Free Washington Real Estate Practice Exam 2026

Washington real estate exam sample questions and answers

6 of the 130 practice questions, one from each topic, with the answer explained.

1. 1. Under RCW 18.86.110, the duties a Washington broker owes a principal are:

   • A.Duties set by local MLS rules
   • B.Statutory duties, not fiduciary ones
   • C.Common-law fiduciary duties of an agent
   • D.Fiduciary duties set by the contract

   Answer: B. RCW 18.86.110 states that the chapter's duties are statutory duties and not fiduciary duties and that the chapter supersedes the common-law fiduciary duties of an agent to a principal. The common law still applies in all other respects.

2. 2. A home was the site of a homicide years ago but has no physical defects. This home is best described as:

   • A.A patent defect
   • B.Functionally obsolete
   • C.A latent defect
   • D.Stigmatized property

   Answer: D. A stigmatized property carries a psychological impact from an event such as a crime or death, not a physical flaw. In Washington, RCW 18.86.010(11) says the fact or suspicion of a murder or other violent crime on the property is not a material fact; a latent defect is a hidden physical problem.

3. 3. A lender rejects a loan applicant because much of her income comes from public assistance, though it is reliable and ongoing. Under ECOA, this is:

   • A.Illegal discrimination in lending
   • B.Permitted because assistance is not earned income
   • C.Permitted if all applicants are treated alike
   • D.Permitted for loans over the conforming limit

   Answer: A. The Equal Credit Opportunity Act bars discrimination based on race, color, religion, national origin, sex, marital status, age or receipt of public assistance income. A lender may judge whether income is reliable, but may not reject it because its source is public assistance.

4. 4. A buyer pays $325,000 with a $260,000 loan. Buyer closing costs are $9,750, and a $10,000 earnest money deposit was paid at contract. What cash is due at closing?

   • A.$55,000
   • B.$324,750
   • C.$64,750
   • D.$74,750

   Answer: C. Down payment is $325,000 - $260,000 = $65,000; adding $9,750 in costs gives $74,750; subtracting the $10,000 earnest money already paid leaves $64,750. Forgetting the earnest money credit gives $74,750, and leaving out closing costs gives $55,000.

5. 5. A buyer wants protection against covered title defects for as long as she or her heirs own the home. She should purchase:

   • A.A one-year home warranty
   • B.A lender's (mortgagee's) title policy
   • C.An owner's title policy
   • D.An updated abstract of title

   Answer: C. An owner's policy protects the buyer and her heirs for as long as they hold title, up to the policy amount. A lender's policy protects only the mortgagee and declines as the loan is paid down, while an abstract is merely a summary of the recorded documents.

6. 6. When a broker leaves a firm, who must notify the department and surrender the broker's license?

   • A.The firm, through its designated broker
   • B.The departing broker, acting on her own
   • C.The branch manager at the new firm
   • D.The local multiple listing service

   Answer: A. Under RCW 18.85.291 the firm keeps the broker's license, and the firm, through the designated broker, notifies the director and surrenders it. WAC 308-124A-730 bars the designated broker from conditioning the surrender on any act by the broker.