National PSI Broker Exam Prep

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National PSI Broker Exam Prep Questions and Answers | Latest Version | 2025/2026 | Correct & Verified

Which type of listing agreement allows the seller to work with multiple brokers and only pay commission to the one who brings a buyer?

• Exclusive agency

✔✔ B. Open listing

• Exclusive right to sell
• Net listing

What is the primary duty of a broker to a buyer-client in a fiduciary relationship?

• Loyalty to the seller

✔✔ B. Obedience to lawful instructions

• Advertising the property
• Collecting rent

Which of the following best describes a net lease?

• The tenant pays a fixed rent, and the landlord covers all expenses 1 / 4

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• The landlord pays property taxes only

✔✔ C. The tenant pays rent plus expenses like taxes and maintenance

• The lease is adjusted based on market fluctuations

What does the term "encumbrance" refer to in real estate?✔✔ A. A claim or liability attached to a property

• A new construction on vacant land
• The sales contract on a property
• A new mortgage

Which clause allows a lender to call the entire balance of a loan due if the borrower sells the property?

• Prepayment clause

✔✔ B. Due-on-sale clause

• Acceleration clause
• Subordination clause

A buyer deposits $5,000 as earnest money. What typically happens to that money? 2 / 4

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• It goes directly to the seller

✔✔ B. It is held in an escrow account

• It is used to pay commission
• It is returned after closing

Which document conveys title from seller to buyer in a real estate sale?

• Contract for deed
• Lease agreement

✔✔ C. Deed

• Mortgage

A real estate agent tells a buyer, “This is the best neighborhood in town,” without factual basis.

This is an example of:

• Steering

✔✔ B. Puffing

• Fraud
• Redlining
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What kind of estate provides the most complete form of ownership?✔✔ A. Fee simple absolute

• Life estate
• Leasehold estate
• Estate for years

Which of the following best defines a bilateral contract?✔✔ A. Both parties agree to do something

• One party promises, the other accepts
• Only one party has to perform
• The agreement is legally void

An owner gives an agent the authority to handle all real estate matters. This is an example of what type of agency?

• Special agency
• Implied agency

✔✔ C. General agency

• Dual agency
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