CHAPTER 1 Flashcards
who must be licensed
anyone who takes part in real estas transaction in nj for:
fee, commission or other valuable consideration
IN NJ licenses have been administrated by:
NJ Real Estate Commission since 1941 operating within the department of banking and insurance
Licenses are governed by
Real Estate License Act know as tittle 45
NJ Real Estate Commission is composed
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
definition of BROKER
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
definition of SALES PERSON
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
definition of BROKERS-SALES PERSON
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
definition of REFERRAL AGENT
is allowed only to refer prospects of brokerage services to the supervising broker or broker’s designate
to obtain a salesperson license
18 years HS diploma evidence of good moral 75 hour ss nummer citizenship pass estate exam be sponsored by licensed real state broker
to obtain a broker license
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
temporary license if a broker dies
- 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
Continuing education
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
if is not renewed for 2 consecutive years or more after the expiration
it becomes void - need to take qualifications
Salesperson license fee
160
broker license fee
270
licensing procedure
- 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
Guaranty Fund
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
Interstate Property
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.
Real estate Sales Full Disclosure Act
intended to PROTECT the public from unscrupulous developers and marketers or from undue sales pressure.
Bureau of subdivided land Sales Control
requires prior APPROVAL AND REGISTRATION for certain new out-of-state properties being offered to New Jersey residents. 7 calendar days to cancel contract
Rental referral agencies
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
how much money does it cost for to have the license active for one year
100
fail to renew for 2 years in a row
you no longer has one and you have to take the test again
how much to activate your license
160 to activate your license with a broker
