Chapter 2 Commission Rules and Regulations Flashcards
Broker’s additional place of business
Branch Office
copy of real state contract with original signatures
Duplicate Original. every person who signs contract must immediately receive it.
least severe discipline by the Real Estate Commission
Probation
mixing broker’s money with that of others
commingling
cancellation of real state license
Revocation ( Revoke)
place for money belonging to clients and customers
Escrow Account
awareness of wrong doing with no attempt to stop it
Guilty Knowledge
temporary lifting of real state license
Suspension (Suspended)
another name for escrow account
Trust Account
form seller must sign for an office exclusive listing
Waiver of Broker Cooperation. Seller directs a broker not to cooperate.
a license Real Estate person is allow to
leave one broker and affiliate with another one
under some circumstances, a real estate office may be in the home of
a Broker
who can supervise an additional Brokers office
Broker salesperson
money deposited by a buyer that is applied to the purchased price if the sale is closed
- earnest money
* must be deposited within five business day in a trust account
An Escrow account may be opened in
Any Authorized New Jersey Financial Institution
A broker must keep copies of
- Contracts for 6 Years
* Deals that did not go thru for 6 months
Every person that signs a contract is entitle to a duplicated original When are They Entitle to receive it ?
immediately
Every sales contract Prepared by a broker must contain a notice that
the buyer or seller may seek *attorney review within 3 business days
Even when the broker is the seller’s agent, buyers are entitled to
Fair dealing
For license law a violation the Real Estate Commission could fine a licensee as much as
$50,000. it shall not be less than $250 nor more than $50,000
After how many violations a license can be revoked (never be obtain)
Guilty of Three violations “repeat offender”
Real Estate Commission can suspend a license while
a Salesperson is on bail until the trial ( convicted). If a brokers license is suspended or revoked, their salespersons licenses are suspended until the end of the current license period, unless they affiliate with another broker at no charge.
How many days of notice does the Real Estate Commission give to a licensee before a hearing on a possible violation
10 days
sun city realty holds a door prize drawing at a weekend open house it runs
This Practice violates the Commission’s rules
A licensee that does business for own interest
Needs to disclosed that is a Real Estate license holder
Advertisement for Free appraisals is prohibited, what can you offer to the Principle?
A CMA ( Comparative Market Analysis ) Is permissible
a non binding document that refers what the parties plan to do on a commercial or industrial properties or business
Letter of Intent
A New Jersey Licensee is permitted to represent both parties to a transaction if he or she obtains the
Informed written consent of the seller, buyer and any other Agent involved
any agreement between competing offices to establish standard commission rates is referred to as
Illegal Price- Fixing
A part of a commission that may be paid to a buyer (only) is called
Rebate
Brokers in NJ must maintain a place of business with:
Separate from their home with its own entrance visible from the street. Brokers name and the words “licensed real estate broker” displayed. Associates license must be displayed in the main office.
all written offers must be forwarded to sellers within
24 hours and at the time of listing, owners of property must be furnished with a copy of the Attorney generals memorandum regarding the NJ law against discrimination.
ads:
must indicate the broker’s business name followed by the term realtor or real estate agency. It must be bigger than the salespersons name. All ads must specify the property’s municipal location.
Mixing and using trust funds
Embezzlement
Conversion
