State Practice Exam

Alabama Real Estate Practice Exam

50 questions covering Alabama real estate licensing topics with detailed explanations.

0 of 50 answered

Question 1 of 50

Which of the following is considered an unauthorized act for a real estate licensee in Alabama?

This practice test prepares you for the Alabama Real Estate Salesperson exam. You’ll find a 120-question practice test, a breakdown of exam requirements, exam topics, 2025 legal updates, and exam prep tips. Start the practice test to assess your understanding of exam topics.


Who is eligible to take the Alabama Real Estate Salesperson license exam?

To be eligible, applicants must meet the Alabama Real Estate Commission's (AREC) standards for age, legal presence, residency, education, and character standards.

General eligibility criteria include:

Education and exam requirements:

Post-licensure training:

According to the AREC Official Guidelines, failure to complete pre- and post-licensing deadlines can delay or invalidate your licensing process.

What’s on the Alabama Real Estate Salesperson exam?

The exam includes 120 multiple-choice questions divided into 80 questions for national and 40 questions state-specific sections. Each exam contains 10 to 15 unscored pretest questions, which are randomly placed and not labeled.

The state portion of the exam evaluates your understanding across 10 key areas. These include licensing requirements, license statuses, company and broker licensing, trust funds, violations, and RECAD (Real Estate Consumer's Agency and Disclosure Act), among others.

Alabama Real Estate exam topics

The table below are major licensing topics you’ll need to study:

TopicSub-ContentNumber of Questions
I. Purpose of License Law / Rules and Regulation and Role of Commission1
II. Licensing RequirementsA. Activities which require a licenseB. CobrokeringC. Qualifications for a licenseD. Renewal of a licenseE. Continuing educationF. Post-license educationG. Temporary and original Salesperson licenses7
III. License StatusA. Transferring a licenseB. Inactive statusC. Reactivation of a license2
IV. Broker and Company Licenses; Place of BusinessA. Issuance of company and branch office licensesB. Issuance of broker licensesC. Who may serve as qualifying brokerD. Responsibilities of qualifying brokerE. Termination of qualifying broker statusF. Serving as qualifying broker for more than one companyG. Temporary qualifying brokerH. Associate broker statusI. Operating from home5
V. Recovery FundA. Payment into fundB. Payment from fund2
VI. Disciplinary Actions and ProcessA. ComplaintsB. HearingsC. Disciplinary actionsD. RehearingE. Appeals2
VII. Estimated Closing Statement1
VIII. Trust Funds2
IX. RECAD3
X. Violations Leading to Disciplinary ActionA. Misrepresentation and dishonest dealingsB. Inducing a party to break a contractC. AdvertisingD. Listing agreementsE. Failure to give proper disclosureF. Keeping appropriate recordsG. RebatesH. Paying or receiving commissions fromunlicensed personsI. Bad checksJ. Failure to inform Commission of suit/judgment/other dispositionK. LotteriesL. Handling of documentsM. Violation of rule or order of CommissionN. Offers15

What is the exam passing score?

A minimum score of 70% is required on both exam sections to pass. This means at least 56 correct answers out of 80 on the national portion, and 28 correct out of 40 on the state portion.

Upon completing the exam, candidates receive an immediate score report labeled either “Pass” or “Fail.” For security and fairness, numeric scores are only provided to those who fail.

What 2025 Alabama Real Estate Laws should you know for the Salesperson exam?

In 2025, Alabama introduced several legal updates relevant to the Salesperson exam. Key changes include new requirements for agency disclosure (RECAD), revised co-brokerage rules, updated licensing procedures, and the adoption of a commercial receivership law. Most of these laws are reflected under topics such as RECAD, license requirements, disciplinary actions, and brokerage operations.

