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Real Estate New Jersey Real Estate Salesperson Exam Sample Questions (Q73-Q78):

NEW QUESTION # 73
A seller sold a property for $375,000, with the closing on July 1st, in a jurisdiction where the buyer pays for the day of closing. The seller had a mortgage balance at the time of closing of $301,000, and had recently paid invoices of $400 for the second quarter's water and electricity, $1,200 for new appliances, and roofing repairs of $700. Based only on these items, how much will the seller receive at closing?

• A. $72,400
• B. $71,700
• C. $74,000
• D. $73,600

Answer: C

Explanation:
Sale price = $375,000
Mortgage payoff = $301,000
Seller prepaid invoices (utilities, appliances, roof) are already paid and not reimbursable through closing unless agreed. They do not affect the closing statement.
Buyer pays closing day (July 1), so no adjustment required for that day.
375
,
000
#
301
,
000
=
74
,
000
375,000#301,000=74,000
Thus, the seller's net proceeds = $74,000.
Reference: NJ Real Estate Salesperson Study Guide, Chapter on Closings and Settlement Statements.

 

NEW QUESTION # 74
A lender may add 1/12th of the estimated cost of the annual property taxes and hazard insurance on the mortgaged property to the monthly loan payment for deposit in:

• A. a PMI account
• B. a margin account
• C. an adjustment account
• D. an impound, escrow, or reserve account

Answer: D

Explanation:
Lenders often require borrowers to pay 1/12th of annual taxes and insurance each month into an escrow (impound or reserve) account.
The lender then pays property taxes and insurance premiums when due.
PMI accounts relate to mortgage insurance, not taxes/insurance.
Margin and adjustment accounts relate to investment or adjustable-rate loans.
Correct answer = C.
Reference: NJ Real Estate Salesperson Study Guide, Chapter on Financing and Escrow Accounts.

 

NEW QUESTION # 75
New Jersey Real Estate Commission regulations require a licensee to terminate membership in a real estate board or multiple listing service whenever the organization:

• A. charges dues that the licensee feels are excessive
• B. lobbies against legislation that the licensee personally favors
• C. suggests uniform commission rates among all member brokers
• D. advocates rules, practices, and/or standards with which the licensee does not agree

Answer: C

Explanation:
The NJ Real Estate Commission prohibits price-fixing or collusion regarding commission rates. If a real estate board, trade association, or MLS suggests or enforces uniform commission rates among member brokers, participation in such a practice would violate antitrust laws as well as NJREC regulations.
In such cases, licensees must terminate their membership immediately to avoid disciplinary action. Lobbying, dues disputes, or general disagreements with rules are not grounds for mandatory termination.
Reference: NJREC Rules and Regulations; NJ Real Estate Salesperson Study Guide, Chapter on Antitrust and Commission Rules.

 

NEW QUESTION # 76
A salesperson is selling a leased commercial property. What will happen to the lease after the sale is consummated?

• A. The lease is assigned to the new owner.
• B. The tenant and the new owner must negotiate a new lease.
• C. The lease expires and the tenant must move.
• D. The new owner has the option of canceling the lease or accepting the lease.

Answer: A

Explanation:
In New Jersey, under landlord-tenant law, a lease is considered a contract that runs with the land. When a property is sold while a lease is in effect, the new owner automatically assumes the rights and responsibilities of the landlord under the existing lease.
The tenant does not need to renegotiate and cannot be forced to vacate until the lease term expires, unless both parties agree otherwise. This transfer is known as an assignment of lease to the new owner.
Therefore, the correct answer is A.
Reference: NJ Real Estate Salesperson Pre-Licensure Course Guide, Chapter on Leases; NJ Landlord-Tenant Law principles.

 

NEW QUESTION # 77
A subordination agreement is used to:

• A. initiate foreclosure proceedings.
• B. change the priority of mortgages.
• C. assign rents to the lender in case of borrower default.
• D. pledge property for a loan without giving up possession.

Answer: B

Explanation:
Lien priority is generally determined by the order of recording.
A subordination agreement is a legal document in which a lienholder voluntarily lowers its lien priority in favor of another lien.
It does not initiate foreclosure, pledge property, or assign rents.
Correct answer = A.
Reference: NJ Real Estate Salesperson Study Guide, Chapter on Mortgages and Financing Instruments.

 

NEW QUESTION # 78
......

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