NJ Title Exam 2025/2026 | Latest Real Questions
with Verified Correct Answers | Already Graded A+
New Jersey Title Insurance Producer Exam | Title Insurance Law, Closing & Settlement
Procedures, Escrow Management, Real Estate Transactions, Underwriting, Title Search &
Examination, Ethics and Compliance | Expert-Verified Q&A | Certification-Ready
Introduction
This updated NJ Title Exam collection for the 2025/2026 testing cycle contains the complete
and accurate set of real exam-style questions with 100% verified correct answers. Content covers
title insurance principles, regulatory compliance, closing and settlement procedures, escrow
management, New Jersey-specific statutes (e.g., New Jersey Title Insurance Act), underwriting
practices, title search and examination, and ethical standards. Aligned with the New Jersey
Department of Banking and Insurance (DOBI) requirements, all answers are professionally
reviewed, graded A+, and designed to ensure success in achieving the New Jersey Title
Insurance Producer license and excellence in professional practice.
Answer Format
Each correct answer is highlighted in bold and green, with concise explanations referencing
New Jersey statutes, DOBI regulations, and industry best practices to reinforce understanding of
NJ Title exam concepts and ensure readiness for certification.
NJ Title Exam 2025/2026 | Complete Real Exam Questions & Correct Verified
Answers | 100% Pass Assurance | Already Graded A+
NJ Title Exam Questions (1–100)
1. What is the primary purpose of title insurance in New Jersey?
a) To provide financing for real estate purchases
b) To protect against losses from title defects
c) To cover property damage
d) To manage escrow accounts
b) To protect against losses from title defects
Rationale: Title insurance in New Jersey protects property owners and lenders against financial
losses due to defects in the title, such as liens or encumbrances, as outlined in the New Jersey
Title Insurance Act (N.J.S.A. 17:46B).
2. Under New Jersey law, who is responsible for conducting a title search?
a) The real estate agent
b) The title insurance producer or company
c) The property buyer
,d) The mortgage lender
b) The title insurance producer or company
Rationale: Per New Jersey regulations, the title insurance producer or company conducts the
title search to identify any liens, encumbrances, or defects in the property’s title.
3. What is the role of an escrow agent in a New Jersey real estate closing?
a) To appraise the property
b) To hold and disburse funds and documents
c) To prepare the mortgage agreement
d) To conduct the title search
b) To hold and disburse funds and documents
Rationale: In New Jersey, an escrow agent holds funds and documents in trust during a real
estate transaction, disbursing them only when all conditions of the closing are met, per DOBI
guidelines.
4. Which New Jersey statute governs title insurance?
a) N.J.S.A. 17:22-6
b) N.J.S.A. 17:46B
c) N.J.S.A. 46:10A
d) N.J.S.A. 12A:2
b) N.J.S.A. 17:46B
Rationale: The New Jersey Title Insurance Act (N.J.S.A. 17:46B) regulates the issuance and
operation of title insurance in the state.
5. What is a common title defect that title insurance may cover?
a) Property damage from natural disasters
b) Undisclosed liens on the property
c) Structural issues with the building
d) Zoning violations by the buyer
b) Undisclosed liens on the property
Rationale: Title insurance covers defects such as undisclosed liens, easements, or other
encumbrances that affect the property’s title, not physical property issues.
6. In New Jersey, who typically pays for the owner’s title insurance policy?
a) The seller
b) The buyer
c) The lender
d) The escrow agent
b) The buyer
Rationale: In New Jersey, the buyer typically pays for the owner’s title insurance policy, though
this can vary based on the sales contract.
7. What is the purpose of a title commitment?
a) To finalize the sale of the property
b) To outline the terms of title insurance coverage
c) To secure a mortgage loan
, d) To transfer property ownership
b) To outline the terms of title insurance coverage
Rationale: A title commitment, issued by the title insurer, details the terms, conditions, and
exceptions of the title insurance policy, per industry standards.
8. What document is used to transfer property ownership in New Jersey?
a) Title commitment
b) Deed
c) Mortgage note
d) Closing disclosure
b) Deed
Rationale: A deed is the legal document used to transfer property ownership in New Jersey, as
governed by N.J.S.A. 46.
9. What is the maximum time allowed for a title producer to report escrow
account transactions to the NJ DOBI?
a) 10 days
b) 30 days
c) 60 days
d) 90 days
b) 30 days
Rationale: Per NJ DOBI regulations, title producers must report escrow account transactions
within 30 days to ensure compliance and transparency.
10. Which federal law regulates real estate settlement procedures?
a) Truth in Lending Act (TILA)
b) Real Estate Settlement Procedures Act (RESPA)
c) Fair Credit Reporting Act (FCRA)
d) Home Mortgage Disclosure Act (HMDA)
b) Real Estate Settlement Procedures Act (RESPA)
Rationale: RESPA regulates settlement procedures, including disclosures and prohibitions on
kickbacks, applicable to New Jersey closings.
11. What is a chain of title?
a) A list of all property improvements
b) A record of property ownership transfers
c) A survey of property boundaries
d) A schedule of mortgage payments
b) A record of property ownership transfers
Rationale: The chain of title is a historical record of all ownership transfers for a property,
verified during a title search.
