Tennessee Real Estate Practice Exam
A free practice test for the Tennessee salesperson exam, for the weeks before your test date, with an explanation on every answer. Score yourself against Tennessee's real 70% pass line before you book.
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A Tennessee licensee actually knows an adverse fact affecting a transaction party who is not the licensee's client. Which general statutory duty applies?
This practice exam is a study aid, not the real exam. Our questions are written by us to match the published content outline. They are not actual exam questions, no score here predicts a pass, and this site is not affiliated with, endorsed by, or sponsored by PSI, Pearson VUE, ARELLO, any state real estate commission, or any government agency. Your state commission and your candidate handbook are the only authoritative sources.
Tennessee real estate exam at a glance
| National questions | 80 scoredsource |
|---|---|
| State-law questions | 40 scoredsource |
| Passing score | 70%source |
| Time limit | 4 hourssource |
| Exam fee | $63.00 per attemptsource |
| Test provider | PSIsource |
| Pre-licence education | 90 hourssource |
Figures verified against official sources on . Exam fees and rules change. Check the linked source before you book.
10 sample questions, with answers explained
Every question above with its correct answer and the reasoning behind it. Read the explanations for the ones you answered correctly too. A lucky guess and knowing the rule look identical on a score report. These are sample questions from our larger bank.
1. A Tennessee licensee actually knows an adverse fact affecting a transaction party who is not the licensee's client. Which general statutory duty applies?
Why: The statute's general duties include reasonable skill and care and disclosure of adverse facts actually known to each party, subject to the statutory framework. Customer status does not automatically excuse concealment.
2. A Tennessee facilitator argues that confidentiality belongs only to represented clients. What does the general all-party duty provide?
Why: The statute lists confidentiality among duties owed to each party, not solely agency clients. This does not remove other required adverse-fact disclosure duties.
3. A Tennessee firm keeps all license credentials private and unavailable to visitors. Which principal-office requirement applies?
Why: The statute permits electronic or hard-copy availability but requires public inspection access at the principal office. Flexible format does not mean the credentials may be entirely unavailable.
4. A Tennessee broker keeps escrow records showing only the current bank balance. What additional statutory information must the records show?
Why: The statute requires a minimum 3-year escrow record with the depositor and deposit and withdrawal details. A positive aggregate bank balance does not identify each person's funds or their disposition.
5. An affiliate broker leaves Firm A for Firm B and wants to take the six listings she secured while at Firm A. Under Rule 1260-02-.02(4), when may she take or use them?
Why: Rule 1260-02-.02(4) says a licensee who terminates affiliation shall neither take nor use any property listings or buyer representation agreements secured through the firm unless specifically authorized by the principal broker in writing. Listings belong to the firm, so seller releases or who found the lead do not change the rule.
6. A Tennessee licensee deposits others' transaction money into the same bank account as personal or business funds. Which defined practice is involved?
Why: The rule defines commingling by keeping others' funds in the same bank account as personal or business money. Separate client ownership must not be obscured by ordinary mixed-account handling.
7. A Tennessee client neither knew nor had reason to know of the licensee's misrepresentation. What does the Tennessee liability provision state about that client or party?
Why: The statute limits client or other-party liability absent knowledge or reason to know, while not limiting managing-broker liability. Those are separate liability rules.
8. A new Tennessee affiliate broker has received a valid license but has not yet bought errors and omissions (E&O) coverage. May her principal broker let her begin showing property?
Why: Rule 1260-01-.04(1) bars a principal broker from permitting a licensee to engage in the real estate business unless the licensee has been issued a valid license and is covered by an errors and omissions policy. TREC also asks for proof of E&O with the initial application. Placing a license in inactive or retired status only suspends the duty to carry E&O until the license is activated (Rule 1260-01-.15(1)).
9. A Tennessee affiliate broker wants to buy, for herself, a house that is listed with her own firm. Under Rule 1260-02-.11(1), what must she do before trying to acquire it?
Why: Rule 1260-02-.11(1) bars a broker or affiliate broker from buying or trying to acquire any interest in property listed with her or her company without first making a full disclosure of her true position to the owner. Rule 1260-02-.11(2) also requires all licensees to identify themselves as licensees when buying or selling property for themselves.
10. The state portion of the Tennessee affiliate broker exam has 40 scored items. How many must a candidate answer correctly to pass that portion?
Why: PSI's Tennessee bulletin sets the affiliate broker state portion at 40 items in 80 minutes with a minimum passing score of 28 correct, which is 70%. The national portion is 80 items with 56 needed. A candidate who passes one portion and fails the other retakes only the failed portion.