Hawaii Real Estate Exam Topics: Full Breakdown

The Hawaii PSI real estate exam is 140 questions — 80 national and 60 state. The large state section reflects Hawaii's uniquely complex real estate environment. Here's exactly what's tested.

National Section (80 Questions)

Property Ownership and Land Use (approx. 14 questions) - Fee simple vs. leasehold estates - Types of ownership: joint tenancy, tenancy in common, severalty, tenancy by the entirety - Land use controls: zoning, eminent domain, police power, escheat, taxation - Environmental hazards: lead, radon, asbestos, underground storage tanks, CERCLA

Valuation and Market Analysis (approx. 7 questions) - Three appraisal approaches: sales comparison, income, cost - Gross Rent Multiplier, NOI, Cap Rate - Competitive Market Analysis

Financing (approx. 10 questions) - Mortgage types: conventional, FHA, VA, USDA - Points, APR, loan-to-value, PMI - RESPA, TRID, Truth in Lending, ECOA, CRA

Agency Relationships (approx. 13 questions) - Types: seller's agent, buyer's agent, dual agent - Fiduciary duties: OLD CAR - Agency disclosure timing and requirements

Contracts (approx. 17 questions) - Essential elements, void/voidable/unenforceable - Contingencies: financing, inspection, appraisal - Breach remedies: specific performance, damages, rescission

Transfer of Property (approx. 8 questions) - Deed types: warranty, quitclaim, bargain and sale - Title search, title insurance, recording acts - Closing process and settlement

Real Estate Calculations (approx. 7 questions) - Commission, proration, LTV, cap rate, area, GRM, points

Mandated Disclosures (approx. 4 questions) - Lead-based paint, material defects, environmental hazards

State Section (60 Questions)

Hawaii License Law (HRS Chapter 467) - Governing statute: Hawaii Revised Statutes Chapter 467 - Regulator: Hawaii Real Estate Commission (HREC) under DCCA - Commission composition: **5 licensed members + 4 public members = 9 total** - License types: salesperson and broker - Pre-license: 60 hours for salesperson

License Procedures and Renewal - Salesperson license renewal: **odd years** (2025, 2027, etc.) - CE: **20 hours per 2-year cycle** - Application requirements, background checks - Inactive license procedures

Hawaii Agency Law - Seller's agency, buyer's agency, dual agency - Disclosure requirements under Hawaii law - Subagency rules

Leasehold vs. Fee Simple Ownership - **Fee simple:** Buyer owns both the land and the improvements outright - **Leasehold:** Buyer owns the improvements; a ground lease gives the right to use the land for a set term (often 55–65 years) - **Leasehold condo:** Very common in Hawaii; buyers pay ground rent to the landowner - Leasehold issues: lease expiration, renegotiation of ground rent, converting leasehold to fee simple

Land Court vs. Regular System Title Registration - **Land Court (Torrens System):** State registers and guarantees title; certificates of title issued; very strong title protection - **Regular System:** Conventional recording of deeds in chain of title; title insurance is important - **Dual system:** A property can transition between systems; important to know which system applies

Hawaii Seller Disclosure (HRS Chapter 508D) - Sellers of residential property must provide a written disclosure statement - Disclosure covers known material conditions (structural, environmental, legal) - Must be delivered to the buyer before or at the time of executing the purchase contract - Buyer has a right to rescind after receiving a disclosure

Condominium Property Act (HRS Chapter 514B) - Governs condominium creation, management, and ownership in Hawaii - AOAO (Association of Apartment Owners) — the HOA equivalent in Hawaii - Disclosure requirements for condo purchases - Reserve funds, maintenance fees, special assessments

State Land Ownership - The State of Hawaii owns a large portion of Hawaii's land - Hawaiian Homes Commission Act: homestead lands for persons of Hawaiian ancestry (50%+) - Ceded lands (former Crown and Government lands): significant legal and political context

Hawaii Fair Housing - Federal 7 classes + **ancestry, marital status, sexual orientation, gender identity/expression, arrest and court records, domestic abuse victim status**

Study Priority

The 60-question state section makes Hawaii's exam especially challenging for candidates using national-only prep. Leasehold ownership, Land Court, HRS 508D disclosure, and HREC composition are must-know topics.

For Hawaii-specific practice exams, visit [CARealestate.com/states/hawaii](https://carealestate.com/states/hawaii).