Maryland Real Estate Practice Exam
(Free Questions & Answers)
The Maryland real estate exam is administered by the Maryland Real Estate Commission (MREC) and is known for heavy testing of Maryland's dual transfer and recordation tax structure — buyers and sellers in Maryland each pay different portions of these taxes, and calculation questions appear regularly. Maryland has extensive lead paint disclosure requirements due to the state's older housing stock, and specific Maryland lead paint law questions are common. The Maryland Residential Property Disclosure and Disclaimer Statement is also tested.
Administered by: Maryland Real Estate Commission · 110 questions · Passing score: 70%
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Updated May 2026 · Maryland Real Estate Commission exam outline
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Free Maryland Real Estate Practice Exam Questions
Test your knowledge with these Maryland real estate practice questions. Each question is based on topics from the Maryland Real Estate Commission exam and includes detailed explanations.
Q1. Which state agency regulates real estate licenses in Maryland?
Explanation
The Maryland Real Estate Commission (MREC) is the state agency responsible for licensing and regulating real estate salespersons and brokers in Maryland.
Q2. In Maryland, which disclosure form must a licensee provide to a buyer or seller at the first meeting involving a specific property?
Explanation
Maryland requires licensees to provide the 'Understanding Whom Real Estate Agents Represent' (UWAR) form at the first meeting involving a specific property to disclose the nature of agency relationships.
Q3. Under Maryland contract law, which of the following is a required element of a valid real estate contract?
Explanation
Mutual assent — a valid offer and acceptance — is a required element of every contract, including real estate contracts in Maryland.
Q4. Maryland offers a down payment assistance program through the:
Explanation
The Maryland Mortgage Program (MMP), administered by the Community Development Administration (CDA), provides down payment assistance and competitive interest rates to eligible Maryland homebuyers.
Q5. In Maryland, tenancy by the entirety is available to:
Explanation
Tenancy by the entirety is available only to married couples in Maryland, providing the right of survivorship and protection from individual creditors of one spouse.
Q6. In a competitive market analysis (CMA), a Maryland real estate agent compares the subject property to:
Explanation
A CMA analyzes recently sold properties (what buyers paid), currently active listings (competition), and expired listings (prices the market rejected) to estimate a property's market value.
Q7. Maryland's fair housing law adds which protected classes beyond the seven federal protected classes?
Explanation
Maryland's fair housing law adds sexual orientation, gender identity, and marital status as protected classes, providing broader protections than the federal Fair Housing Act.
Q8. In Maryland, where are deeds and other real property documents recorded?
Explanation
In Maryland, deeds and other real property instruments are recorded at the land records office of the circuit court in the county where the property is located.
Q9. A Maryland home is appraised at $480,000. The buyer makes a 15% down payment. What is the loan amount?
Explanation
Down payment = $480,000 × 0.15 = $72,000. Loan amount = $480,000 − $72,000 = $408,000. To solve this, multiply the relevant values: $480,000 at 15%.. The correct answer is $408,000.. This is a common calculation on the Maryland real estate exam.
Q10. What is the Maryland Bay Restoration Fund fee associated with?
Explanation
The Bay Restoration Fund (flush tax) is a fee on septic and sewer users to fund upgrades that reduce nitrogen in the Chesapeake Bay watershed.
Q11. A nonconforming use in Maryland is a use that:
Explanation
A nonconforming use predates the current zoning ordinance; it is allowed to continue but is generally not allowed to be expanded or rebuilt if destroyed.
Q12. In Maryland, a property manager who collects rent and manages property for others is required to:
Explanation
In Maryland, managing property and collecting rent for others for compensation constitutes a real estate activity requiring a real estate license.
Q13. How many hours of pre-license education are required to sit for the Maryland real estate salesperson exam?
Explanation
Maryland requires 60 hours of pre-license education before a candidate may sit for the salesperson licensing exam.
Q14. Under Maryland agency law, a 'disclosed dual agent' must:
Explanation
A disclosed dual agent in Maryland must obtain written informed consent from both the buyer and the seller before proceeding with dual representation.
Q15. In Maryland, a real estate contract that is signed by a 16-year-old is:
Explanation
A contract signed by a minor (under 18 in Maryland) is voidable at the minor's option. The minor may disaffirm the contract; the adult party cannot avoid the contract on this basis.
Q16. What is the debt-to-income (DTI) ratio, and why is it important in mortgage underwriting?
Explanation
The DTI ratio compares total monthly debt payments to gross monthly income. Lenders use it to assess whether a borrower can manage monthly mortgage payments alongside other obligations.
Q17. Which of the following is an example of real property in Maryland?
Explanation
A built-in kitchen cabinet permanently attached to the wall is a fixture — real property that conveys with the home. Portable items like vehicles and furniture are personal property.
Q18. The principle of 'conformity' in real estate valuation states that:
Explanation
The principle of conformity states that properties achieve maximum value when they are compatible with and conform to the general character and land use patterns of the surrounding neighborhood.
Q19. Under Maryland fair housing law, a landlord who refuses to accept Section 8 (Housing Choice Voucher) tenants may be violating the protected class of:
Explanation
Maryland prohibits discrimination based on source of income in many jurisdictions. Refusing to accept housing vouchers (Section 8) may constitute illegal discrimination based on source of income.
Q20. Maryland imposes a recordation tax when a deed is recorded. Who typically pays this tax?
Explanation
Maryland's recordation tax is typically paid by the buyer, though it can be shared between or negotiated by buyer and seller in the purchase agreement.
Q21. A Maryland property has an assessed value of $320,000 and a tax rate of $1.10 per $100 of assessed value. What are the annual property taxes?
Explanation
Tax rate per dollar = $1.10 ÷ 100 = $0.011. Annual taxes = $320,000 × $0.011 = $3,520. Using the values given ($320,000, $1.10), apply the appropriate formula.. The correct answer is $3,520.. This is a common calculation on the Maryland real estate exam.
Q22. Radon is a concern in Maryland real estate primarily because:
Explanation
Radon is a naturally occurring radioactive gas that seeps from the ground and can accumulate in enclosed spaces, posing a lung cancer risk.
Q23. A property owner wants to use their residentially zoned property as a daycare center. They would most likely apply for a:
Explanation
A special exception (conditional use permit) allows a use that is not automatically permitted by right but may be approved under specific conditions by the zoning authority.
Q24. Under Maryland landlord-tenant law, a landlord must return a security deposit within how many days after the tenant vacates?
Explanation
Maryland law requires landlords to return the security deposit (with an itemized list of deductions, if any) within 45 days of the tenant vacating the property.
Q25. The Maryland real estate salesperson licensing exam consists of how many questions?
Explanation
The Maryland real estate salesperson exam consists of 110 questions — a national portion and a state-specific portion.
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Maryland Real Estate Exam — What to Expect
What Is On The Maryland Real Estate Exam?
The Maryland real estate salesperson exam is administered by the Maryland Real Estate Commission and tests both national real estate principles and Maryland-specific laws and regulations. The exam contains 110 multiple-choice questions, and you must score at least 70% to pass.
The national portion covers topics that apply in every state: property ownership, land use controls, valuation and market analysis, financing, agency law, contracts, leasing and property management, transfer of title, fair housing laws, and real estate calculations. The state portion tests knowledge specific to Maryland — including regulations set by the Maryland Real Estate Commission, Maryland agency disclosure requirements, and state-specific contract and closing practices.
Topics covered on the Maryland exam include: Property Ownership, Agency Law, Contracts, Finance, Maryland License Law. Candidates who struggle on the MD exam typically underestimate the state-specific portion — the national content is well-covered by most study materials, but Maryland law questions require targeted preparation.
Official Maryland Exam Content Areas
Source: Maryland Real Estate Commission · Updated June 2026
| Content Area | Questions |
|---|---|
| National Section (11 PSI topic areas) | 80 |
| Maryland State Section (MREC duties, licensing requirements, agency disclosure, broker supervision, trust accounts, ethics) | 30 |
- ▸Administered by PSI; must score 70% on each section — 56/80 national, 21/30 state; sections scored independently and may be retaken separately
- ▸Maryland's real estate licensing law is found in the Business Occupations and Professions (BOP) Article, Title 17 — the Maryland Real Estate Commission (MREC) under the Department of Labor administers and enforces it
- ▸Maryland state section covers MREC structure and powers, licensing requirements, agency disclosure law (including designated agency), broker supervision, trust account requirements, and prohibited conduct
- ▸Maryland requires a lead paint disclosure for all pre-1978 residential properties — sellers must provide the MD EPA-approved disclosure form under the Residential Lead-Based Paint Hazard Reduction Act; this is a frequently tested state-specific topic
- ▸Maryland's Chesapeake Bay Critical Area Act restricts development within 1,000 feet of tidal waters — buyers in the 16 Chesapeake Bay watershed counties must be informed of Critical Area restrictions; this is a unique Maryland exam topic
- ▸Source: Maryland Real Estate Commission (labor.maryland.gov/license/mrec), BOP Article Title 17, and PSI Candidate Information Bulletin (2025, test-takers.psiexams.com)
Practice Maryland questions by topic — start with Maryland License Law, Agency, and Contracts to build your foundation, then work through remaining topics.
