The Complete Guide to Passing Your Real Estate Sales License Exam on the First Attempt: Everything You Need to Know Explained Simply »

Taking a real estate sales license exam is tough. But what if we told you that you can pass on your first try? Our guarantee: If you do not pass your test on the first try, return this book within 30 days, and we will refund the purchase price. Tests change over time, but this book is the very latest published on the subject; do not be fooled by out-of-date material.

In a January 2007 study, it was found that 4,306 candidates for a real estate sales associate license sat for the exam. Those who were taking the exam for the first time (1,891) had a pass rate of 44 percent, a little below the previous year’s average pass rate of 46 percent. Retesting statistics are even worse: 72 percent of the 2,415 sales associate candidates retaking the exam failed. Do not be one of the statistics. You can pass the exam on the first try with the help of this new book.

This valuable new book presents a clear and complete overview of all the main topics covered on the real estate salesperson examination and gives exam applicants the information and tools they need to successfully pass the exam — on the first attempt. You will improve your test taking skills by completing the included sample test. Subjects covered include real estate legal issues, encumbrances, real estate law, financing real estate purchases, leasing, escrow accounts, contracts and legal documents including leases, taxes and taxation, land descriptions, and real estate math, terms, and definitions.

Foreword 9

Preface 11

History Behind Licensing 11

A Profession Is Born 12

Chapter 1 Preparing for Your Exam 13

Understanding Licensing Requirements 13

Examinations 14

State Questions 15

Testing Formats 16

Difference Between Sales Agent & Broker 17

What Is a Realtor&Reg;? 17

What to Take to Your Exam 18

Preparing for the Exam 19

Tips to Manage Test Anxiety 20

Test-Taking Strategies 21

Arriving at the Exam 22

Mastering the Real Estate Exam 23

Additional Tips 24

Chapter 2 Real Estate Practices & Principles 27

Real versus Personal Property 27

Land Descriptions 33

Contracts and Deeds 34

Purchase and Sale Agreements 38

Deeds 44

Leases & Property Management 49

Property Management Basics 53

Real Estate Brokerage 55

Marketing Strategies and Basics 59

Land Development and Construction 62

Chapter 3 Real Estate Law 71

Real Estate Law & Regulations by State 71

Basics Of License Law 72

Contracts & Legal Documents 76

Federal Fair Housing Law 80

Truth in Lending Act (a.k.a. "Regulation Z") 84

Advertising Disclosure Requirements 86

Property Disclosures & Transferring Ownership 87

Chapter 4 Real Estate Finances (Mortgages) 91

Taxes/Taxation 92

RESPA (Real Estate Settlement and Procedures Act) 93

Controlled Business Arrangement (CBA) 94

Computerized Loan Originations (CLO) 95

Mortgage Basics & the Loan Process 98

Special/Customizable Financing Arrangements 108

Chapter 5 Real Estate Appraisal 117

When an Appraisal is Suggested or Needed 120

Value Elements 121

Appraisal Basics 123

Market (or Comparison) Approach 131

Income Approach 131

Cost Approach 132

Chapter 6 Math Review for the Real Estate Professional135

Decimal 135

Fractions 137

Percent 141

Measurement of Distance, Area, & Volume 143

Area 144

Volume 146

Perimeter 149

Formulas and Formula Aids 150

Other Mathematics Notes & Useful Terms 151

Answers To Math Review Questions: 157

Chapter 7 Sample Tests & Answer Keys 159

National Practice Exam #1 159

National Practice Exam #2 185

Answers for Practice Exam #1 211

Answers for Practice Exam #2 219

Chapter 8 Decreasing Anxiety & Maintaining a Positive Attitude 227

Advice on Being & Staying Positive 227

Conclusion 233

Glossary 237

Appendix: State Real Estate Commissions & Bureaus 325

Bibliography 331

Author Biography 333

Index 335