1|Page
PSI NJ REAL ESTATE EXAM, PSI PRACTICE TEST-
COMPREHENSIVE Q&A FOR CERTIFICATION
SUCCESS 2026
Water Rights - correct-answer -The terms "littoral," "riparian," and
"appropriative" refer to
A salesperson lists a property with a contract that allows for subagency and dual
agency. The salesperson is - correct-answer -an agent to the broker and a
subagent to the principal.
Depreciation is calculated based on the - correct-answer -Cost of the building
only.
When a property owner uses his home as collateral for a loan and creates a lien in
favor of the lender, title is held by the - correct-answer -mortgagor
A competitive market analysis is MOST often used for - correct-answer -setting a
listing price
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A seller tells the listing agent that her home was treated for termites 10 years
ago, so there are no termites now. Before listing the property, the agent should -
correct-answer -tell the seller not to disclose, because the statute of limitations
has run out.
All of the following are methods to calculate the reproduction or replacement
cost of a building EXCEPT the - correct-answer -straight-line method
The buyer is assuming a mortgage presently on the property in the amount of
$110,000. What is the adjustment made at closing? - correct-answer -Credit
buyer $110,000; debit seller $110,000.
If conditions for purchase are included in a deed and these conditions are
violated, what is the penalty? - correct-answer -Return of the property to the
original owner.
The purpose of requiring an earnest money deposit in a real estate sales contract
is to - correct-answer -provide evidence of the buyer's intention to carry out the
contract.
A judgment has been properly recorded. Any subsequent purchasers, whether
they have actually examined the record or not, have been given - correct-answer
-constructive notice
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What type of map is MOST useful for describing the terrain of a very hilly lot? -
correct-answer -contour map
The Department of Housing and Urban Development estimates that most private
homes built before 1978 contain potentially dangerous levels of lead. Because of
this, some Federal agencies, such as FHA, - correct-answer -Require the buyer to
acknowledge disclosure of the presence of any known lead paint.
At the time of listing, the seller tells the listing agent they are moving because the
neighbor has loud parties every weekend. The agent should - correct-answer -tell
potential buyers about the parties. (Any social information expressed to an agent
can be shared)
A major reason for buying and owning a condominium rather than a detached
single-family home is that - correct-answer -a condominium tends to be more
affordable.
A buyer was negotiating the purchase of a house for himself. During a
conversation with the seller, the seller agreed to include all kitchen appliances in
the sale, and this fact was included in the sales contract. In this situation, if the
seller takes the appliances with him, what recourse does the buyer have? -
correct-answer -The buyer may sue the seller for specific performance.
PSI NJ REAL ESTATE EXAM, PSI PRACTICE TEST-
COMPREHENSIVE Q&A FOR CERTIFICATION
SUCCESS 2026
Water Rights - correct-answer -The terms "littoral," "riparian," and
"appropriative" refer to
A salesperson lists a property with a contract that allows for subagency and dual
agency. The salesperson is - correct-answer -an agent to the broker and a
subagent to the principal.
Depreciation is calculated based on the - correct-answer -Cost of the building
only.
When a property owner uses his home as collateral for a loan and creates a lien in
favor of the lender, title is held by the - correct-answer -mortgagor
A competitive market analysis is MOST often used for - correct-answer -setting a
listing price
,2|Page
A seller tells the listing agent that her home was treated for termites 10 years
ago, so there are no termites now. Before listing the property, the agent should -
correct-answer -tell the seller not to disclose, because the statute of limitations
has run out.
All of the following are methods to calculate the reproduction or replacement
cost of a building EXCEPT the - correct-answer -straight-line method
The buyer is assuming a mortgage presently on the property in the amount of
$110,000. What is the adjustment made at closing? - correct-answer -Credit
buyer $110,000; debit seller $110,000.
If conditions for purchase are included in a deed and these conditions are
violated, what is the penalty? - correct-answer -Return of the property to the
original owner.
The purpose of requiring an earnest money deposit in a real estate sales contract
is to - correct-answer -provide evidence of the buyer's intention to carry out the
contract.
A judgment has been properly recorded. Any subsequent purchasers, whether
they have actually examined the record or not, have been given - correct-answer
-constructive notice
, 3|Page
What type of map is MOST useful for describing the terrain of a very hilly lot? -
correct-answer -contour map
The Department of Housing and Urban Development estimates that most private
homes built before 1978 contain potentially dangerous levels of lead. Because of
this, some Federal agencies, such as FHA, - correct-answer -Require the buyer to
acknowledge disclosure of the presence of any known lead paint.
At the time of listing, the seller tells the listing agent they are moving because the
neighbor has loud parties every weekend. The agent should - correct-answer -tell
potential buyers about the parties. (Any social information expressed to an agent
can be shared)
A major reason for buying and owning a condominium rather than a detached
single-family home is that - correct-answer -a condominium tends to be more
affordable.
A buyer was negotiating the purchase of a house for himself. During a
conversation with the seller, the seller agreed to include all kitchen appliances in
the sale, and this fact was included in the sales contract. In this situation, if the
seller takes the appliances with him, what recourse does the buyer have? -
correct-answer -The buyer may sue the seller for specific performance.
