
Yes. Rules can change, so confirm current requirements with the Texas Real Estate Commission or your prelicensing provider.