Blog Becoming a Real Estate Agent Free Washington Real Estate Practice Exam Questions 2024

Free Washington Real Estate Practice Exam Questions 2024

Washington is an excellent place to live. As the Evergreen State, it offers sprawling green areas. It is a center for arts and music. And while properties nationwide are falling in value, Washington home prices are increasing.

The state’s attractive properties make it an ideal home ground for real estate agents. If you are looking for a new career path, you may consider a career in the industry. But first, you will need a real estate license. 

Washington practice exam

To obtain a real estate license, you must first take the real estate exam. The exam can be challenging, but with the right preparation, you will increase your chances of receiving a passing grade. 

This article serves as an outline of what you can expect on the test so you get headed in the right direction. 

Washington real estate laws and regulations

The Washington Department of Real Estate is part of the Washington State Department of Licensing. It sets various laws and regulations that guide transaction handling, real estate relationships, contracts, and more. Here are some important Washington laws to be aware of. 

• Washington Homestead Laws: Washington’s Homestead protection laws allow homeowners threatened with foreclosure or eviction to remain in their homes under certain circumstances. 
• Adverse Possession Laws: Adverse possession laws allow an individual to gain legal ownership of a property if they publicly inhabit it and improve it. 
• Lease and Rental Agreement Laws: Lease and rental agreement laws regulate agreements between landlords and tenants including security deposit limits, prohibited discrimination, and other matters. 
• Property Line and Fence Laws: Property line and fence laws help neighbors settle arguments concerning fences and trees along the property line. 
• Security Deposit Laws: Security deposit laws determine when deposits can be collected or withheld. Washington does not impose limits on security deposit amounts, but municipalities do. 
• Tenants Rights Laws: Tenants rights laws set guidelines for paying rent, security deposits, living conditions, discrimination, procedures for ending or renewing tenancy, and retaliation. 

What’s on the Washington real estate exam?

The Washington real estate exam consists of seven topics which are divided into subtopics as follows: 

Agency Relationships and Contracts (28 Questions) 

• Agency relationships: Agency relationships refer to the relationship between the agent and client and any other parties involved in the buying and selling process.
• General Legal Principles, Theory, and Concepts About Contracts: Agents must understand the contracts involved in real estate transactions.
• Purchase Contracts Between Seller and Buyer: A purchase contract stipulates the terms and conditions of the real estate transaction.
• Service/Listing Buyer Contracts Between Licensee and Seller or Buyer: This contract sets the terms for how the agent represents the buyer or seller. 

Finance (14 Questions)

• Basic Concepts and Terminology: Applicants must be familiar with the basic concepts and terminology of real estate finance. 
• Methods of Financing: An understanding of financing methods is required to pass the test. They include hard money lenders, cash financing, peer-to-peer lending, self-directed IRAs, seller financing, private money lending, and lease-to-buy. 
• Financing Instruments: Applicants must be familiar with various finance instruments including mortgages, promissory notes, and trust deeds.
• Government Oversight: Government oversight applies to the government’s involvement in real estate financial transactions.

Real Property (14 questions)

• Methods of Legal Description of Land: Legal land can be described with metes or bounds. You can use the Rectangular Survey System, Plat method, or lot and block method. 
• Methods of Measurement: The three common methods of real estate measurement include Gross Building Area (GBA), Gross Living Area (GLA), and American National Standard Institute (ANSI). 
• Property Valuation: Applicants must understand what property valuation involves. 
• Methods of Valuation Performed by an Appraiser: These are the factors an appraiser uses to value property. 
• Conveyance of Real Property: This is the legal transfer or property from one party to another. 

Real Estate Calculations (13 questions)

Applicants must understand how to calculate:

• • Tax and other Prorations
  • Measurements such as volume, acreage, and square footage

• Loan-to value-ratios

• • Points
  • Compensation, commission, and fees
  • Net to seller, cost to buyer

• Valuation/ market sales price and yields

Property Management/Investment (27 questions)

• Real Property Ownership/Interest: This topic refers to the owner’s rights in holding onto an investment. 
• Rights of Ownership: Rights of ownership ensure property owners have the right to use and occupy their property and control activities on the property. 
• Types of Ownership: These include joint tenancy, joint ownership, leases, community properties, cooperatives, and more. 
• Leasehold Interest: A leasehold interest is a contract that sets the terms for leasing a parcel of land. 
• Forms of Business Ownership: The forms of business ownership are relevant to company-owned real estate. 
• Private Restrictions on Real Property/ Land Use and Matters Affecting Ownership: Private restrictions are terms that impact construction such as setbacks due to zoning. 
• Government Powers and Control of Land Use: This topic refers to how local and state laws affect land use and development. 
• Lending Process: Applicants must understand the lending process for homebuyers. 

Marketing Regulations (10 questions)

• Property Advertising Disclosures: All material facts must be disclosed when advertising a property. 
• Licensee Advertising: These guidelines assist real estate licensees in understanding various advertising requirements. 
• Fair Housing: The Fair Housing Act prohibits discrimination in real estate sales and rentals. 

