Washington State Real Estate Practice Exam 2025 – Complete Preparation Guide

The statute of frauds in real estate is fundamentally a legal doctrine that requires certain types of contracts, including those involving the sale or transfer of real estate, to be in writing to be enforceable in a court of law. This statute helps protect parties in real estate transactions by ensuring there is clear and tangible evidence of the agreement.

By requiring written documents, the statute minimizes misunderstandings and disputes that could arise from verbal agreements, which can be difficult to prove or interpret. This written requirement is critical in real estate dealings, as they often involve substantial amounts of money and long-term commitments.

Other options presented do not accurately reflect the essence of the statute of frauds. The notion that contracts must be verbal contradicts the principle of the statute, which is fundamentally focused on the necessity of written documentation. Similarly, stating that the statute serves as a guideline for negotiations overlooks its enforceable legal nature, and claiming that all real estate contracts must be notarized adds an incorrect layer of requirement, as notarization is not universally necessary for all contracts to be valid under the statute of frauds.