4 questions

NJ License Law & NJREC (Title 45:15, N.J.A.C. 11:5)

Which agency licenses and regulates real estate brokers in New Jersey?

  • a.The New Jersey Division of Consumer Affairs
  • b.The New Jersey Real Estate Commission (NJREC), within the Department of Banking and Insurance
  • c.The New Jersey Association of Realtors
  • d.The New Jersey Department of Community Affairs

The New Jersey Real Estate Commission (NJREC) licenses and regulates brokers and salespersons under Title 45:15 and N.J.A.C. 11:5. It sits within the Department of Banking and Insurance. A trade association is a private membership group with no licensing authority.

NJ License Law & NJREC (Title 45:15, N.J.A.C. 11:5)

New Jersey real estate licensing is primarily governed by:

  • a.Title 39 (Motor Vehicles)
  • b.Title 54 (Taxation)
  • c.Title 2C (Criminal Justice)
  • d.Title 45:15 and N.J.A.C. 11:5

New Jersey's real estate license law is at N.J.S.A. Title 45:15, and the implementing rules are at N.J.A.C. 11:5. Together they govern broker and salesperson licensing and conduct.

NJ License Law & NJREC (Title 45:15, N.J.A.C. 11:5)

In New Jersey, a licensee who has passed the broker examination but works under another broker rather than operating independently holds which license type?

  • a.Broker-salesperson
  • b.Provisional broker
  • c.Transaction broker
  • d.Associate salesperson

New Jersey recognizes three license types: broker, broker-salesperson, and salesperson. A broker-salesperson has passed the broker exam but works under another broker instead of operating a brokerage independently.

NJ License Law & NJREC (Title 45:15, N.J.A.C. 11:5)

The New Jersey Real Estate Guaranty Fund exists primarily to:

  • a.Fund continuing education for licensees
  • b.Provide down-payment assistance to buyers
  • c.Reimburse consumers who obtain an unpaid judgment against a licensee for fraud in a licensed transaction
  • d.Pay the Commission's operating budget

The Real Estate Guaranty Fund can reimburse a consumer who wins a court judgment against a licensee for fraud in a licensed transaction and cannot collect it. When the fund pays, the licensee's license is affected until the fund is repaid. It is not an education or operating fund.

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