A North Carolina real estate broker is representing a seller whose property is encumbered by a deed of trust securing a $250,000 loan. The closing statement shows a loan payoff amount of $252,500, including a prepayment penalty of $1,500 and per diem interest of $1,000. If the seller's net proceeds from the sale are $75,000, and closing costs (excluding the loan payoff) total $15,000, what was the agreed-upon sales price of the property?

$342,500. The sales price is calculated by summing the seller's net proceeds, all closing costs, and the total loan payoff amount. Sales Price = Net Proceeds + Closing Costs + Loan Payoff. Sales Price = $75,000 + $15,000 + $252,500 = $342,500.

A broker lists a property for $400,000. The seller agrees to pay a 6% commission. During the listing period, the broker procures a buyer who offers $390,000. The seller accepts the offer, and the transaction closes. However, the buyer defaults on the contract after signing, and the seller retains the earnest money deposit of $5,000. Under North Carolina law, what is the broker's commission entitlement in this scenario?

A commission of 6% on the accepted offer price.. In North Carolina, a broker is generally entitled to a commission when they procure a buyer ready, willing, and able to purchase the property on the seller's terms, even if the buyer later defaults. The commission is typically calculated on the agreed-upon sales price. Therefore, the commission is 6% of $390,000.

A North Carolina broker is handling an "as-is" sale for a distressed property. The seller has disclosed a known structural issue with the foundation. The buyer's home inspector identifies the foundation issue and estimates repair costs at $30,000. The buyer, despite this knowledge, proceeds with the purchase. What is the broker's primary fiduciary duty to the buyer in this situation?

To disclose all known material facts about the property and facilitate the transaction based on the buyer's informed decision.. The broker's primary duty is to disclose all known material facts, which has already been done. Since the buyer is proceeding with the purchase after being informed, the broker's role is to facilitate the transaction based on the buyer's informed decision, not to advise them to withdraw, force repairs, or unilaterally renegotiate.

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Free North Carolina Real Estate Broker Exam practice test with 50 realistic multiple-choice questions, instant grading, and explanations. Study with drill mode, category score reports, and a personalized review plan.

Exam format

50 multiple-choice practice questions
Drill mode with instant feedback and explanations after each answer

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Review the official exam content outline before your first practice run.
Take the full practice exam once to establish a baseline score by category.
Focus review on categories where you score below the passing threshold.
Re-take missed questions in drill mode until you can explain each correct answer.
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Sample North Carolina Broker practice questions

Try a few representative questions below. Each includes the correct answer and a short explanation — the same style you'll see in the full practice test.

Question 1Closing Statements and Calculations
A North Carolina real estate broker is representing a seller whose property is encumbered by a deed of trust securing a $250,000 loan. The closing statement shows a loan payoff amount of $252,500, including a prepayment penalty of $1,500 and per diem interest of $1,000. If the seller's net proceeds from the sale are $75,000, and closing costs (excluding the loan payoff) total $15,000, what was the agreed-upon sales price of the property?
- A.$342,500(Correct)
- B.$350,000
- C.$338,500
- D.$340,000
Explanation
The sales price is calculated by summing the seller's net proceeds, all closing costs, and the total loan payoff amount. Sales Price = Net Proceeds + Closing Costs + Loan Payoff. Sales Price = $75,000 + $15,000 + $252,500 = $342,500.
Question 2Brokerage Commissions and Default
A broker lists a property for $400,000. The seller agrees to pay a 6% commission. During the listing period, the broker procures a buyer who offers $390,000. The seller accepts the offer, and the transaction closes. However, the buyer defaults on the contract after signing, and the seller retains the earnest money deposit of $5,000. Under North Carolina law, what is the broker's commission entitlement in this scenario?
- A.A commission of 6% on the accepted offer price.(Correct)
- B.A pro-rated commission based on the earnest money retained by the seller.
- C.No commission, as the transaction did not close successfully.
- D.The full 6% commission on the original list price.
Explanation
In North Carolina, a broker is generally entitled to a commission when they procure a buyer ready, willing, and able to purchase the property on the seller's terms, even if the buyer later defaults. The commission is typically calculated on the agreed-upon sales price. Therefore, the commission is 6% of $390,000.
Question 3Fiduciary Duties and Disclosures
A North Carolina broker is handling an "as-is" sale for a distressed property. The seller has disclosed a known structural issue with the foundation. The buyer's home inspector identifies the foundation issue and estimates repair costs at $30,000. The buyer, despite this knowledge, proceeds with the purchase. What is the broker's primary fiduciary duty to the buyer in this situation?
- A.To disclose all known material facts about the property and facilitate the transaction based on the buyer's informed decision.(Correct)
- B.To ensure the seller completes the foundation repairs before closing.
- C.To advise the buyer to withdraw from the contract due to the significant repair cost.
- D.To renegotiate the purchase price downwards to account for the repair costs.
Explanation
The broker's primary duty is to disclose all known material facts, which has already been done. Since the buyer is proceeding with the purchase after being informed, the broker's role is to facilitate the transaction based on the buyer's informed decision, not to advise them to withdraw, force repairs, or unilaterally renegotiate.

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Frequently asked questions

How many questions are on this North Carolina Broker practice test?

This practice test includes 50 multiple-choice questions designed to mirror the format and difficulty of the real North Carolina Real Estate Broker Exam.

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Yes. In drill mode you see why the correct answer is right, why distractors are wrong, and practical examples where relevant.

How should I use this practice test to prepare?

Take the full exam under timed conditions, review missed questions by category, then focus study on your weakest sections before scheduling the real exam.

Does this replace official exam materials?

No. Use this as a supplement alongside official candidate information bulletins, textbooks, and hands-on experience required for your license or certification.

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