Free Wyoming Real Estate Practice Test (2026) — LicenseIQ

Question 1

A buyer purchases a $275,000 home with an 80% LTV loan and pays 2.5 discount points. What do the points cost?

Accepted Answer

Loan = $275,000 x 0.80 = $220,000; points = $220,000 x 0.025 = $5,500. ($6,875 wrongly applies points to the price.)

Question 2

A licensee accepts a promissory note as earnest money. To avoid a violation, what must happen?

Accepted Answer

W.S. 33-28-111(a)(xxxi) disciplines accepting non-cash earnest money unless the owner is told before acceptance and the receipt shows it.

Question 3

A contract clause stating that 'time is of the essence' means:

Accepted Answer

'Time is of the essence' makes performance by the stated dates essential; missing a deadline can be a breach.

Question 4

Two brokers agree not to cooperate with a discount brokerage in order to drive it out of business. This is:

Accepted Answer

Agreeing with competitors to refuse to deal with another business is an illegal group boycott.

Question 5

The 'bundle of rights' in real property includes all of the following EXCEPT:

Accepted Answer

The bundle includes possession, control, enjoyment, exclusion and disposition - never a guaranteed profit.

Question 6

Which statement about FHA-insured loans is correct?

Accepted Answer

FHA loans are made by approved lenders and insured by FHA, with down payments as low as 3.5% and mortgage insurance premium (MIP) required on all FHA loans, for 1-4 family homes.

Question 7

When competing brokerages agree to charge the same commission rate, they commit:

Accepted Answer

Agreeing on commissions among competitors is illegal price fixing under the Sherman Antitrust Act; commissions must be set independently and are always negotiable.

Question 8

Earnest money deposited by a buyer is BEST described as:

Accepted Answer

Earnest money shows good faith and is held in escrow/trust, then applied to the purchase price or handled per the contract if the deal fails.

Question 9

Which person is exempt from licensing under the Act?

Accepted Answer

The exemption requires a properly executed and recorded power of attorney. The other choices are compensated real estate activity for others.

Question 10

An appraisal contingency protects the buyer when:

Accepted Answer

An appraisal contingency allows the buyer to renegotiate or cancel (with deposit refunded) if the appraisal comes in below the price within the contingency period.

Question 11

A broker agreed in writing to act as seller's agent for a 5% fee, then becomes an intermediary in the same transaction. Which statement is correct?

Accepted Answer

W.S. 33-28-308(h) prevents a higher fee upon switching to intermediary; a contrary term is void.

Question 12

Which is an owner's statutory duty under the Residential Rental Property Act?

Accepted Answer

W.S. 1-21-1203(a) lists those systems. The owner need not fix conditions caused by the renter, family or guests.

Question 13

A licensee under investigation lets her license expire. What is the effect on the investigation?

Accepted Answer

Rule 6-1(b) says surrender, expiration or lapse does not bar the Commission from proceeding unless it agrees otherwise. Letting a license lapse is not an escape.

Question 14

A private individual selling her own single-family home may be exempt from the federal Fair Housing Act if she owns no more than three homes and:

Accepted Answer

The single-family owner exemption requires no broker and no discriminatory advertising. Race discrimination is never exempt under the 1866 Civil Rights Act.

Question 15

In real estate, the accessibility requirements of the Americans with Disabilities Act apply mainly to:

Accepted Answer

The ADA's accessibility rules primarily cover public accommodations and commercial facilities; housing accessibility is governed mainly by the Fair Housing Act.

Question 16

Under federal law, a buyer of a pre-1978 home must be given an opportunity to conduct a lead-based paint inspection of at least:

Accepted Answer

The Lead-Based Paint Disclosure Rule gives buyers a 10-day opportunity to inspect, which may be lengthened, shortened by agreement, or waived.

Question 17

A broker collects an advance fee for marketing services and withdraws part of it for actual expenses. Within how many days must the broker give the principal an itemized accounting?

