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Real Estate New Jersey Real Estate Salesperson Exam Sample Questions (Q49-Q54):
NEW QUESTION # 49
A couple secured a home mortgage loan from a lender who appraised the property at $92,500. If the loan-to- value ratio on the property was 85%, what was the minimum amount the couple needed for the down payment?
Answer: A
Explanation:
The loan-to-value (LTV) ratio is based on the appraised value (or purchase price, whichever is lower).
Appraised Value = $92,500
LTV = 85% # Loan Amount = $92,500 × 0.85 = $78,625
Down Payment = $92,500 - $78,625 = $13,875
Wait - let's carefully match the options:
$13,875 is Option D.
Corrected answer: D
# The couple must provide $13,875 as the minimum down payment.
Reference: NJ Real Estate Salesperson Study Guide, Real Estate Finance chapter; Loan-to-Value Calculations.
NEW QUESTION # 50
Which of the following statements correctly describes a standard feature of a buyer-agency agreement?
Answer: B
Explanation:
Under the New Jersey Real Estate Commission rules on agency disclosure and the Salesperson Study Guide (Chapter on Buyer Agency):
A buyer-agency agreement is a form of employment contract creating a fiduciary relationship between the buyer and the broker.
A is incorrect because it is not just an option; it's a binding agreement.
B may or may not be true - a retainer fee is not required in NJ.
C is false because the source of compensation does not determine agency; agency is determined by the agreement and consent of the parties.
D is correct: a buyer-agency agreement creates fiduciary duties such as loyalty, disclosure, confidentiality, and obedience to the buyer.
Reference: NJ Real Estate Salesperson Pre-Licensure Course Study Guide, Agency & Fiduciary Duties section; NJREC Agency Disclosure Rules.
NEW QUESTION # 51
When buyers move into their new house, they see that the ceiling fan in the dining room is gone. The ceiling fan was not mentioned in the offer to purchase. Did the sellers have the right to take the ceiling fan?
Answer: B
Explanation:
A fixture is personal property that has become real property by being permanently attached (e.g., ceiling fans, light fixtures).
Fixtures are considered part of the real estate and transfer with the property unless specifically excluded in the contract.
Chattel refers to movable personal property, which a ceiling fan is not once installed.
Correct answer = C.
Reference: NJ Real Estate Salesperson Study Guide, Chapter on Property Ownership and Fixtures.
NEW QUESTION # 52
A public utility company is installing power lines across several counties. Will the utility company be more likely to be granted an easement appurtenant or an easement in gross?
Answer: D
Explanation:
An easement in gross benefits a person or entity, rather than another parcel of land. Unlike an easement appurtenant, which requires a dominant and servient estate (two adjoining parcels), an easement in gross does not require ownership of adjacent property.
Utility companies (electric, gas, water, sewer, cable) typically hold easements in gross, allowing them to install and maintain lines across multiple properties. The easement is granted to the utility company, not to a neighboring landowner.
Therefore, the correct answer is C.
Reference: NJ Real Estate Salesperson Pre-Licensure Course Guide, Chapter on Interests in Real Estate (Easements); NJ Property Law principles on easements.
NEW QUESTION # 53
A real estate licensee is a partial owner of a local inspection company. It is permissible for the licensee to tell all clients to use this company when:
Answer: A
Explanation:
Under RESPA Section 8 and NJREC rules:
A licensee with a financial interest in a related service company (e.g., inspections, title, mortgage) must provide full disclosure in writing to the client.
Without disclosure, this is considered a conflict of interest and a violation.
Disclosure allows the client to make an informed decision and choose alternatives.
Correct answer = D.
Reference: RESPA (Real Estate Settlement Procedures Act); NJREC Rules on Conflicts of Interest.
NEW QUESTION # 54
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