How Many Questions Are On The Maryland Exam?
The Maryland real estate salesperson exam has 110 multiple-choice questions. The exam is divided into a national section covering general real estate principles and a state section covering Maryland-specific laws administered by the Maryland Real Estate Commission. You have 3 hours to complete the exam.
Maryland Real Estate Exam Passing Score
You need a 70% to pass the Maryland real estate exam. The first-time pass rate in Maryland is approximately 54%, which means preparation is essential — most candidates who fail do so because they focused on national content and underestimated the MD-specific portion. Our Maryland practice exam is built specifically around the Maryland Real Estate Commission exam outline.
Read our complete Maryland exam study guide — state-specific topics, 5-week study plan, and what to focus on before exam day.
Most Difficult Topics On The Maryland Exam
These are the areas where Maryland candidates most commonly lose points — and a key reason why some states produce harder real estate exams than others.
Maryland has a dual tax structure — both transfer tax and recordation tax — with different rates for buyers, sellers, and owner-occupants vs. investors. Tax calculation questions appear on the Maryland state exam.
Maryland has some of the most stringent lead paint disclosure requirements in the country, given the state's older housing stock. Maryland-specific lead paint law provisions go beyond federal requirements and are tested on the state exam.
Maryland Real Estate Commission requirements — including the 60-hour pre-license course, broker supervision rules, and continuing education mandates — are tested on the state portion with Maryland-specific rules.
Maryland's Residential Property Disclosure and Disclaimer Statement has specific categories and exemptions. The difference between a full disclosure and a disclaimer, and when each is appropriate, is a common state exam topic.
Maryland Real Estate Math
The Maryland real estate exam includes math questions covering commission calculations, loan-to-value (LTV) ratios, property tax prorations, area and volume, and appreciation/depreciation. A common example: if a property sells for $350,000 and the total commission is 6%, split equally between listing and buyer's broker, each side earns $10,500. Proration questions — such as calculating how many days of property taxes a seller owes at closing — are also common. On the MD exam, you will not need a calculator for most math questions, but you do need to understand the formulas. Practice the "T-bar" method for commission splits and the 360-day banker's year for prorations.
🧮 See all exam math formulas →How To Get Your Maryland Real Estate License
- 1Complete 60 hours of state-approved pre-license education covering topics required by the Maryland Real Estate Commission.
- 2Submit your application to the Maryland Real Estate Commission and pay the required fees (exam fee: $44).
- 3Pass the Maryland real estate salesperson exam (110 questions, 70% to pass).
- 4Complete a background check and fingerprinting as required by Maryland law.
- 5Find a licensed sponsoring/employing broker to activate your license.
- 6Complete any required post-licensing education within the timeframe set by the Maryland Real Estate Commission.
Best Study Strategy For The Maryland Exam
Start with Maryland license law first. State-specific regulations administered by the Maryland Real Estate Commission make up a significant portion of the MD exam and are not covered in most national study materials.
Master the math early. The Maryland real estate exam includes questions on commission calculations, prorations, loan-to-value ratios, and area calculations. Set aside dedicated math practice sessions — don't leave it until the last week.
Take timed practice exams. The Maryland exam has 110 questions within a 3 hours time limit. Simulate exam conditions to build stamina and identify weak topics before exam day.
Focus heavily on agency law. Agency relationships, disclosure requirements, and fiduciary duties are consistently among the most-tested topics on the MD exam. Understand the difference between seller's agent, buyer's agent, dual agent, and transaction broker in the context of Maryland law.
Review Fair Housing thoroughly. Federal Fair Housing Act protections apply in all states, but Maryland may have additional protected classes. Know both federal and Maryland-specific protections cold — this topic appears on virtually every exam.
Use active recall, not passive reading. Instead of re-reading notes, quiz yourself. Use flashcards or practice questions to test retention. Research shows active recall improves long-term retention significantly compared to passive review.
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