Accepted Answer

Rule 5-1(k) requires an itemized accounting within twenty days of any withdrawal of advance fees.

Question 18

A landlord sells an apartment building with tenants under 12-month leases. The leases:

Accepted Answer

Leases run with the property; the buyer takes title subject to existing leases and inherits the landlord's obligations.

Question 19

The reasonably probable use of a property that is legally permissible, physically possible, financially feasible and maximally productive is its:

Accepted Answer

Highest and best use is the use producing the greatest value that meets the four tests.

Question 20

When must a transaction manager be appointed?

Accepted Answer

W.S. 33-28-302(j) requires immediate appointment of a transaction manager when the responsible broker represents a party in-house, unless the other licensee is an associate broker.

Question 21

The document issued by a VA-approved appraiser for a VA loan is the:

Accepted Answer

The VA appraiser issues a CRV. The Certificate of Eligibility establishes the veteran's entitlement before applying.

Question 22

A responsible broker pays earned commissions to an LLC. When is this allowed without violating the ban on compensating unlicensed persons?

Accepted Answer

Rule 6-3 permits payment to a corporation or LLC owned solely by licensees under that broker.

Question 23

A buyer offers $300,000. The seller counters at $315,000. The buyer rejects the counter and then tries to accept the original $300,000 offer terms. Is there a contract?

Accepted Answer

A counteroffer is a rejection and a new offer; the original offer cannot be revived by the buyer.

Question 24

How many members serve on the Wyoming Real Estate Commission?

Accepted Answer

W.S. 33-28-105 sets a five-member Commission. Seven is a common board size in other states but not Wyoming's.

Question 25

A licensee advertises a rental house she personally owns. What must the ad disclose?

Accepted Answer

W.S. 33-28-119 requires licensees advertising their own property to disclose that an owner is a licensee.

Wyoming real estate practice test

1. A buyer purchases a $275,000 home with an 80% LTV loan and pays 2.5 discount points. What do the points cost?

2. A licensee accepts a promissory note as earnest money. To avoid a violation, what must happen?

3. A contract clause stating that 'time is of the essence' means:

4. Two brokers agree not to cooperate with a discount brokerage in order to drive it out of business. This is:

5. The 'bundle of rights' in real property includes all of the following EXCEPT:

6. Which statement about FHA-insured loans is correct?

7. When competing brokerages agree to charge the same commission rate, they commit:

8. Earnest money deposited by a buyer is BEST described as:

9. Which person is exempt from licensing under the Act?

10. An appraisal contingency protects the buyer when:

11. A broker agreed in writing to act as seller's agent for a 5% fee, then becomes an intermediary in the same transaction. Which statement is correct?

12. Which is an owner's statutory duty under the Residential Rental Property Act?

13. A licensee under investigation lets her license expire. What is the effect on the investigation?

14. A private individual selling her own single-family home may be exempt from the federal Fair Housing Act if she owns no more than three homes and:

15. In real estate, the accessibility requirements of the Americans with Disabilities Act apply mainly to:

16. Under federal law, a buyer of a pre-1978 home must be given an opportunity to conduct a lead-based paint inspection of at least:

17. A broker collects an advance fee for marketing services and withdraws part of it for actual expenses. Within how many days must the broker give the principal an itemized accounting?

18. A landlord sells an apartment building with tenants under 12-month leases. The leases:

19. The reasonably probable use of a property that is legally permissible, physically possible, financially feasible and maximally productive is its:

20. When must a transaction manager be appointed?

21. The document issued by a VA-approved appraiser for a VA loan is the:

22. A responsible broker pays earned commissions to an LLC. When is this allowed without violating the ban on compensating unlicensed persons?

23. A buyer offers $300,000. The seller counters at $315,000. The buyer rejects the counter and then tries to accept the original $300,000 offer terms. Is there a contract?

24. How many members serve on the Wyoming Real Estate Commission?

25. A licensee advertises a rental house she personally owns. What must the ad disclose?

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