Below is a summary of the key 2025 laws:

Law / ActDescription2025 StatusExam relevance
Buyer Brokerage Agreements (HB 230 / Alabama Act 2025‑59)Written agreements are now required only before submitting an offer. Brokers must disclose compensation, client services, and office policies per RECAD.Effective April 18, 2025Reflected in topics: RECAD, Agency Law, Violations
Uniform Commercial Real Estate Receivership Act (HB 350)Allows courts to appoint receivers to manage or dispose of distressed commercial properties. Clarifies actions on liens and leases.Effective May 16, 2024Not tested in Salesperson exam
Co-Brokerage by Out-of-State Brokers (Late 2024 Law)Permits out-of-state brokers to partner with Alabama-licensed brokers under written agreements. Alabama brokers must supervise, be named in ads, and hold trust funds unless agreed otherwise.Late 2024 implementationReflected in topics: Brokerage Licensing, Violations, Trust Funds
AREC Commission Rules & Licensing Activity (Spring 2025)Updates include new standards for pre-/post-license education, reciprocal licensing, advertising, signage, and estimated closing statements.Spring 2025 changesReflected in topics: License Requirements, Advertising, Closing Statements
HB 382 – RECAD Disclosure & Broker OversightRequires written RECAD disclosure before showing property. Clarifies team structures, broker payments, and multiple office policies.Introduced 2025Reflected in topics: RECAD, Company Licensing, Agency Law
Commercial Land & Tax Trends (Contextual Law)High interest rates impact financing; large projects like Meta's data center continue.No direct legislative changeNot part of the licensing exam
HB 225 – Education Requirements (Effective Oct 2028)Raises standards for prelicense and continuing education.2025 passage, 2028 effectiveExam unaffected before Oct 2028

How to prepare for the exam?

Improving your pass rate depends on understanding exam details, using trusted resources, and following a targeted study plan.

Understanding Alabama Salesperson exam details

Alabama Real Estate exam structure and requirements is essential for effective preparation. Here is information you need to know:

Learning from prep resources

Use trusted study guides and platforms that align with Alabama’s exam outline. Quality resources include:

Prep books

Free practice test platforms

Other resources

Follow study strategy

A structured study plan improves content retention and builds confidence under real exam timing. You can begin with core topics, then refine your approach based on past performance. The table below is a sample of 8‑week study plan:

WeekFocusActivities
1 - 2Ownership & agencyRead outline, watch topic videos, flashcards
3 - 4Valuation, financing, contractsPractice questions + review wrong answers
5Disclosures & ethicsDeep dive into cases & laws
6Practice examsTimed mock tests
7Review weak areasRe-study low-scoring sections
8Final exam simulationFull test practice under timed conditions

Weak area analysis

Mastering Real Estate math

There will be about 7math questions in the national section of the Alabama Real Estate Salesperson exam. These questions focus on practical real estate calculations such as loan-to-value ratios, down payments, and other common financial metrics relevant to property transactions.

Candidates are permitted to use the following standard conversion data during the exam, unless a specific question indicates otherwise:

For questions that involve prorated amounts, the exam will clearly state:

Since math questions can affect your result, focused practice is essential after reviewing the main topics. To prepare:

Frequently Asked Questions

How long does the exam in Alabama take?

The full national + state exam is officially 3.5 hours, but some candidates complete it in under an hour if well-prepared. Still, plan for the full duration and use all available time for review.

What topics do test-takers in Alabama struggle with most?

Challenging areas include: title transfers, property management regulations, Math/problem‑solving. A tip is to focus extra study on these areas while reinforcing vocabulary and legal concepts.

What are effective study strategies for taking the exam in Alabama?

Use targeted vocabulary review before the exam. On test day, answer confidently what you know, flag doubtful questions, and complete them in a second round. This method helps reduce second‑guessing.

How should I pace my exam approach?

Use a two-pass method: quickly answer confident questions, flag the rest, then review flagged items. Take your time to read carefully, eliminate wrong choices, and ensure math accuracy.

How do I overcome test anxiety and second-guessing?

Label questions based on confidence (A – sure, B – unsure, C – math), complete the A group first, skip B and C, then return for review. Look for clues in later questions, you may find hidden answers.