Pass the Real Estate New Jersey Real Estate New-Jersey-Real-Estate-Salesperson Questions and answers with ValidTests

Contracts signed by a minor (or someone not of legal age) are considered voidable at the option of the minor.

They are not void, because the minor may affirm the contract upon reaching legal age.

Executory = contract obligations not yet completed.

Executed = all obligations fully performed.

Since the heir is under legal age at signing, the contracts are voidable.

Correct answer = C.

In New Jersey, under landlord-tenant law, a lease is considered a contract that runs with the land. When a property is sold while a lease is in effect, the new owner automatically assumes the rights and responsibilities of the landlord under the existing lease.

The tenant does not need to renegotiate and cannot be forced to vacate until the lease term expires, unless both parties agree otherwise. This transfer is known as an assignment of lease to the new owner.

Therefore, the correct answer is A.

The New Jersey Real Estate Sales Full Disclosure Act (RESFDA) requires developers of certain subdivided land, condominiums, and other registered developments to provide purchasers or lessees with a Public Offering Statement approved by the New Jersey Real Estate Commission.

This Public Offering Statement contains essential information about the development, financial and legal obligations, and rights of buyers.

The Statement of Record is filed with the Commission but is not delivered to the purchaser.

Deeds or plat maps are not substitutes for the disclosure document required by law.

Thus, the correct answer is B.

A net lease requires the tenant to pay some or all operating expenses, including taxes, insurance, maintenance, and sometimes repairs. Commercial leases often use this form (single, double, or triple net).

A gross lease means the landlord pays all expenses.

A ground lease is long-term land rental.

A percentage lease ties rent partly to sales volume.

This is a net lease.

A transaction broker facilitates a real estate transaction without representing either party as an agent.

They owe both parties honesty and fairness but do not owe fiduciary duties such as loyalty or confidentiality.

They do not require client-level agency agreements.

They must still be licensed.

Correct answer = B.

The sales comparison approach relies on comparing recently sold similar properties, adjusting for differences (e.g., lot size, square footage, date of sale).

The capitalization rate is used in the income approach, not the sales comparison approach.

Correct answer = B.

Under NJ Real Estate Commission (NJREC) licensing rules, when a broker of record dies or becomes incapacitated, a qualified salesperson with at least three years’ experience may apply for a temporary broker’s license to continue the firm’s operations for a limited period while the firm arranges a permanent broker. Existing agency contracts and transactions do not become void simply because of the broker’s death.

• Therefore, D is correct.

• A is incorrect—contracts are not automatically void, and salespersons don’t lose their licenses.

• B is not the prescribed process.

• C misstates both who may act and the time period; NJ uses a temporary broker’s license mechanism for a qualified salesperson (experience requirement is three years).

(Reference: NJ Real Estate Salesperson Pre-Licensure Course Study Guide, Licensing—Broker of Record Death/Incapacity; NJREC Rules on temporary broker authority.)

Monuments are fixed physical objects (iron pins, concrete markers, trees, rocks) used by surveyors to establish property boundaries in the metes-and-bounds system.

They do not establish addresses, flood elevations, or historical sites.

Correct answer = B.

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.