12. What is the purpose of the Closing Disclosure in New Jersey?
a) To transfer property ownership
b) To detail the final terms and costs of the transaction
c) To insure the property against defects
with Verified Correct Answers | Already Graded A+
New Jersey Title Insurance Producer Exam | Title Insurance Law, Closing & Settlement
Procedures, Escrow Management, Real Estate Transactions, Underwriting, Title Search &
Examination, Ethics and Compliance | Expert-Verified Q&A | Certification-Ready
Introduction
This updated NJ Title Exam collection for the 2025/2026 testing cycle contains the complete
and accurate set of real exam-style questions with 100% verified correct answers. Content covers
title insurance principles, regulatory compliance, closing and settlement procedures, escrow
management, New Jersey-specific statutes (e.g., New Jersey Title Insurance Act), underwriting
practices, title search and examination, and ethical standards. Aligned with the New Jersey
Department of Banking and Insurance (DOBI) requirements, all answers are professionally
reviewed, graded A+, and designed to ensure success in achieving the New Jersey Title
Insurance Producer license and excellence in professional practice.
Answer Format
Each correct answer is highlighted in bold and green, with concise explanations referencing
New Jersey statutes, DOBI regulations, and industry best practices to reinforce understanding of
NJ Title exam concepts and ensure readiness for certification.
NJ Title Exam 2025/2026 | Complete Real Exam Questions & Correct Verified
Answers | 100% Pass Assurance | Already Graded A+
NJ Title Exam Questions (1–100)
1. What is the primary purpose of title insurance in New Jersey?
a) To provide financing for real estate purchases
b) To protect against losses from title defects
c) To cover property damage
d) To manage escrow accounts
b) To protect against losses from title defects
Rationale: Title insurance in New Jersey protects property owners and lenders against financial
losses due to defects in the title, such as liens or encumbrances, as outlined in the New Jersey
Title Insurance Act (N.J.S.A. 17:46B).
2. Under New Jersey law, who is responsible for conducting a title search?
a) The real estate agent
b) The title insurance producer or company
c) The property buyer
,d) The mortgage lender
b) The title insurance producer or company
Rationale: Per New Jersey regulations, the title insurance producer or company conducts the
title search to identify any liens, encumbrances, or defects in the property’s title.
3. What is the role of an escrow agent in a New Jersey real estate closing?
a) To appraise the property
b) To hold and disburse funds and documents
c) To prepare the mortgage agreement
d) To conduct the title search
b) To hold and disburse funds and documents
Rationale: In New Jersey, an escrow agent holds funds and documents in trust during a real
estate transaction, disbursing them only when all conditions of the closing are met, per DOBI
guidelines.
4. Which New Jersey statute governs title insurance?
a) N.J.S.A. 17:22-6
b) N.J.S.A. 17:46B
c) N.J.S.A. 46:10A
d) N.J.S.A. 12A:2
b) N.J.S.A. 17:46B
Rationale: The New Jersey Title Insurance Act (N.J.S.A. 17:46B) regulates the issuance and
operation of title insurance in the state.
5. What is a common title defect that title insurance may cover?
a) Property damage from natural disasters
b) Undisclosed liens on the property
c) Structural issues with the building
d) Zoning violations by the buyer
b) Undisclosed liens on the property
Rationale: Title insurance covers defects such as undisclosed liens, easements, or other
encumbrances that affect the property’s title, not physical property issues.
6. In New Jersey, who typically pays for the owner’s title insurance policy?
a) The seller
b) The buyer
c) The lender
d) The escrow agent
b) The buyer
Rationale: In New Jersey, the buyer typically pays for the owner’s title insurance policy, though
this can vary based on the sales contract.
7. What is the purpose of a title commitment?
a) To finalize the sale of the property
b) To outline the terms of title insurance coverage
c) To secure a mortgage loan
, d) To transfer property ownership
b) To outline the terms of title insurance coverage
Rationale: A title commitment, issued by the title insurer, details the terms, conditions, and
exceptions of the title insurance policy, per industry standards.
8. What document is used to transfer property ownership in New Jersey?
a) Title commitment
b) Deed
c) Mortgage note
d) Closing disclosure
b) Deed
Rationale: A deed is the legal document used to transfer property ownership in New Jersey, as
governed by N.J.S.A. 46.
9. What is the maximum time allowed for a title producer to report escrow
account transactions to the NJ DOBI?
a) 10 days
b) 30 days
c) 60 days
d) 90 days
b) 30 days
Rationale: Per NJ DOBI regulations, title producers must report escrow account transactions
within 30 days to ensure compliance and transparency.
10. Which federal law regulates real estate settlement procedures?
a) Truth in Lending Act (TILA)
b) Real Estate Settlement Procedures Act (RESPA)
c) Fair Credit Reporting Act (FCRA)
d) Home Mortgage Disclosure Act (HMDA)
b) Real Estate Settlement Procedures Act (RESPA)
Rationale: RESPA regulates settlement procedures, including disclosures and prohibitions on
kickbacks, applicable to New Jersey closings.
11. What is a chain of title?
a) A list of all property improvements
b) A record of property ownership transfers
c) A survey of property boundaries
d) A schedule of mortgage payments
b) A record of property ownership transfers
Rationale: The chain of title is a historical record of all ownership transfers for a property,
verified during a title search.
12. What is the purpose of the Closing Disclosure in New Jersey?
a) To transfer property ownership
b) To detail the final terms and costs of the transaction
c) To insure the property against defects
