Pennsylvania Real Estate Practice Exam & 2026 SREC Licensure Guide
The Pennsylvania salesperson licensing exam trips up hundreds of candidates each month because the Commonwealth has strict statutory rules that differ sharply from other states. Pearson VUE exam writers heavily test Section 608 Consumer Notice delivery, the 5 authorized business relationships, the strict ban on automatic listing renewals, $20,000/$100,000 Recovery Fund caps, next-business-day escrow deposits, and zero post-sale statutory redemption in judicial foreclosures.
4 Legal Concepts That Catch Candidates on the PA State Exam
Section 608 Consumer Notice & 6-Month Refusal Rule
Under RELRA § 608 and 49 Pa. Code § 35.336, the Consumer Notice must be provided at the initial interview—the first substantive dialogue regarding specific real estate needs, financial ability, or motivation. If conducted by phone, read the oral script verbatim and deliver the form at the first in-person meeting. If the consumer refuses to sign, note the refusal and date on the form, and retain it in brokerage files for at least 6 months.
Automatic Renewal Ban & Bold Negotiable Fee Rule
Under 49 Pa. Code § 35.332, exclusive listing agreements CANNOT contain automatic renewal or roll-over clauses. Every listing contract must specify a definite termination date. Any clause requiring a cancellation notice to prevent extension is illegal under SREC regulations. Furthermore, all agency contracts and agreements of sale must state in bold that real estate commission rates are negotiable.
Next-Business-Day Escrow Deposit Mandate
Under 49 Pa. Code § 35.321, earnest money must be deposited into a dedicated escrow account in an insured Pennsylvania bank by the end of the next business day following receipt of notice of offer acceptance. If an offer is pending, the broker may hold an uncashed check only if the agreement authorizes it. All transaction and escrow records must be retained for at least 3 years.
Recovery Fund $20k/$100k Caps & Automatic Suspension
Governed by RELRA §§ 801–803, the Real Estate Recovery Fund caps payouts at $20,000 per transaction/claim and a $100,000 lifetime aggregate cap per licensee. A payout triggers AUTOMATIC LICENSE SUSPENSION on the effective payment date. To reactivate, the licensee must repay the Fund in full plus 10% annual interest.
The 3 Tested SREC Pennsylvania State Law Domains
Pearson VUE builds the Pennsylvania State portion directly from these 3 content areas established under the Real Estate Licensing and Registration Act (RELRA).
Pennsylvania Real Estate Commission, Licensing & Statutory Governance (RELRA)
100% Pennsylvania SpecificReal Estate Licensing and Registration Act (RELRA, 63 P.S. §§ 455.101–455.902), 11-member SREC structure and powers, salesperson (75 hrs prelicense) and broker (240 hrs / 3 yrs experience) qualifications, biennial renewal cycles ending May 31 of even-numbered years, 14 hours of mandatory continuing education, Real Estate Recovery Fund ($300k balance, $20k/$100k limits, automatic suspension + 10% interest), SREC investigations, citations, formal hearings, and 3-year record retention mandates.
Pennsylvania Real Estate Practice, Agency Relationships & Disclosures
100% Pennsylvania SpecificSection 608 Mandatory Consumer Notice presentation at initial interview, 5 permitted business relationships (Seller Agent, Buyer Agent, Dual Agent, Designated Agent, Transaction Licensee), written agency agreements, Agreement of Sale statutory requirements (zoning, Recovery Fund notice, commission statement, Act 537 Sewage Facilities notice), broker escrow trust accounts (next business day deposit, commingling/conversion prohibitions, 3-year escrow records), Real Estate Seller Disclosure Act (68 Pa.C.S. § 7301), and advertising regulations.
Pennsylvania Real Estate Finance, Taxes, Property Law & Foreclosure
100% Pennsylvania SpecificPennsylvania Realty Transfer Tax (72 P.S. § 8101-C: 1% state + local tax, 50/50 customary division, statutory exemptions), Mortgages & Judicial Foreclosure through Court of Common Pleas, Sheriff’s Sale, Sheriff’s Deed, zero post-sale statutory redemption, Act 6 30-day Notice of Intention to Foreclose, Act 91 HEMAP notice, Deficiency Judgment Act (6-month deadline), Mechanics’ Lien Law of 1963 (6-month filing, visible commencement relation back), Landlord and Tenant Act of 1951 (security deposits, 30-day accounting rule, double damages penalty), and Pennsylvania Human Relations Act (PHRA).
Free 10-Question Pennsylvania Diagnostic Test
Test your legal knowledge against 10 authentic questions covering Section 608 Consumer Notice, Transaction Licensee rules, Recovery Fund limits, and judicial foreclosure doctrines. Receive instant feedback and a custom SREC competency analysis.
Under Section 608 of the Real Estate Licensing and Registration Act (RELRA), when MUST a Pennsylvania licensee provide the written Consumer Notice to a prospective buyer or seller?
How to Get Your Pennsylvania Real Estate License in 5 Steps
75-Hour Prelicensing
Complete 30 hours of Real Estate Fundamentals and 45 hours of Real Estate Practice through an SREC-approved education provider.
PATCH Clearance
Obtain an official Pennsylvania Access to Criminal History (PATCH) background report from the Pennsylvania State Police within 90 days.
Pass Pearson VUE Exam
Score at least 75% on both the 80-question National Core and 30-40 question Pennsylvania State portion independently.
Find Employing Broker
Interview and affiliate with a licensed Pennsylvania employing broker who will sponsor your active license application.
Apply via PALS
Submit your initial salesperson application via Pennsylvania Licensing System (PALS) with the $107 licensure and Recovery Fund fee.
Pennsylvania Real Estate Exam FAQs
Master Pennsylvania License Law with ExamBased
Access verified Pearson VUE simulated questions, SREC statutory study outlines, and topic-by-topic active-recall flashcards.