Vermont Real Estate Exam Topics: Complete Breakdown

# Vermont Real Estate Exam Topics: Complete Breakdown

The Vermont PSI exam is 110 questions: 80 national and 30 state. Here is a comprehensive breakdown of every content area you need to master.

National Section Topics (80 Questions)

Property Ownership and Rights - Types of estates: fee simple, fee simple defeasible, life estate, leasehold - Co-ownership: joint tenancy (with right of survivorship), tenancy in common, tenancy by the entirety - Vermont is NOT a community property state - Encumbrances: liens, easements, deed restrictions, encroachments

Land Use Controls - Zoning ordinances and variances - Eminent domain and just compensation - Subdivision regulations - Environmental protections

Valuation and Appraisal - Three approaches: sales comparison, cost, income - Principles: substitution, highest and best use, conformity, progression/regression - Capitalization rate and GRM

Finance - Mortgage vs. deed of trust (Vermont uses warranty deeds and mortgages more commonly) - Loan types: conventional, FHA, VA, USDA - TILA, RESPA, Closing Disclosure - LTV, PMI, points, amortization

Agency Relationships - Types of agency - Fiduciary duties - Agency disclosure - Buyer representation agreements

Contracts - Elements of a valid contract - Offer, acceptance, counteroffer - Contingencies and closing procedures - Breach and remedies

Fair Housing - Seven federal protected classes - Prohibited practices: steering, blockbusting, redlining - ADA compliance

Property Management - Lease types and terms - Landlord obligations and tenant rights - Security deposit rules

Vermont State Section Topics (30 Questions)

Vermont License Law (26 V.S.A. Chapter 41) - Vermont Real Estate Commission (VREC): 7 members - License types: salesperson, broker, property manager - Pre-license: 40 hours (salesperson) - License renewal: every 2 years, 8 CE hours - Grounds for disciplinary action, hearings, and appeals

Agency and Disclosure in Vermont - Written agency disclosure requirements at first substantive contact - Listing agreement requirements - Vermont's mandatory disclosure for all property conditions (known material defects) - Dual agency with written consent

Act 250 — Vermont Land Use and Development Law - What triggers an Act 250 permit: development of 10+ acres, or subdivision of 10+ lots, commercial development thresholds - The 10 Act 250 criteria (environmental, community impact, etc.) - How to identify when Act 250 applies to a listed property - Disclosure obligations for Act 250 status

Current Use Taxation (Use Value Appraisal Program) - Qualifying land: agricultural, forest, managed forest - Assessment at current use value, not market value - Land use change tax triggered when enrolled land is developed, converted, or subdivided - Disclosure requirement when selling enrolled property

Vermont Property Transfer Tax - Standard rate: 1.25% of purchase price - Reduced rate: 0.5% on the first $100,000 for buyer-occupied residential property - Who pays: typically the buyer - How and when it is paid: at closing through the Vermont Department of Taxes

Vermont Deed and Title Practices - Warranty deed most commonly used (not deed of trust as in many states) - Title search and abstract requirements - Recording requirements

These 30 state questions draw heavily from Act 250, current use, and the transfer tax — topics unique to Vermont. Treat each as a separate study subject.