New Jersey
Department of Real Estate -
Salesperson
LATEST EXAM GUIDE
Q&S
© 2024/2025
,1. When considering land use controls and regulations, which
entity is typically responsible for zoning ordinances?
a) The federal government
b) The state government
c) Local government bodies
d) Homeowners associations
Correct Answer: c) Local government bodies
2. In the context of fiduciary duties, what does the principle of
'obedience' require an agent to do?
a) Follow all lawful instructions of the principal
b) Avoid conflicts of interest
c) Protect the principal's confidential information
d) Act in good faith and with fair dealing
Correct Answer: a) Follow all lawful instructions of the principal
3. Which appraisal method estimates the value of a property based
on the cost of constructing a functional equivalent?
a) Sales comparison approach
b) Cost approach
© 2024/2025
, c) Income capitalization approach
d) Gross rent multiplier
Correct Answer: b) Cost approach
4. What type of financing involves a new mortgage that includes the
remaining balance of the old mortgage?
a) Package mortgage
b) Blanket mortgage
c) Wraparound mortgage
d) Open-end mortgage
Correct Answer: c) Wraparound mortgage
5. The legal act of transferring property from one party to another
is known as:
a) Conveyance
b) Assignment
c) Encumbrance
d) Alienation
Correct Answer: a) Conveyance
© 2024/2025
Department of Real Estate -
Salesperson
LATEST EXAM GUIDE
Q&S
© 2024/2025
,1. When considering land use controls and regulations, which
entity is typically responsible for zoning ordinances?
a) The federal government
b) The state government
c) Local government bodies
d) Homeowners associations
Correct Answer: c) Local government bodies
2. In the context of fiduciary duties, what does the principle of
'obedience' require an agent to do?
a) Follow all lawful instructions of the principal
b) Avoid conflicts of interest
c) Protect the principal's confidential information
d) Act in good faith and with fair dealing
Correct Answer: a) Follow all lawful instructions of the principal
3. Which appraisal method estimates the value of a property based
on the cost of constructing a functional equivalent?
a) Sales comparison approach
b) Cost approach
© 2024/2025
, c) Income capitalization approach
d) Gross rent multiplier
Correct Answer: b) Cost approach
4. What type of financing involves a new mortgage that includes the
remaining balance of the old mortgage?
a) Package mortgage
b) Blanket mortgage
c) Wraparound mortgage
d) Open-end mortgage
Correct Answer: c) Wraparound mortgage
5. The legal act of transferring property from one party to another
is known as:
a) Conveyance
b) Assignment
c) Encumbrance
d) Alienation
Correct Answer: a) Conveyance
© 2024/2025
