Free Connecticut Real Estate Practice Test (2026) — LicenseIQ

Question 1

A contract that is missing an essential element, such as consideration, is:

Accepted Answer

Missing an essential element makes a contract void from the start. A voidable contract appears valid but may be canceled by one party.

Question 2

Radon is:

Accepted Answer

Radon is a colorless, odorless, naturally occurring radioactive gas that can enter homes through the foundation; it is the second leading cause of lung cancer.

Question 3

Which claimant may NOT recover from the Real Estate Guaranty Fund?

Accepted Answer

§20-324e(b)(1) excludes the spouse of the debtor, or that spouse's personal representative. The other claimants describe covered conduct: embezzlement, misrepresentation, and false pretenses.

Question 4

Which duty does a seller's agent owe to a buyer who is a customer, not a client?

Accepted Answer

Customers are owed HARD duties - Honesty, Accounting, Reasonable skill and care, and Disclosure of material facts - but not loyalty, obedience or confidentiality.

Question 5

A loan whose payments are not large enough to pay it off by the end of the term, leaving a large final payment, is a:

Accepted Answer

Partially amortized loans require a balloon payment at maturity. Negative amortization means the balance actually increases because payments don't cover interest.

Question 6

One discount point equals what percentage of the loan amount?

Accepted Answer

One point = 1% of the loan amount (not the purchase price), paid to lower the interest rate.

Question 7

Which is NOT an essential element of a valid contract?

Accepted Answer

The essential elements are offer and acceptance (mutual consent), consideration, competent parties and legal purpose. Notarization is not required for a contract to be valid.

Question 8

A house in a town with no additional municipal tax sells for $500,000. What is the total state and municipal conveyance tax?

Accepted Answer

State: $500,000 x 0.0075 = $3,750. Municipal: $500,000 x 0.0025 = $1,250. Total = $5,000. $3,750 is only the state portion.

Question 9

A triangular lot has a base of 180 feet and a height of 120 feet. What is its area?

Accepted Answer

Triangle area = (base x height) / 2 = (180 x 120) / 2 = 10,800 sq ft.

Question 10

The client a broker represents is the:

Accepted Answer

The principal is the client to whom the agent owes fiduciary duties; a customer is a party the agent works with but does not represent.

Question 11

What is the maximum fine the Commission or department may impose on a licensee per violation under §20-320?

Accepted Answer

§20-320 authorizes a fine up to $5,000 per violation, in addition to or instead of suspension or revocation. $25,000 is the Guaranty Fund per-claim cap.

Question 12

An applicant whose license application is denied wants a hearing. Within what time must the written request be made?

Accepted Answer

§20-314(g) allows a written hearing request within 30 days of the denial notice. If the denial is upheld, the applicant may not reapply for one year, which is the source of the 'one year' distractor.

Question 13

Connecticut requires each written agreement setting a broker's compensation to contain a notice stating that the amount or rate of compensation is:

Accepted Answer

§20-325b requires the notice: 'THE AMOUNT OR RATE OF REAL ESTATE BROKER COMPENSATION IS NOT FIXED BY LAW. IT IS SET BY EACH BROKER INDIVIDUALLY AND MAY BE NEGOTIABLE BETWEEN YOU AND THE BROKER.'

Question 14

A short-term loan used to buy a new home before the borrower's current home sells is a:

Accepted Answer

A bridge loan 'bridges' the gap between buying and selling and is typically repaid within about 12 months when the old home sells.

Question 15

Which loan is insured by the federal government and allows a low down payment?

Accepted Answer

FHA loans are insured by the Federal Housing Administration and permit down payments as low as 3.5%. Conventional loans are not government-backed.

Question 16

On the $20,000 commission above, the listing broker keeps 50% and pays 50% to the buyer's broker. How much does the buyer's broker receive?

Accepted Answer

$20,000 x 0.50 = $10,000 to the buyer's broker.

Question 17

Which requirement applies to the makeup of the Connecticut Real Estate Commission?

Accepted Answer

§20-311a requires at least one member from each congressional district and limits any one party to a bare majority. Members are unpaid apart from expense reimbursement, and only five of the eight are licensees.

