Real Estate Licensing

Question 1

Real Estate Sales Full Disclosure Act provisions

Answer 1

-Applies to sale of property located outside of the state of NJ
-Registration required with Bureau of Subdivided Land Sales Control
-Owner must have a New Jersey Licensed Broker as an authorized representative of the out of state subdivider/owner
-Potential buyers must be given a Public Offering Statement including all relevant details about the property
-7 calendar day cooling off period (rescission period)

Question 2

Real Estate Sales Full Disclosure Act Exemptions

Answer 2

-Subdivisions fewer than 100 lots, parcels, units or interests
-Sales per a court order
-Sales wholly for industrial or commercial purposes
-Sales by a government agency
-Cemetery lots of interests
-By an owner for his own account in a sine or isolated transaction
-Communities consisting wholly of rental units.

Question 3

Classes of real estate licenses

Answer 3

-Broker license
-Salesperson license
-Broker-salesperson license
-Salesperson license with a real estate referral company (referral agent)

Question 4

Person in charge of all the broker licensees at a brokerage

Answer 4

Authorized broker or broker of record

Question 5

What does a broker-salesperson license do?

Answer 5

This person has a brokers license, but they choose to hang their salesperson license under another brokerage

Question 6

What does a referral agent do?

Answer 6

They refer leads do their brokerage in exchange for a payment. They do not do showings or any of the duties of a salesperson.

Question 7

What activities require a broker’s license?

Answer 7

-List real estate for sale
-Sell, exchange, buy, auction or rent real estate
-Collect rent
-Solicit prospective purchasers or sellers
-Negotiate a real estate loan
-Sell lots or other parcels for a developer
-Sell business opportunities that include an interest in real estate
-ATTEMPTS to do any of the previous

Question 8

What can a salesperson’s license allow under the supervision of a broker?

Answer 8

-Listing real estate in the name of the brokerage
-Negotiating the purchase, sale or exchange of real estate
-Negotiating real estate loans
-Leasing, renting and collecting rent
-Selling lots or other parcels for a developer

Question 9

Exemptions to license requirements.

Answer 9

-Owners handing their own property (for sale by owner - FSBO)
-Attorneys, executors, trustees, receivers, administrators, legal guardians and others handing real estate under the order of a court
-banks and trust companies
-insurance companies

Question 10

Cooperative listing

Answer 10

Referral from one brokerage to another

Question 11

What are the dates for Continuing Education and license renewals?

Answer 11

-Continuing Education is April 30 of the odd numbered years (ie 2025)
-Renewal is June 30 of the odd numbered years

Question 12

How long must a broker keep records of resignations/terminations of salespersons?

Answer 12

6 years

Question 13

Guaranty Fund

Answer 13

Reimburses members of the public who suffers a monetary loss due to wrongdoings by a licensed broker or sales person or an unlicensed employee of a broker. Up to $20,000 per offense.

Question 14

Law governing the practice of real estate in NJ

Answer 14

Real Estate License Act

Question 15

Real Estate License Act

Answer 15

Law governing the practice of real estate in NJ

Question 16

State rules and regulations for real estate licensees

Answer 16

Title 11, Chapter 5

Question 17

Title 11, Chapter 5

Answer 17

State rules and regulations for real estate licensees

Question 18

How many members are on the real estate commission?

Answer 18

8

Question 19

SLWRERC

Answer 19

Salesperson Licensed with a Real Estate Referral Company