CHAPTER 1

Question 1

who must be licensed

Answer 1

anyone who takes part in real estas transaction in nj for:

fee, commission or other valuable consideration

Question 2

IN NJ licenses have been administrated by:

Answer 2

NJ Real Estate Commission since 1941 operating within the department of banking and insurance

Question 3

Licenses are governed by

Answer 3

Real Estate License Act know as tittle 45

Question 4

NJ Real Estate Commission is composed

Answer 4

by 8 members
5 bakers licensed for 10 years 
2 chosen from general public
1 by the government 
all members serve a 3 year term

Question 5

definition of BROKER

Answer 5

authorized to operate a real state business, to hire salesperson and to charge the public for services - is often referred to as the broker of record

Question 6

definition of SALES PERSON

Answer 6

works under sponsoring licensed broker, doing business in the name of the broker and receiving compensation only from that broker. the supervising broker must guide tran

Question 7

definition of BROKERS-SALES PERSON

Answer 7

has fulfilled all of the requirements of a broker yet chooses to work in a sales capacity for and in the name of another broker

Question 8

definition of REFERRAL AGENT

Answer 8

is allowed only to refer prospects of brokerage services to the supervising broker or broker’s designate

Question 9

to obtain a salesperson license

Answer 9

18 years 
HS diploma 
evidence of good moral 
75 hour
ss nummer 
citizenship
pass estate exam
be sponsored by licensed real state broker

Question 10

to obtain a broker license

Answer 10

18 years
HS diploma
evidence of good moral

150 hours
90 of those general broker relicensing
30 hours ethics
30 hours office management

3 years full time
show experience on the matter

Question 11

temporary license if a broker dies

Answer 11

• if there is not another broker to carry the work, a temp brokers license may be issued to a salesperson with at least 3 years of experience in that office.
• complete qualifications for a brokers license within one year
• 30 days after brokers dead for applying only valid for a year

Question 12

Continuing education

Answer 12

all 3 must complete 12 hour approved continuing education before 2 year license renewal - does not apply to referral agents before April 30 fee is $200

Question 13

if is not renewed for 2 consecutive years or more after the expiration

Answer 13

it becomes void - need to take qualifications

Question 14

Salesperson license fee

Answer 14

160

Question 15

broker license fee

Answer 15

270

Question 16

licensing procedure

Answer 16

• complete 75 hours and state examination
• submit the score report (signed by the sponsoring broker) to the Real Estate Commission and $160
• complete finger print $62.70

Question 17

Guaranty Fund

Answer 17

was establish to reimbursed member of the public who suffer a monetary loss due to wrongdoing in a real estate transaction by licensed broker or sales person.
party was unable to collect
Each salesperson 10
broker 20
Max payment of $20,000
once the fund pays a claim against a broker or sales person, that person’s license is revoked until the fund is reimbursed , with interest

Question 18

Interstate Property

Answer 18

the rules of the real estate commission contain complex requirements that must be met before any out-of-state land can be sold in New Jersey to resident of the state.

Question 19

Real estate Sales Full Disclosure Act

Answer 19

intended to PROTECT the public from unscrupulous developers and marketers or from undue sales pressure.

Question 20

Bureau of subdivided land Sales Control

Answer 20

requires prior APPROVAL AND REGISTRATION for certain new out-of-state properties being offered to New Jersey residents. 7 calendar days to cancel contract

Question 21

Rental referral agencies

Answer 21

every person working in a rental referral agency who for a fee refers prospective tenant to rental units is required to have a real estate license and to enter into a written contract with each prospective tenant.
no rental can be offered without the landlords consent oral consent must be confirmed in written within 24 hours.
units that are advertised must be checked every day to see if they are still available,
units that are simple listed must be checked every three days.
if proactive tentants give more than $25 it should go to a escrow account

Question 22

how much money does it cost for to have the license active for one year

Answer 22

100

Question 23

fail to renew for 2 years in a row

Answer 23

you no longer has one and you have to take the test again

Question 24

how much to activate your license

Answer 24

160 to activate your license with a broker