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California Trust-Fund Handling and License Renewal/Continuing Education

California · State License Law — free study notes for the real estate licensing exam.

🏛️ State License Law 📍 California

📖 What you need to know

In California, a licensee who receives trust funds (such as deposits) must place them into the broker's trust account, into escrow, or into the hands of the principal by the next business day, and generally no later than three business days after receipt. California salesperson licenses run for a four-year term and are renewed by completing 45 hours of approved continuing education before expiration. Mishandling client or escrow funds, including commingling, is a serious DRE violation that can lead to discipline against the license.

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Questions students ask

Is California Trust-Fund Handling and License Renewal/Continuing Education on the real estate exam?

Yes. State License Law is a scored domain on the California real estate licensing exam, and this topic appears in the state license-law portion.

Is this cheat sheet free?

Yes — every page on CinnaPrep's resource library is free to read, print and share. The app adds practice questions, mock exams and a readiness score.

Does California test this differently?

California applies its own license law on top of the national portion. This page covers the California rules specifically, which is what the state section of your exam tests.

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