Free New Jersey Real Estate Practice Exam Online

Correct answer: A. The New Jersey Real Estate Commission (REC), within the Division of Consumer Affairs

Correct. The New Jersey Real Estate License Act, N.J.S.A. 45:15-1 et seq., creates the Real Estate Commission and places licensing and disciplinary authority over salespersons and brokers with it.

• B: Incorrect. NJ REALTORS is a private trade association that promotes member interests and ethics standards, but it has no statutory licensing authority over salespersons.
• C: Incorrect. The REC's administrative and staff support runs through the Division of Consumer Affairs, but licensing authority itself is vested in the Commission, not the parent department acting independently.
• D: Incorrect. County clerks record deeds and other instruments; they play no role in licensing real estate salespersons.

Correct answer: B. Within the Division of Consumer Affairs, in the Department of Law and Public Safety

Correct. The Real Estate Commission operates as a licensing board within the Division of Consumer Affairs, which sits under the Department of Law and Public Safety.

• A: Incorrect. The REC is not a stand-alone cabinet department; it is one of many professional and occupational licensing boards under Consumer Affairs.
• C: Incorrect. Community Affairs handles housing programs and local government services, not real estate licensee regulation.
• D: Incorrect. Treasury handles state finances and does not house the Real Estate Commission.

Correct answer: C. The New Jersey Real Estate License Act and its implementing regulations at N.J.A.C. 11:5

Correct. Disciplinary grounds and procedures for NJ real estate licensees are set out in N.J.S.A. 45:15 and the Commission's regulations codified at N.J.A.C. 11:5.

• A: Incorrect. Municipal zoning ordinances govern land use, not licensee discipline.
• B: Incorrect. RESPA is a federal statute governing settlement practices and kickbacks in federally related mortgage transactions; it does not define New Jersey's licensee disciplinary standard on its own.
• D: Incorrect. A local REALTOR board's bylaws are a private membership contract and carry no state licensing authority.

Correct answer: D. 75 hours

Correct. N.J.S.A. 45:15-10.1(a) requires 75 hours in the aggregate of real estate coursework at a Commission-licensed school before an individual is eligible to sit for the salesperson exam.

• A: Incorrect. 40 hours is not New Jersey's salesperson prelicensure requirement; New Jersey's figure is significantly higher.
• B: Incorrect. 60 hours understates the requirement; New Jersey's statute specifies a larger aggregate.
• C: Incorrect. 150 hours is New Jersey's broker prelicensure requirement (a 90-hour general course plus two 30-hour courses), not the salesperson figure.

Correct answer: A. At least 3 hours on ethics and ethical conduct, plus at least 1 hour on fair housing and housing discrimination

Correct. N.J.S.A. 45:15-10.1(a) requires at least 3 of the 75 hours to cover ethics and ethical conduct, and at least 1 hour to cover fair housing and housing discrimination.

• B: Incorrect. The statute is not silent on this; it mandates specific minimum hours within particular topics.
• C: Incorrect. 10 hours overstates the fair housing carve-out; the statutory minimum is 1 hour, not 10.
• D: Incorrect. The statute's carve-outs are for ethics and fair housing, not flood disclosure specifically.