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Real Estate New Jersey Real Estate Salesperson Sample Questions:

1. A city has built a new library and has contacted the broker to list and sell the old library building. Which approach should the broker use to estimate the fair market value for the purpose of listing and selling this property?

A) income approach
B) gross rent multiplier
C) sales comparison
D) replacement cost

2. Which of the following can hold escrow accounts?

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

3. Which of the following best describes the Housing for Older Persons Act?

A) It requires that 55-and-older housing have significant facilities and services designed for seniors.
B) It allows grandparents with grandchildren to be exempt from the provisions of the Act.
C) It allows the awarding of monetary damages against those who believed that property designated as housing for older persons was exempt.
D) It requires that at least 80% of occupied units have one person age 55 or older living there.

4. A salesperson is convicted of a crime which involved activities as a real estate licensee. The Commission obtains a certified copy of the judgment of conviction against the salesperson. According to the New Jersey Real Estate License Law, the Commission MUST:

A) revoke the salesperson's license
B) notify the salesperson's employing broker of the circumstances pertaining to the conviction
C) determine, at its discretion, what disciplinary action to take against the salesperson
D) suspend the salesperson's license

5. A lender whose mortgagor has defaulted may be offered a deed in lieu of foreclosure. If accepted, which of the following will be true?

A) The lender will usually retain rights under mortgage insurance or VA guarantee.
B) The loan will still be assumable.
C) The lender will take the title subject to any junior liens.
D) Because it is voluntary, it will not be an adverse item on the buyer's credit.

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