Educational Resources: Take Massachusetts Real Estate Sample Tests, Application Steps and Tips

The Massachusetts real estate exam consists of 120 questions divided into two parts,¹ and you must answer 70% of the questions correctly in each to pass.

Real Estate Exam Breakdown

There are 80 questions in the national section (56 correct) and 40 questions in the state section (28 correct). You have 2.5 hours to take the national portion and 1.5 hours for the state portion.

Sections of the Exam

General/National Portion (11 Sections)

1. Property Ownership (10%)
   a. Real and Personal Property Conveyances
   b. Land Characteristics and Legal Descriptions
   c. Encumbrances and Effects on Property Ownership
   d.Types of Ownership
2. Land Use Controls (5%)
   a. Government Rights in Land
   b. Government Controls on Land Use
   c. Private Controls
3. Valuations (8%)
   a. Appraisals
   b. Estimating Value
   c. Comparative Market Analysis (CMA)
4. Financing (10%)
   a. Basic Concepts and Terminology
   b. Types of Loans
   c. Financing and Lending
5. Contracts (19%)
   a. General Contract Law
   b. Purchase and Lease Contracts
   c. Proper Handling of Multiple Offers and Counteroffers
6. Agency (13%)
   a. Agency and Non-Agency Relationships
   b. Agent Duties
   c. Agency Disclosures
7. Property Disclosures (7%)
   a. Property Condition
   b. Environmental and Government Disclosures
   c. Disclosure of Material Facts and Material Defects
8. Property Management (3%)
   a. Duties and Responsibilities
   b. Landlord and Tenant Rights and Obligations
9. Transfer of Title (6%)
   a. Types of Deeds
   b. Title Insurance and Searches
   c. Closing Process
   d. Special Processes
10. Practice of Real Estate (12%)
    a. Anti-discrimination
    b. Legislation and Regulations
    c. Duties and Responsibilities
11. Real Estate Calculations (11%)
    a. Calculations for Transactions
    b. General Concepts

State Portion (9 Sections)

1. Duties and Powers of the Board of Registration of Real Estate Brokers and Salespersons (5%)
   a. Examination of Records
   b. Sanctions
2. Licensing Requirements (10%)
   a. Activities Requiring a License
   b. Types of Licenses
   c. License Renewal and Continuing Education
   d. Board Notifications
3. Requirements Governing Licensees (33%)
   a. Advertising
   b. Broker/Salesperson Relationship
   c. Commissions
   d. Disclosures
   e. Agency and Non-Agency Relationships
   f. Handling of Documents
   g. Handling of Monies
   h. Home Inspectors-Licensee Responsibility
4. Contracts (5%)
   a. Offer to Purchase
   b. Purchase and Sale Agreement
   c. Leases
   d. Listing and Buyer Agreements
5. Consumer Protection Laws (10%)
   a. Property Disclosures
   b. Misrepresentation
   c. Privacy
   d. Sanctions and Enforcements
6. Environmental Issues and Hazardous Materials (10%)
   a. Lead
   b. Private Sewage Disposal
   c. Smoke and Carbon Monoxide Detection
   d. Wetlands and Rivers Protection
7. Massachusetts Fair Housing Law (10%)
   a. Protected Classes that Differ from Federal
   b. MA Specific Exceptions
   c. MA Commission Against Discrimination
   d. ADA and Other Accommodations
8. Landlord/Tenant Law (10%)
   a. Rental Deposits, Receipts, and Statements of Condition
   b. State Sanitary Code
   c. Short-Term Vacation or Recreational Rentals
9. Additional Topic (5%)
   a. Ownership
   b. Condominiums, Cooperatives, and Timeshares
   c. Registered Land

