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Real Estate New Jersey Real Estate Salesperson Sample Questions:

1. The common area of a condominium development is owned by:

A) its duly elected Board of Directors.
B) those owners who were original owners of the units.
C) any individuals who pay a prorated share of the taxes and maintenance.
D) all owners as tenants in common.

2. Which of the following can hold escrow accounts?

A) salespersons, brokers, and lenders
B) banks, salespersons, and title companies
C) lenders, brokers, and real estate commissions
D) banks, brokers, and attorneys

3. Under the New Jersey Real Estate Sales Full Disclosure Act, the Act does NOT apply to a development project:

A) consisting of 10 units.
B) where the purchaser's total financial obligation is less than $5,000.
C) extending over a 5 year period only.
D) already approved by the Department of Commerce.

4. A buyer-broker locates a property that is listed with another broker. The buyer makes an offer through the buyer-broker and an agreement of sale results. In this situation, the buyer-broker is acting as a:

A) representative of the buyer and owes no fiduciary obligations to the seller
B) referring broker with the listing broker
C) subagent of the listing broker
D) representative of the seller and owes no fiduciary obligations to the buyer

5. A lender may add 1/12th of the estimated cost of the annual property taxes and hazard insurance on the mortgaged property to the monthly loan payment for deposit in:

A) an adjustment account
B) a margin account
C) an impound, escrow, or reserve account
D) a PMI account

Solutions: