- | Page
NJ REAL ESTATE PRACT ICE
EXAM WITH ANSWERS
Question : A secretary in a real estate office who does
NOT have a real estate license may
Correct answer: perform bookkeeping functions
concerning escrowed funds
Question : When a land owner uses his land as security
for a loan, the encumbrance created is called
Correct answer: A mortgage or deed of trust lien
Question : Under the New Jersey Licensing Law, which
of the following is an unlicensed assistant or secretary NOT permitted to do?
Correct answer: Collect rents from tenants
Question : IN order to collect a commission, which of the
following is a REQUIREMENT for a broker with an open listing?
- | Page
Correct answer: the broker or one of his licensees must be
the procuring cause of sale
Question : The lead paint addendum that MUST be
presented with the purchase and sale contract for certain older homes will
Correct answer: provide the buyer with the opportunity to
waive the right to a lead paint inspection
Question : An owner signed a contract to sell an
apartment building, just before closing the owner informed the buyers that she had changed her mind and would NOT sell the property. A lawsuit filed by the buyers would be for?
Correct answer: specific performance
Question : If an owner wants to list a property for sale "as
is," the listing agent should
Correct answer: Question the seller to any known defects
- | Page
Question : According to the New Jersey Real Estate Time
Share Act, if a licensee is selling a timeshare located within the state of New Jersey, all of the following are true EXCEPT that the
Correct answer: licensee must hold a timeshare license
Question : Under the New Jersey State Licensing Law
which of the following is an unlicensed assistant or secretary NOT permitted to do?
Correct answer: make telephone calls to request rent
payments
Question : Under what conditions may a salesperson
accept a bonus offered by seller for service rendered?
Correct answer: the seller pays the broker who passes it
on to the salesperson
Question : Jones and Halstead live across the street from
each other in a subdivision in which homeowners are prohibited by deed restriction from keeping large animals on their property. Jones discovers that Halstead is keeping
- | Page
a Shetland pony in the backyard. Can Jones take action to enforce the deed restriction?
Correct answer: Yes, because Jones is legally bound to
report the subdivider any violations of the deed restrictions.
Question : A seller is offering his property as-is condition.
A buyer enters into a contract with the seller and has the home inspected. The inspection reveals a latent defect known to but not disclosed by, the seller. The buyer
Correct answer: can void the contract due to the sellers
failure to disclose the latent defect
Question : A house that was listed for $164,000 sold for
$158,000. The new loan amount was $124,000. The state where the sale occurred charges a transfer fee which is which is computed at the rate of $3 per $1000. What is the transfer fee for this transaction.