Sample Questions

1. A. Which of the following interests in property is held by a person who is granted a lifetime use of a property that will be transferred to a third party upon the death of the lifetime user?
   a. A life estate.
   b. A remainder estate.
   c. An estate for years.
   d. A reversionary estate.
2. Which of the following statements BEST identifies the meaning of the term, “rescission of a contract”?
   a. A ratification of a contract by all parties.
   b. A return of all parties to their condition before the contract was executed.
   c. A transfer or assignment of a particular responsibility from one of the parties to another.
   d. A review of the contract by the legal counsel of either party that may result in a cancellation without penalty or further obligation.
3. Which of the following clauses in a mortgage allows the lender to demand loan repayment if a borrower sells the property?
   a. Defeasance
   b. Prepayment
   c. Acceleration
   d. Alienation
4. How much cash MUST a buyer furnish in addition to a $2,500 deposit if the lending institution grants a 90% loan on an $80,000 property?
   a. $5,500
   b. $6,975
   c. $7,450
   d. None of the above
5. Which of the following single-family residences would get the MOST accurate appraisal by applying the reproduction cost approach to value?
   a. A rental property.
   b. A vacant property.
   c. A new property.
   d. A historic property

Answers:

1: a; 2: b; 3: d; 4: a; 5: d

How To Apply for a Commonwealth of Massachusetts Real Estate License in 5 Steps

Getting your real estate license in Massachusetts boils down to 5 easy steps!

Step 1: Pre-Licensing Education

Complete 40 hours of pre-licensing education at a school licensed by the Massachusetts Real Estate Board.

Step 2: Exam Application

Submit your licensing application. Upon successful completion of the pre-licensing course, you will receive a “Candidate Handbook” with a checklist of everything necessary for your application and instructions on how to register with PSI,¹ the test administrator used by the Real Estate Board.

What You Need:

1. Fees $54 Exam Fee and $31 Application Processing Fee
2. Current Picture
3. Proper course completion documentation. Be sure the documentation contains your full name, hours completed, course completed, and the school seal.
4. 3 Endorsements: They cannot be from anyone you met in a real estate school
5. Criminal Offender Record Information (CORI) acknowledgement form

PSI will simply return incomplete applications rather than contact you for the missing information, which will create additional delays. So check and double-check you submit everything required.

You can submit the application online or by mail.

Online Submission: [email protected]

By Mail:

PSI Examination Services
ATTN: Examination Registration MA RE
3210 E Tropicana Ave.
Las Vegas, NV 89121

Step 3: The Exam

Take the licensing exam. You must take the exam within 2 years of completing your pre-licensing education courses.

Results are available immediately. If you fail, you will be able to review all portions of the test.

You can retake as many times as you would like and must pay a $54 fee each time.

Step 4: Exam Results

If you pass the test, PSI will review your application on-site and will issue your wall certificate and license card on the spot.

Step 5: Sponsoring Broker

Find a sponsoring broker. Real estate salespersons cannot work on their own, and your license won’t officially be ‘active’ until you find a job with a sponsoring broker.

Membership Costs and Financial Obligations for the Commonwealth of Massachusetts Association of Real Estate Agents

Below are the list of membership fees:

• Pre-licensing education: $300 to $700
• Exam Fee: $54
• Application Processing Fee: $31
• Licensing Fee: $103 to $150 depending on your birth date plus a $12 administrative fee

Exercising Your Right To Apply for National Association of Realtors® (NAR) Membership

Many people use the terms ‘real estate agent’ and ‘realtor®’ as if they are one and the same, but they are not. The term ‘realtor®’ refers to an agent or broker who is a member of the National Association of Realtors® (NAR).

This is the largest trade group in the country.

Benefits:

• Greater prestige since NAR members are held to a higher code of conduct and ethics
• More extensive networking opportunities
• Exclusive access to a variety of insurance products such as dental, health and vision, home and auto
• Discounts on a variety of products and services such as travel, home, business, technology, and education

How To Apply:

You can become a member of NAR by joining a local association of realtors® affiliated with the organization. There are currently 9 in the state of Massachusetts.²

The NAR has developed a list of criteria for extending membership, but local associations may or may not adopt all or any of these criteria.

What’s the Typical Length of the Real Estate Application Process?

It can take anywhere from one to six months to earn your real estate license in Massachusetts. The primary influence on the time frame is how long you take to complete your pre-licensing education and how much time you choose to devote to studying for the exam, as per the protocols of the Massachusetts Realty Commission.

Once you submit your application to PSI, they typically review it within a matter of a few days to a few weeks.

Generally, most people take at least 3 months to complete the process.

Test results are available as soon as you finish the exam, and as mentioned earlier, if you pass, your license materials will be issued right then and there at the testing center.