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Vermont Real Estate Practice Exam
(Free Questions & Answers)

The Vermont real estate exam is administered by the Vermont Real Estate Commission and covers Vermont's unique Act 250 land use control law — a permitting requirement for development projects above a certain size that has no equivalent in other states. Understanding when an Act 250 permit is required (and how it affects property use and value) is critical for the state exam. Vermont's environmental disclosure requirements are comprehensive, and the state portion also tests Vermont's office policy disclosure requirements unique to VT brokerage law.

Administered by: Vermont Real Estate Commission · 120 questions · Passing score: 70%

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Free Practice Questions

Free Vermont Real Estate Practice Exam Questions

Test your knowledge with these Vermont real estate practice questions. Each question is based on topics from the Vermont Real Estate Commission exam and includes detailed explanations.

Q1. Which agency regulates real estate licenses in Vermont?

A.Vermont Department of Financial Regulation
B.Vermont Real Estate Commission
C.Vermont Office of Professional Regulation
D.Vermont Division of Licensing and Registration

Explanation

The Vermont Real Estate Commission regulates the licensing and conduct of real estate licensees in Vermont.

Q2. Vermont requires a licensee to provide agency disclosure to a consumer:

A.Only when a written agency agreement is signed
B.Before providing substantive assistance to that consumer
C.At the time of closing
D.Only if the consumer specifically asks about representation

Explanation

Vermont law requires agency disclosure before a licensee provides substantive assistance so the consumer understands who the licensee represents and what duties are owed to them.

Q3. For a real estate contract to satisfy Vermont's Statute of Frauds, it must be:

A.Witnessed by two adults
B.In writing and signed by the party to be charged
C.Notarized and filed with the town clerk
D.Approved by a Vermont attorney

Explanation

Vermont's Statute of Frauds requires that contracts for the sale of real estate be in writing and signed by the party against whom enforcement is sought. Oral real estate contracts are generally unenforceable.

Q4. A mortgage in Vermont creates which type of interest in the property for the lender?

A.Fee simple ownership until the loan is repaid
B.A lien on the property as security for the debt
C.A trust interest managed by a neutral trustee
D.A leasehold interest for the loan term

Explanation

Vermont is a lien theory state where a mortgage gives the lender a lien on the property as security for the debt. The borrower retains title and possession. This differs from title theory states where the lender holds title.

Q5. Vermont uses a town-based recording system. When a deed is recorded, it is filed with:

A.The Vermont Secretary of State's office
B.The Vermont Real Estate Commission
C.The town clerk in the town where the property is located
D.The county clerk in the county courthouse

Explanation

Vermont is unique in using a town-based (rather than county-based) recording system. All deeds, mortgages, and other documents affecting real property are recorded with the town clerk in the town where the property is located.

Q6. In Vermont's rural market, which appraisal approach is typically given the most weight for single-family residential properties?

A.Income approach
B.Cost approach
C.Sales comparison approach
D.Gross rent multiplier approach

Explanation

The sales comparison approach is typically given the most weight for single-family residential properties because buyers and sellers are most influenced by what comparable properties have sold for. In rural Vermont, finding truly comparable sales can be challenging.

Q7. Vermont's Fair Housing and Public Accommodations Act provides protections BEYOND the federal Fair Housing Act, including protections based on:

A.Annual income level
B.Sexual orientation and gender identity
C.Occupation or profession
D.Educational background

Explanation

Vermont's state Fair Housing law provides broader protections than the federal act, including prohibitions on discrimination based on sexual orientation, gender identity, and other characteristics not covered under federal law.

Q8. Vermont's Property Transfer Tax is paid by the:

A.Seller at the time the deed is signed
B.Buyer at the time the deed is recorded
C.Both buyer and seller equally at closing
D.The real estate broker out of the commission

Explanation

Vermont's Property Transfer Tax is typically paid by the buyer when the deed is recorded. The tax is calculated based on the purchase price. First-time homebuyers purchasing a principal residence may qualify for a reduced rate.

Q9. A Vermont home sells for $375,000. The Vermont Property Transfer Tax for a non-primary-residence buyer is 1.45% of the purchase price. What is the tax?

A.$3,750
B.$5,438
C.$5,625
D.$4,313

Explanation

Property Transfer Tax = $375,000 × 0.0145 = $5,437.50, which rounds to $5,438.

Q10. In Vermont, the presence of radon in residential properties is a concern because Vermont has some of the highest radon levels in the country. Radon enters homes primarily through:

A.Municipal water systems and pipes
B.Cracks in foundation walls and floors from the soil
C.Formaldehyde off-gassing from building materials
D.Lead paint chips in older homes

Explanation

Radon, a naturally occurring radioactive gas, enters homes primarily through cracks and openings in foundation walls and floors from underlying soil and rock. Vermont's granite bedrock contributes to elevated radon levels in many areas.

Q11. Vermont Act 250 requires a land use development permit for which of the following projects?

