NAR Cheat Sheet 2026

The 30 highest-yield NAR facts, distilled from real exam questions. Print it, save it as a PDF, or study it here — free, no sign-up.

1. What makes a product presentation effective? → Focusing on how the product solves the specific customer problem
2. What is the purpose of a price-per-square-foot analysis when researching comparable properties? → To normalize pricing across homes of different sizes for a meaningful comparison
3. Why is property inspection important in valuation? → It helps assess the condition of the property, influencing its market value.
4. What is the primary benefit of using a Customer Relationship Management (CRM) system in real estate? → It organizes client data and automates follow-up to maintain consistent communication
5. A buyer's agent discovers during a showing that the property has an unpermitted addition. What is the appropriate action? → Disclose the issue to the buyer client so they can make an informed decision
6. Which communication practice is most important when managing long-term client relationships after closing? → Maintaining periodic, value-added contact such as market updates and anniversary check-ins
7. What is a cap rate in property valuation? → The net income the property generates relative to its value.
8. How does market analysis help in property valuation? → It provides insights into property demand, pricing trends, and comparables.
9. A property that generates $36,000 NOI annually sells for $450,000. What is the cap rate? → 8%
10. How should analytics be used to improve performance? → Identify patterns and trends that inform actionable strategy adjustments
11. What distinguishes excellent client service from adequate service? → Proactive anticipation of client needs and personalized attention
12. A paired sales analysis is used in the sales comparison approach primarily to: → Isolate and quantify the market value of a single property feature
13. The fiduciary duty of 'accounting' in real estate requires an agent to: → Safeguard and report on all funds and property entrusted to them
14. What is the primary factor affecting property value? → The property's proximity to local amenities.
15. What is the primary purpose of an appraisal? → To estimate the market value of the property for financing and taxes.
16. What is the value of customer journey mapping? → Understanding all touchpoints to identify improvement opportunities
17. Under the NAR Code of Ethics, how quickly must a REALTOR® respond to inquiries from clients or customers? → As promptly as possible given the circumstances
18. An agent is evaluating competition for a new listing. Which factor makes a competing active listing a stronger threat? → It is in the same school district, similar size, and priced 3% below the subject
19. Which statistic represents the middle value of all home prices sold in a market over a given period? → Median sale price
20. What is a key advantage of converting a one-time buyer into a repeat client? → They provide ongoing business, referrals, and lower acquisition costs than new leads
21. What must an agent disclose to a client under the fiduciary duty of disclosure? → All material facts and relevant information that could affect the client's decisions
22. Which factor would most likely cause a property to be under-improved relative to its site? → A modest starter home on a large commercial-zoned parcel
23. Which data source provides the most reliable closed-sale price data for completing a CMA in the U.S.? → MLS sold data
24. Why is maintaining professional boundaries important in client relationships? → It ensures objectivity and protects both the professional and the client
25. What is a SWOT analysis used for? → Evaluating Strengths, Weaknesses, Opportunities, and Threats for strategic planning
26. A buyer's agent receives a referral fee from a home inspector the agent recommended. What must the agent do? → Disclose the referral arrangement to the buyer client
27. What is the foundation of effective client advisory services? → Understanding client needs, goals, and risk tolerance through thorough discovery
28. How should analytics be used to improve performance? → Identify patterns and trends that inform actionable strategy adjustments
29. A property appraised using the cost approach shows a land value of $80,000 and improvements valued at $220,000 after depreciation. What is the indicated value? → $300,000
30. What does a capitalization rate (cap rate) primarily measure in income-producing property analysis? → The ratio of net operating income to property value