WASHINGTON REAL ESTATE BROKER & MANAGING
BROKER LICENSING QUESTIONS AND CORRECT
ANSWERS (VERIFIED ANSWERS) PLUS RATIONALES
2025
- What federal law prohibits discrimination in housing based on race,
color, religion, sex, familial status, or national origin?Fair Housing Act
Rationale: This is Title VIII of the Civil Rights Act of 1968, known as
the Fair Housing Act.
- Which entity administers the Washington State real estate licensing
program?Washington State Department of Licensing (DOL)
Rationale: The DOL Real Estate Program regulates licensing,
examinations, and enforcement.
- A broker must deposit earnest money into their trust account by when
under WA law?One business day after acceptance 1 / 3
Rationale: Washington requires deposit no later than the close of the
second business day.
- The legal rule limiting use of property to a particular use (e.g.,
residential vs. commercial) is called:
Zoning
Rationale: Zoning ordinances divide areas into permitted uses.
- Who must sign the agency disclosure in a real estate transaction?
All parties (seller/buyer and broker)
Rationale: Washington law mandates written disclosure to both
clients and customers.
- A managing broker may supervise how many non-managing brokers?
No statutory limit
Rationale: WA law does not cap the number; it's based on the
broker’s capacity and company policy.
- What is the standard commission rate in WA?
There is no standard rate
Rationale: Commissions are negotiable between broker and client.
- A licensee’s trust account records must be retained for how long?
Three years
Rationale: Washington requires maintenance of trust account
records for at least three years. 2 / 3
- RESPA disclosure applies to which type of transactions?
1–4 unit residential with federally related financing
Rationale: The Real Estate Settlement Procedures Act governs those
transactions.
- An adjustable-rate mortgage with an initial interest-only
payment period is called:
Option ARM
Rationale: Option ARMs allow interest-only or negative amortization
payments.
11. A property’s physical deterioration requiring repair is known as:
Physical depreciation
Rationale: Physical deterioration refers to actual wear and tear.
- A property assessed at $200K with a 1% levy raises how much?
$2,000
Rationale: 1% of $200,000 = $2,000 in property taxes.
- A broker listed a property and then advertised it off-market to
friends; this is:
Blockbusting
Rationale: Steering clients based on race, religion, etc., is illegal
under Fair Housing.
- Washington’s real estate recovery fund max payout per licensee
is:
- / 3