A.Construction of a single-family home on a pre-existing lot of record
B.Subdivision of land into 10 or more lots within a 5-year period
C.Installation of a fence on agricultural land
D.Replacement of an existing structure with an identical structure

Explanation

Act 250 requires a land use permit for subdivisions of 10 or more lots within a 5-year period, among other triggers. Single-family homes on pre-existing lots and minor improvements typically do not trigger Act 250.

Q12. A Vermont property manager who collects rent on behalf of property owners must:

A.Hold all rents in a personal account until the end of the month
B.Deposit all rents into a separate trust account segregated from personal funds
C.Forward all rents directly to the property owners within 24 hours
D.Report all rental income to the Vermont Real Estate Commission

Explanation

Vermont real estate brokers and property managers acting for others must maintain separate trust accounts for client funds, including rents collected. Commingling client funds with personal or operating funds is a violation of Vermont license law.

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Vermont Real Estate Exam — What to Expect

Licensing Authority
Vermont Real Estate Commission
Total Questions
120 multiple choice
Passing Score
70%
Time Limit
3 hours
Exam Fee
$75
Pre-License Hours
40 hours required
First-Time Pass Rate
60%
Official Website
Vermont Real Estate Commission

What Is On The Vermont Real Estate Exam?

The Vermont real estate salesperson exam is administered by the Vermont Real Estate Commission and tests both national real estate principles and Vermont-specific laws and regulations. The exam contains 120 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 Vermont — including regulations set by the Vermont Real Estate Commission, Vermont agency disclosure requirements, and state-specific contract and closing practices.

Topics covered on the Vermont exam include: Property Ownership, Agency Law, Contracts, Finance, Vermont License Law. Candidates who struggle on the VT exam typically underestimate the state-specific portion — the national content is well-covered by most study materials, but Vermont law questions require targeted preparation.

How Many Questions Are On The Vermont Exam?

The Vermont real estate salesperson exam has 120 multiple-choice questions. The exam is divided into a national section covering general real estate principles and a state section covering Vermont-specific laws administered by the Vermont Real Estate Commission. You have 3 hours to complete the exam.

Vermont Real Estate Exam Passing Score

You need a 70% to pass the Vermont real estate exam. The first-time pass rate in Vermont is approximately 60%, which means preparation is essential — most candidates who fail do so because they focused on national content and underestimated the VT-specific portion. Our Vermont practice exam is built specifically around the Vermont Real Estate Commission exam outline.

Most Difficult Topics On The Vermont Exam

These are the areas where Vermont candidates most commonly lose points.

Vermont License Law

Vermont Real Estate Commission's specific licensing requirements, continuing education mandates, and the 40-hour pre-license course are tested on the state portion with VT-specific provisions.

Act 250 Land Use Control

Vermont's Act 250 is a unique statewide land use control law requiring permits for development above certain thresholds. Understanding when Act 250 permits are required, how this affects property value, and required disclosures is a Vermont-specific exam topic.

Environmental Disclosure Requirements

Vermont's comprehensive environmental disclosure requirements — including Act 250 permit status, hazardous waste sites, underground storage tanks, and wetland delineations — are more extensive than most states and are tested on the state exam.

Office Policy Disclosure

Vermont's specific requirements that licensees provide an office policy disclosure explaining the brokerage's agency options — before any showing — are unique to Vermont and tested on the state portion.

Vermont Real Estate Math

The Vermont 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 VT 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.

How To Get Your Vermont Real Estate License

  1. 1Complete 40 hours of state-approved pre-license education covering topics required by the Vermont Real Estate Commission.
  2. 2Submit your application to the Vermont Real Estate Commission and pay the required fees (exam fee: $75).
  3. 3Pass the Vermont real estate salesperson exam (120 questions, 70% to pass).
  4. 4Complete a background check and fingerprinting as required by Vermont law.
  5. 5Find a licensed sponsoring/employing broker to activate your license.
  6. 6Complete any required post-licensing education within the timeframe set by the Vermont Real Estate Commission.

Best Study Strategy For The Vermont Exam

Start with Vermont license law first. State-specific regulations administered by the Vermont Real Estate Commission make up a significant portion of the VT exam and are not covered in most national study materials.

Master the math early. The Vermont 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 Vermont exam has 120 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 VT exam. Understand the difference between seller's agent, buyer's agent, dual agent, and transaction broker in the context of Vermont law.

Review Fair Housing thoroughly. Federal Fair Housing Act protections apply in all states, but Vermont may have additional protected classes. Know both federal and Vermont-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.

Vermont Real Estate Exam — Frequently Asked Questions

How many questions are on the Vermont real estate exam?
The Vermont real estate exam has 120 questions. The passing score is 70%.
What topics are on the Vermont real estate practice exam?
The Vermont exam covers: Property Ownership, Agency Law, Contracts, Finance, Vermont License Law.
What is the passing score for the Vermont real estate exam?
You need a 70% to pass the Vermont real estate exam, administered by the Vermont Real Estate Commission.
How much does the Vermont real estate exam cost?
The Vermont real estate exam fee is $75.

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