NJ Real Estate ACTUAL EXAM QUESTIONS AND 100% VERIFIED ANSWERS 2025

If a broker is expecting to receive 6% commission on a sale of $250,000 house, what will the commission be? a) $750 b) $1,500 c) $7,500 d) $15,000 - Correct Ans-d A lot measuring 240' by 400' is selling for $400 a front foot. What is the price? a) $1,600 b) $16,000 c) $72,000 d) $96,000 - Correct Ans-d If the frontage of a half acre lot is 100 feet, how deep is it? a) 154 ft b) 218 ft c) 248 ft d) 436 ft - Correct Ans-b An acre is how many Sqft? - Correct Ans-43,560 Which fact or facts is (are) TRUE concerning the DVA loan? a) a DVA loan cannot be assumed b) DVA loans made after March 1,1998 are freely assumable c) the veteran must be careful how she/he uses up eligibility d) the DVA fixes the rate of interest charged by the lender - Correct Ans-d Selling price: $325,000, 20% down and 2 points plus $2,000 closing fees. What is the total cash required to close? a) 71,500 b) 72,200 c) 73,500 d) 75,600 - Correct Ans-b REAL ESTATE REAL ESTATE Which of the following is NOT characteristic of a DVA loan? a) loan is guaranteed b) owner occupied c) loan is insured d) little or no down payment - Correct Ans-c If a lender charges 2 points on a $60,000 loan, how much does the lender get? a) 120 b) 1,200 c) 2,400 d) none of the above - Correct Ans-b A broker establishes a company policy of charging no less than 6% commission, is this legal? - Correct Ans-YES Money in a trust account, Broker must? a) keep accurate records b) may withdraw commission amount - Correct Ans-a One who has the right to sign the name of a principal to a contract of sale is: a) an attorney in fact b) broker with a listing c) a special agent d) an attorney at law - Correct Ans-a A deed made and delivered but NOT recorded is: a) valid between the parties and valid as to third parties with notice b) invalid between the parties - Correct Ans-a Two partners own real estate, one has 60% interest, the other has 40% this is : a) joint tenancy b) tenancy in common (no right of survivorship) - Correct Ans-b Which is true of Real Estate Appraisers? a) they may not advertise b) fee is based on % of appraised value REAL ESTATE REAL ESTATE c) must have designation such as MAI or SREA d) None of the above - Correct Ans-d The term littoral describes which of the following? a) land bordering water affected by the tide currents b) land bordering water that is flowing like a stream c) land bordering any kind of body of water - Correct Ans-a The phrase "bundle of legal rights" is properly included in: a) definition of real property b) a legal description c) Real estate transactions d) leases for less than one year - Correct Ans-a Which of the following is a freehold estate? a) estate for years b) life estate c) estate at will d) easement in gross - Correct Ans-b An easement acquired by constant, open and adverse use is called an easement by .... a) appurtenance b) prescription c) necessity d) implication - Correct Ans-b Which of the following encumbrances affects the title to property and is considered an general lien? a) unpaid real estate taxes b)mortgage c) judgement d) restrictive covenant - Correct Ans-c A person who has complete control over a parcel of real estate is said to own a : a) leasehold estate b) fee simple estate c) life estate d) defeasible fee estate - Correct Ans-b REAL ESTATE REAL ESTATE REAL ESTATE At a real estate closing who is responsible for all the details that concern the title to the property? a) the sellers broker b) the buyers broker c) the sellers attorney d) the buyers attorney - Correct Ans-c Which of the following items is credited to the buyer at closing? a) fuel on hand b) earnest money c) prepaid water charge d) real estate tax paid in advance - Correct Ans-b At closing, a seller swears she has not had a judgement, bankruptcy, filed for divorce or taken any other action that would cloud the title through an ....? a) acknowledgement b) actual notice c) evidence if title d) affidavit of title - Correct Ans-d The Real Estate Settlement Procedures Act (RESPA) was created to ensure that the buyer and seller in residential real estate transaction have knowledge of all ...? a) prorations b) existing liens c) settlement costs d) tax liabilities - Correct Ans-c After showing a listed property to a prospect, the broker with an exclusive agency listing to protect his commission should? a) make a record of it in the brokers files b) notify the seller of the prospects identity c) send an office memo to the prospective buyer d) wait until the prospect makes a deal with the seller - Correct Ans-a Under the truth in lending act, disclosure of which of the following will trigger disclosure of other credit terms? a) 10% down payment b) 10% annual percentage rate c) no down payment d) reasonable financing available - Correct Ans-c REAL ESTATE A land contract (installment contract or agreement of sale) and a purchase-money mortgage are similar in that ... a) the seller assumes no financial risk b)the title is conveyed immediately to the buyer c) the seller is the lender d) a mortgage is required - Correct Ans-c If the foreclosure sale proceeds are less than the outstanding debt and foreclosure expenses, which remedy is available? a) there is no remedy b) the mortgagee must absorb the loss, as the mortgagor is liable only for foreclosure expenses. c) owner has the statutory right of redemption d) mortgagee may obtain a deficiency judgement against the mortgagor - Correct Ans-b Brownfield's refer to a) wetlands b) tiled agricultural areas c) deserted toxic industrial sites d) new commercial developments - Correct Ans-c Which party to a long term ground lease is the holder of the leased fee? a) lessor b) lessee c) grantee d) grantor - Correct Ans-a When a person dies intestate and no heirs can be found for intestate succession, real property will revert to the government through a process of ... a) commingling b) escheat c) metes - Correct Ans-b Which of the following does NOT affect the validity of a deed? a) proper signature b) lack of money consideration c) delivery d) competent grantor - Correct Ans-b