New York Real Estate Exam: 10 Must-Know Topics for 2025
The New York salesperson exam has a 63% first-time pass rate — better than average, but still means 1 in 3 fail. With 75 questions in 90 minutes and a 70% passing threshold, you need to be well-prepared. Here are the 10 topics you must master.
1. DOS License Law & Regulations
The New York Department of State (DOS) Division of Licensing Services oversees real estate licensing:
- Salesperson license requires 75 hours of pre-license education
- Exam fee: just $15 (one of the lowest in the U.S.)
- License application fee: $55
- Must be associated with a broker to practice
- Renewal every 2 years with 22.5 hours of CE (including fair housing)
Exam Tip: Know the difference between salesperson and broker requirements, and understand the DOS complaint and disciplinary process.
2. Fair Housing — New York Human Rights Law
New York has some of the strongest fair housing protections in the country:
- Federal Fair Housing Act: 7 protected classes
- New York adds: age, marital status, military status, sexual orientation, gender identity, lawful source of income, domestic violence victim status
- 4 hours of fair housing CE now required per renewal cycle (expanded 2024)
- NYC adds even more protections at the city level
- Testing and enforcement are aggressive — know the penalties
3. Rent Stabilization & Rent Control
This is uniquely New York and heavily tested:
- Rent control: applies to buildings built before 1947 with continuous tenancy since 1971 (NYC)
- Rent stabilization: buildings with 6+ units built before 1974 (NYC)
- Housing Stability and Tenant Protection Act of 2019 — made rent stabilization permanent
- Good cause eviction protections expanded statewide in 2025
- Preferential rent, lease renewal rights, and succession rights are all testable
4. Co-ops vs Condominiums
New York has the largest co-op market in the world:
- Co-op: buyer purchases shares in a corporation + proprietary lease (NOT real property)
- Condo: buyer owns real property (unit + percentage of common elements)
- Co-op boards can reject buyers (but not on protected class grounds)
- Financing differs: co-op loans are personal property loans; condo loans are mortgages
- Martin Act governs offering plans for both co-ops and condos
5. Attorney Review & Closing Process
New York is an attorney-closing state:
- Attorneys are required at closing (not just optional)
- Attorney review period — typically 3 business days after contract signing
- Either party's attorney can cancel or modify the contract during review
- Title search and title insurance are separate from attorney services
- Transfer taxes: NYS transfer tax ($2 per $500) + NYC transfer tax for NYC properties
6. Agency Relationships & Disclosure
New York agency law requires specific disclosures:
- Agency Disclosure Form must be presented at first substantive contact
- Types: seller's agent, buyer's agent, broker's agent, dual agent
- Dual agency requires informed written consent from both parties
- Designated sales agents can work with different clients in the same transaction
- Vicarious liability — broker is responsible for agent's actions
7. Buyer Representation Agreements (New 2025)
Following the NAR settlement:
- Written buyer agreements now required before showing properties
- Must specify compensation terms and duration
- Buyers can negotiate agent fees directly
- DOS issued guidance on compliant New York agreement forms
- Expect several exam questions on this new requirement
8. Property Taxes & STAR Program
New York property tax rules are complex and testable:
- Property taxes calculated by local assessors using assessment ratio × tax rate
- STAR exemption: School Tax Relief for primary residences (income limit: $500,000)
- Enhanced STAR: for seniors 65+ with income ≤ $98,700
- Grievance process through Board of Assessment Review (BAR)
- Tax lien sales are common in NYC — understand the process
9. Environmental Regulations
New York has specific environmental disclosure requirements:
- Property Condition Disclosure Statement (PCDS) — seller should provide, but can opt out by crediting buyer $500 at closing
- Lead-based paint disclosure for pre-1978 properties
- Mold disclosure requirements
- Underground storage tanks
- Brownfield cleanup programs affect commercial real estate
10. Real Estate Math — New York Style
Key New York-specific calculations:
- NYS transfer tax: $2 per $500 of consideration (0.4%)
- Mansion tax: 1% on residential sales of $1 million+ (NYC)
- NYC transfer tax: additional 1% (residential under $500K) or 1.425% (over $500K)
- Property tax prorations — calendar year basis
- Commission splits and net sheet calculations
Study Strategy
- Master co-op vs condo distinctions — this is uniquely New York and guaranteed on the exam
- Know rent stabilization rules — several questions will test this
- Understand the attorney review process — New York closings differ from most states
- Study fair housing deeply — with 4 hours of required CE, expect 8-10 exam questions