Pennsylvania Practice Test → Agency

Pennsylvania Agency
Practice Questions & Answers (2026)

Agency law is one of the most tested subjects on the Pennsylvania real estate exam, and it's also one of the most misunderstood. The Pennsylvania State Real Estate Commission expects licensees to understand the legal duties owed to clients vs. customers, and the specific timing of required disclosures under Pennsylvania law. Study these questions carefully — candidates who rely on national agency frameworks and don't account for PA-specific rules are among the most common failures on the state portion.

Full Practice Exam →Take Interactive Quiz

Pennsylvania Exam Study Resources

Everything you need to pass — in one place.

Practice TestMock ExamFlashcardsStudy SchedulePennsylvania BlogFull Access

Practice by Topic

Pennsylvania License Law →Agency →Contracts →Finance →Property Ownership →Property Valuation →+6 more topics
Practice Questions

Pennsylvania Agency — Practice Questions & Answers

108 questions on Agency from the Pennsylvania real estate question bank. First 10 are free — sign up to unlock all 108.

Q1. Pennsylvania's Consumer Notice must be provided to a consumer by a licensee:

A.Only at closing
B.At the first contact with a potential buyer or seller before any real estate services are provided
C.Only when a representation agreement is signed
D.Only when showing the first property

Explanation

Pennsylvania law requires licensees to provide the Consumer Notice to prospective buyers or sellers at the first contact, before any real estate services are provided. This form discloses the different types of agency available in Pennsylvania.

Q2. A Pennsylvania buyer's agent owes the buyer the duty of confidentiality. This means the agent:

A.May not disclose any information about the transaction to other agents
B.Must keep confidential all information the buyer asks to be kept confidential, except as required by law
C.Cannot share the buyer's identity with anyone
D.Must keep all financial information confidential even after the transaction closes

Explanation

The duty of confidentiality requires the agent to keep confidential all information the buyer client asks to be kept confidential, unless disclosure is required by law. This duty survives the termination of the agency relationship.

Q3. In Pennsylvania, 'transaction licensee' status means the licensee:

A.Represents only the buyer in the transaction
B.Represents only the seller in the transaction
C.Provides services to a consumer without representing that consumer as a client
D.Handles administrative duties only and cannot negotiate

Explanation

A transaction licensee provides real estate services (such as showing properties or writing offers) without establishing an agency relationship. The transaction licensee does not represent the consumer as a client and owes limited duties rather than full fiduciary duties.

Q4. Dual agency in Pennsylvania requires:

A.Only verbal consent from one party
B.Written informed consent from both the buyer and the seller
C.Approval from the Pennsylvania State Real Estate Commission
D.That separate commission splits be disclosed

Explanation

Pennsylvania permits dual agency but requires written informed consent from both parties before proceeding. Both parties must understand that the agent's duties of loyalty and confidentiality will be limited in a dual agency relationship.

Q5. Which of the following is an example of an agent's duty of 'reasonable care and diligence'?

A.Keeping the client's motivations confidential from the other party
B.Advocating strongly for the client's financial interests
C.Ensuring all required disclosures are made and deadlines are met
D.Referring the client to family members for home inspections

Explanation

The duty of reasonable care and diligence requires the agent to perform their professional duties with competence and attention — including ensuring all legally required disclosures are provided, contingency deadlines are tracked, and the client's interests are protected.

Q6. Agency by estoppel is created when:

A.A principal signs a written agency agreement
B.A principal's conduct leads a third party to reasonably believe a person is their agent, and the principal fails to correct the misunderstanding
C.An agent acts in an emergency without prior authorization
D.Two agents agree to split a commission

Explanation

Agency by estoppel (apparent authority) is created when a principal allows a person to act as if they are their agent, and a third party reasonably relies on this appearance. The principal is estopped (prevented) from denying the agency.

Q7. In Pennsylvania, when must a licensee provide the Consumer Notice to a buyer or seller?

A.At the time of closing
B.At the first substantive meeting where property needs are discussed
C.Within 48 hours of a first meeting
D.At the time a contract is signed

Explanation

Pennsylvania requires that the Consumer Notice — the agency disclosure form — be provided at the first substantive meeting between the licensee and a prospective buyer or seller. This discloses agency relationships available under Pennsylvania law.

Q8. In Pennsylvania, a 'Consumer Notice' is best described as:

A.A seller's property disclosure statement
B.An agency disclosure document required by the State Real Estate Commission
C.A notice of buyer's right to rescind a contract
D.A disclosure of the broker's fee structure

Explanation

The Consumer Notice is Pennsylvania's agency disclosure document, required by the State Real Estate Commission. It informs consumers of the different types of agency relationships available (seller agent, buyer agent, dual agent, transaction licensee) before substantive discussions begin.

Q9. A transaction licensee in Pennsylvania:

A.Represents only the seller in a transaction
B.Represents only the buyer in a transaction
C.Represents both parties equally as a fiduciary
D.Facilitates the transaction without representing either party as a fiduciary

Explanation

A transaction licensee in Pennsylvania assists both parties in a transaction but does not represent either party in a fiduciary capacity. They must be honest and act in good faith but owe no fiduciary duties such as undivided loyalty.

Q10. Dual agency in Pennsylvania requires:

A.Approval from the State Real Estate Commission
B.Informed written consent from both the buyer and the seller
C.Separate brokerages representing each party
D.Automatic reduction of the commission by 50%

Explanation

Pennsylvania permits dual agency (representing both buyer and seller in the same transaction) but requires the informed written consent of both parties. The licensee must disclose the limitations of representing both sides simultaneously.

Q11. The fiduciary duty of 'loyalty' in a buyer agency relationship requires the agent to:

A.Disclose all known material defects about the property
B.Put the buyer's interests above all others, including the agent's own interests
🔒

98 more Agency questions

Create a free account to unlock all 108 Pennsylvania Agency questions with full explanations.

Sign Up Free — Unlock All QuestionsLog In

Free account · No credit card · Instant access to 25 questions

Other Pennsylvania Exam Topics

Pennsylvania License LawContractsFinanceProperty OwnershipProperty ValuationFair HousingEscrow & TitleReal Estate MathEnvironmentalLand Use & ZoningProperty Management
← Back to Pennsylvania Full Practice Test

Ready to take the full exam? Start free.

25 free questions · No signup · Instant access to all Pennsylvania topics

Free Pennsylvania Practice Exam →Full Access — 1,500+ Questions