Property Management (8 questions)

• General Property Management Agreement Principles: Management agreement principles set guidelines for contracts, Fair Housing, and rentals and leases. 
• Basic Provisions/Purpose/Elements of Property Management Agreements: Applicants must understand the provisions of a property management agreement. 
• Types of Contracts: Property management contracts include full service, management agreements, consulting agreements, leasing agreements, and more. 
• Duties and Obligations of the Parties: Applicants must understand the duties and obligations of all parties involved in a property management agreement. 
• Market Analysis and Tenant Acquisition: This topic tests applicants on their understanding of the factors of market analysis and how they affect tenant acquisition. 
• Accounts and Disbursement: Disbursements refer to the payments the property owner makes to themselves from their earnings. Accounts refer to separate accounts that are designated to property management. 
• Property Maintenance and Improvements: This topic refers to the property maintenance and improvement requirements in a lease agreement. 

The test also has state-related questions mixed in with the national section. Topics include: 

• General real estate rules
• Licensing requirements
• Washington statutes and rules that govern licensee activities
• Managing broker relationships: This topic refers to the relationship between the broker and the client. 
• Closing and settlement: Settlement involves finalizing the sale. It happens before closing. Closing is when the property is transferred from seller to buyer. 

Washington real estate exam FAQs?

Now you have a good idea of what’s on the test and the rules and regulations that pertain to Washington real estate. But I’m sure there are many questions you are still asking yourself. This section will provide the answers. 

1. How long is the Washington real estate exam? 

The real estate exam includes 140 questions. 100 cover national real estate. 40 cover state real estate. You have three and a half hours to complete the test. 

2. What is the passing grade?

Applicants must answer 70% of the questions correctly to pass the exam. 

3. How many hours of courses must I complete before taking the real estate exam?

Washington applicants must take 90 hours of classes from an approved real estate school before they can take the real estate exam. 60 hours are devoted to Real Estate Fundamentals. 30 hours cover Real Estate Practices. 

4. How do I register for the exam?

You can register for the exam on the PSI website. The PSI must receive course completion documents from your school before you register. You can also schedule by phone at 855-746-8168. 

5. What do I need to bring to the exam?

Applicants must bring two forms of identification. Calculators are optional but recommended. They must be programmable, silent, and without printing capabilities. 

6. How much does it cost to take the exam?

Applicants must pay a $210 fee to take the real estate exam. They must pay the fee each time they take the test. 

7. What if I fail?

If you fail the exam, you will have six months to retake it. If you only failed one portion of the test, you may retake that portion. You will not have to retake the other portion. 

However, if you don’t pass the portion you failed within six months, you must retake both. You can retake the test as often as you like within six months, but you must pay for each attempt. 

Your education courses will be valid for two years from the date you complete your oldest course. If you don’t pass the exam within two years, you must retake the course. 

8. How hard is the Washington real estate exam?

The real estate exam is pretty tough. 71% of applicants pass the national portion on the first attempt. 78% pass the state section on the first attempt. 

9. I passed my exam, now what? 

Realtors do not automatically get a license after passing their exam. They must still submit fingerprints for a background check. They must also complete a licensing application and pay a fee. 

The final step involves finding a broker to work under. When you find a broker to work under, your license will become active. The broker will serve as your mentor in the early stages of your career. 

10. When will I get the results of my test? 

You will get your test results immediately after taking the exam. The results will show which sections you excelled at and which you did poorly on. You can use this information to study and do better on the next test if you failed, or you can use it to determine the strengths and weaknesses that will affect your career. 

11. Is the test multiple-choice? 

Yes, all the questions on the real estate exam are multiple-choice. 

12. When should I show up for the Washington real estate exam?

Unlike many other states, Washington test centers do not ask you to show up for the test early. However, it’s a good idea to get there a little early so you can check in and get seated without losing valuable test time. Arriving early will also make you feel less stressed so you do better on the test. 

13. How can I increase my chances of passing the test?

There are several techniques you can use to increase your chances of passing the test. Here are some suggestions:

• Reference practice tests: Most study materials have practice tests you can use to learn the material. They will simulate the testing experience.
• Create a study group: A study group will keep you accountable so you don’t flake on studying. You can learn from your peers’ strengths and help them develop their weak spots. They will make studying more fun. 
• Stick to a Study Plan: Create a study plan that defines your schedule and goals. This strategy will ensure you don’t overstudy or understudy. 
• Study in a Quiet Place: Find a quiet place to study. Shut off your devices. Minimize distractions so you can concentrate on your work. 
• Use Flashcards: Flashcards may seem like an old-fashioned study tool, but they are very effective. They test your memory. They provide a visual element that helps information stick in your brain. 

14. How do I find the right real estate school?

The real estate school you attend will factor heavily into whether you pass or fail the exam. Here are some characteristics to consider when choosing a school. 

• Reputation: Check out factors like the school’s pass rates and reviews to determine the quality of education it provides. 
• Format: Some schools offer online courses, some provide live courses. Many students prefer online courses because they are convenient. But live courses may help you learn the material better. Choose the one that’s best suited to your needs. 
• Coursework: Some schools will offer only the basics. Others offer extensive courses that help you pass the test and excel in your career. Base your decision on the coursework provided. 

Washington real estate is booming. You can profit off the market by earning a real estate license. But first, you will need to pass the real estate exam. 

This article provides valuable information concerning what’s on the exam, Washington real estate rules and regulations, and how to increase your chances of passing. Good luck reaching your career goals.