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Real Estate New Jersey Real Estate Salesperson Sample Questions:

1. The main purpose of a deed is to

A) convey title.
B) guarantee clear title.
C) record and acknowledge title transfer.
D) provide documentation of legal possession.

2. Which of the following statements would most likely be considered mere "puffing"?

A) This area is expected to increase in value by 25% within the next year.
B) The utility costs in this home are lower than in any other home in the neighborhood.
C) Children from this neighborhood have the highest SAT scores.
D) This lot has the most beautiful view of the lake.

3. A married couple is planning to purchase a house that costs $86,000. If they obtain a 60% loan and the lender charges a 2.5% loan origination fee and 0.5 discount points, what is the cost of these expenses?

A) $2,150
B) $2,580
C) $1,548
D) $1,290

4. A couple who sell their principal residence may take up to $500,000 in federal capital gains tax-free only if:

A) neither has ever used the Homesellers Exclusion in the past.
B) they buy a replacement home of equal or greater value than the one being sold within a year.
C) they have owned and occupied the house for at least 2 of the previous 5 years.
D) at least one of them has reached the age of 65.

5. A broker may legally refuse to accept a listing:

A) at any time, for any legitimate reason.
B) only if the owner's instructions are illegal.
C) under no circumstances; all owners are entitled to professional representation in the sale of their property.
D) only if the seller cannot give clear title to the property.

Solutions: