What is on the California Real Estate Exam?

Feeling nervous about your upcoming license exam? You're not alone. Most aspiring agents dread it at least a little bit, too. But you don't need to worry. With the right preparation, you can ace the exam on your first try. You'll be so much closer to finally getting your license.

Understanding what is on the California real estate license exam helps ease your nerves. That's what we're covering today — along with some tried-and-true study tips that will set you up for success. Let's dive in.

What You’ll Be Tested on During the Exam

Broadly speaking, the salesperson exam is designed to test your knowledge of real estate practices, regulations, and laws in California. This includes economic, financial, political, ethical, and legal principles. You know, all the stuff you learned in your DRE-approved real estate courses.

The major categories of the exam include:

Practice of Real Estate and Disclosures: This section makes up 25% of the test, around 37-38 questions. It's the longest part of the exam, and a few of the topics covered include:

• Trust account management

• Fair housing laws

• Truth in advertising

• Property management

• Commercial, industrial, and income properties

• Specialty areas

• Servicing diverse populations

Laws of Agency and Fiduciary Duty: This section makes up 17% of the test, or 25-26 questions. You may be asked about:

• Law, definition, and nature of agency relationships

• Responsibilities of agent to seller/buyer as principal

• Disclosure of acting as principal or other interest

• Termination of agency

• Commission and fees

Property Ownership and Land Use Controls and Regulations: This section makes up 15% of the test, around 22-23 questions. Some of the topics covered include:

• Classes of property

• Property characteristics

• Encumbrances

• Types of ownership

Property Valuation and Financial Analysis: This section makes up 14% of the test, 21 questions. It covers:

• Value

• Methods of estimating value

• Financial analysis

Contracts: This section makes up 12% of the test, so 18 questions. You may be quizzed on:

• Listing agreements

• Buyer broker agreements

• Offers and purchase contracts

• Purchase and lease options

• Advanced fees

Financing: This section makes up 9% of the test, approximately 13-14 questions. Expect questions about:

• Types of loans

• Sources of financing

• Mortgages and deeds of trust

• Government programs

• Financing and credit laws

Transfer of Property: This section makes up 8% of the test, roughly 12 questions. Not that many, but be sure to study:

• Title insurance

• Deeds

• Escrow

• Tax aspects

• Transfer through court supervision

You have to answer at least 105 questions correctly to get a passing score of 70% or higher. Don’t worry, you won’t have to wait in anticipation too long. You’ll get the results of the electronic test as soon as you’re done.

California Salesperson Exam Details

The California salesperson exam is an electronic test taken at one of five test sites. Here are a few more pieces of essential information:

• Type of test: Multiple choice, four options per question

• Number of questions: 150

• Time allotted for the test: 3 hours

• Passing score: 70% or higher

• Acceptable ID: Current driver’s license or DMV ID, U.S. or foreign passport, or U.S. military ID card

An ID is all you have to bring with you. Phones aren’t allowed, even during the break, and must be placed in an individual locker or storage table that will be provided for you.

Studying for the California Salesperson Exam

Everything you need to know to ace the exam is covered in the 135-hour pre-licensing course. If you took notes as you progressed through the modules, great! They will help you immensely in preparing for the big day.

But that's not the only way to study for the California real estate licensing exam. Here are a few other study strategies you might find useful.

Review California Laws and Regulations

The California Department of Real Estate suggests that test-takers become familiar with the Real Estate Law book. The DRE also previously published a real estate reference book that compiled state laws and regulations aspiring agents must know. But because it hasn’t been updated since 2010, you’d be better off reading through one of PrepAgent's exam prep ebooks. They're written by experts who have been in your shoes at the start of their careers.

Quiz Yourself with Flashcards

Flashcards allow you to study on the go, no matter where you are. They're great for quizzing yourself. Try making a set for each exam section or use the online interactive flashcards created by PrepAgent.

Take Practice Tests at Home

Practice makes perfect! That's a cliché for a reason: it works. Don't believe it? Try taking a free California real estate license test online to see for yourself. Answering mock questions at home helps you cement what you've learned and assess if you're finally ready for the real deal.

Set Yourself Up for Success with PrepAgent

Failing the exam once isn't the end of the world, but passing on your first try means no worrying about rescheduling and retesting fees. Signing up for PrepAgent by Aceable increases your chances. You'll get access to dozens of exam prep videos, webinars, ebooks, and flash cards. And the best part? You can take thousands of practice questions online to build up your confidence.