Free State Section of the North Carolina Real Estate Broker License Examination Practice Questions

Sample Practice Questions

Try these 10 sample questions from the State Section of the North Carolina Real Estate Broker License Examination practice bank. Each includes the answer and explanation. Continue with the interactive practice above to review the full question set.

1. 1A North Carolina broker applicant completed the required prelicensing course 30 months before applying. Does the timing satisfy the statutory education window?

   1. A. Yes, because it was completed within three years before application
   2. B. No, it had to be completed within one year before application
   3. C. No, it had to be completed within two years before application
   4. D. Yes, because the window is five years

   Answer: A

   Explanation: G.S. 93A-4(a) requires completion "within three years preceding the date the application is made." Thirty months is inside that period.

   Reference: Ncgs Chapter 93 a — G.S. 93A-4(a)

2. 2When must an owner's brokerage-services agreement be written and signed?

   1. A. At formation of the agreement
   2. B. At first substantial contact
   3. C. When an offer is delivered
   4. D. When a purchase writing is executed

   Answer: A

   Explanation: Rule .0104(a) requires the owner agreement to be written and signed "at the time of its formation."

   Reference: 21 Ncac Chapter 58 Rules — 21 NCAC 58A .0104(a)

3. 3A vendor offers a broker a valuable rebate for an expense made on the principal's behalf. What is required before the broker accepts it?

   1. A. The principal's written consent
   2. B. The closing attorney's oral approval
   3. C. Disclosure only to the vendor
   4. D. Commission preapproval

   Answer: A

   Explanation: Rule .0109(a) prohibits receipt of more than nominal value "without the written consent of the licensee's principal."

   Reference: 21 Ncac Chapter 58 Rules — 21 NCAC 58A .0109(a)

4. 4How soon must a broker notify the Commission in writing after changing a residence address?

   1. A. Within 5 days
   2. B. Within 30 days
   3. C. Within 10 days
   4. D. At annual renewal

   Answer: C

   Explanation: Rule .0103(b) requires notice of each listed change "within 10 days of said change."

   Reference: 21 Ncac Chapter 58 Rules — 21 NCAC 58A .0103(b)

5. 5What is North Carolina's deed excise-tax rate on consideration or value conveyed?

   1. A. $1 per $500 or fraction
   2. B. $1 per $100 or fraction
   3. C. $2 per $500 or fraction
   4. D. $1 per $1,000 or fraction

   Answer: A

   Explanation: G.S. 105-228.30(a) sets "one dollar ($1.00) on each five hundred dollars ($500.00) or fractional part thereof."

   Reference: Ncgs Chapter 105 — G.S. 105-228.30(a)

6. 6Which property description must a broker's preprinted sales form require?

   1. A. A legal description sufficient to distinguish the property
   2. B. Only the street address
   3. C. Only the tax parcel number
   4. D. Only the subdivision name

   Answer: A

   Explanation: Rule .0112(a)(2) requires "a legal description of the real property sufficient to identify and distinguish it from all other property."

   Reference: 21 Ncac Chapter 58 Rules — 21 NCAC 58A .0112(a)(2)

7. 7How may a residential landlord safeguard a tenant security deposit under G.S. 42-50?

   1. A. Deposit it in a qualifying trust account or furnish a licensed-insurer bond
   2. B. Keep it in the landlord's operating account
   3. C. Deliver it to the clerk of court
   4. D. Pay it to the landlord's lender

   Answer: A

   Explanation: G.S. 42-50 requires deposit in a qualifying trust account, "or the landlord may, at the landlord's option, furnish a bond from an insurance company licensed to do business in North Carolina."

   Reference: Ncgs Chapter 42 — G.S. 42-50

8. 8The Residential Property Disclosure Act generally covers a sale of how many dwelling units?

   1. A. Only exactly one unit
   2. B. Two through eight units
   3. C. Five or more units
   4. D. Not less than one nor more than four units

   Answer: D

   Explanation: G.S. 47E-1 applies to residential real property "consisting of not less than one nor more than four dwelling units."

   Reference: Ncgs Chapter 47 E — G.S. 47E-1

9. 9What is the minimum age for an individual applying for a North Carolina real estate broker license?

   1. A. 19
   2. B. 18
   3. C. 21
   4. D. 20

   Answer: B

   Explanation: G.S. 93A-4(a) states, "Each applicant for a license as a real estate broker shall be at least 18 years of age."

   Reference: Ncgs Chapter 93 a — G.S. 93A-4(a)

10. 10A buyer agency relationship is initially nonexclusive. By what latest event must its agreement be written and signed?

    1. A. The first property inquiry
    2. B. One party makes an offer to another
    3. C. The first showing
    4. D. The inspection

    Answer: B

    Explanation: Rule .0104(a) sets the deadline "not later than the time one of the parties makes an offer to purchase, sell, rent, lease, or exchange real estate to another."

    Reference: 21 Ncac Chapter 58 Rules — 21 NCAC 58A .0104(a)