Question 18

A seller instructs her listing agent not to show the home to buyers of a certain national origin. The agent should:

Accepted Answer

Obedience requires following lawful instructions only. Discriminatory instructions violate fair housing laws and must be refused.

Question 19

After the Guaranty Fund pays a claim caused by a licensee, what must that person do before obtaining a new license?

Accepted Answer

§20-324e(e) bars a new license until the amount paid is repaid in full with 10% annual interest, and a bankruptcy discharge does not relieve that obligation. The Commission is also subrogated to the claimant's rights (§20-324h).

Question 20

Which rental is exempt from Connecticut's general prohibitions on housing discrimination?

Accepted Answer

§46a-64c(b) exempts a unit in a building of no more than two households where the owner lives in the other unit, and a room in an owner-occupied single-family home. The four-unit owner-occupied exemption applies only to familial status.

Question 21

An investor buys a rental house for $350,000; the land is valued at $75,000. Using straight-line depreciation over 27.5 years, the annual depreciation deduction is:

Accepted Answer

Only the building depreciates: $350,000 - $75,000 = $275,000; $275,000 / 27.5 = $10,000. Using the full price gives $12,727 (wrong).

Question 22

A real estate licensee who is not an attorney may:

Accepted Answer

Licensees may complete attorney-prepared forms but may not draft contracts, amendments or addenda or give legal advice - that is the unauthorized practice of law.

Question 23

Instead of taking 12 hours of CE courses, a Connecticut licensee may satisfy the requirement by:

Accepted Answer

§20-319 allows a written exam administered by the department or an approved national testing service, and DCP specifies the 40-question CE exam through PSI. Out-of-state CE can count only toward electives, never the mandatory course.

Question 24

The minimum down payment typically required on an FHA-insured loan is as low as:

Accepted Answer

FHA allows down payments as low as 3.5%. Zero down is associated with VA and USDA loans.

Question 25

A listing agent knows the seller's spouse died of natural causes in the home last year. Absent a written request, must the agent disclose this?

Accepted Answer

§20-311(21) defines the site of a death or felony as a nonmaterial fact, and §20-329dd says it is not a material fact requiring disclosure and creates no cause of action for nondisclosure.

Connecticut real estate practice test

1. A contract that is missing an essential element, such as consideration, is:

2. Radon is:

3. Which claimant may NOT recover from the Real Estate Guaranty Fund?

4. Which duty does a seller's agent owe to a buyer who is a customer, not a client?

5. A loan whose payments are not large enough to pay it off by the end of the term, leaving a large final payment, is a:

6. One discount point equals what percentage of the loan amount?

7. Which is NOT an essential element of a valid contract?

8. A house in a town with no additional municipal tax sells for $500,000. What is the total state and municipal conveyance tax?

9. A triangular lot has a base of 180 feet and a height of 120 feet. What is its area?

10. The client a broker represents is the:

11. What is the maximum fine the Commission or department may impose on a licensee per violation under §20-320?

12. An applicant whose license application is denied wants a hearing. Within what time must the written request be made?

13. Connecticut requires each written agreement setting a broker's compensation to contain a notice stating that the amount or rate of compensation is:

14. A short-term loan used to buy a new home before the borrower's current home sells is a:

15. Which loan is insured by the federal government and allows a low down payment?

16. On the $20,000 commission above, the listing broker keeps 50% and pays 50% to the buyer's broker. How much does the buyer's broker receive?

17. Which requirement applies to the makeup of the Connecticut Real Estate Commission?

18. A seller instructs her listing agent not to show the home to buyers of a certain national origin. The agent should:

19. After the Guaranty Fund pays a claim caused by a licensee, what must that person do before obtaining a new license?

20. Which rental is exempt from Connecticut's general prohibitions on housing discrimination?

21. An investor buys a rental house for $350,000; the land is valued at $75,000. Using straight-line depreciation over 27.5 years, the annual depreciation deduction is:

22. A real estate licensee who is not an attorney may:

23. Instead of taking 12 hours of CE courses, a Connecticut licensee may satisfy the requirement by:

24. The minimum down payment typically required on an FHA-insured loan is as low as:

25. A listing agent knows the seller's spouse died of natural causes in the home last year. Absent a written request, must the agent disclose this?

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