Flashcards in NJ Real Estate Deck (96)
Licensees are required to provide their customer with a document called the Consumer Information Statement on NJ RE relationships except in this situation:
Non-residential sale and lease transactions
How many days does an attorney have to review signed contracts after it is delivered to both parties? (Attorney review clause)
3 business days
NJ Law against discrimination applies to which specific group?
Private club renting only to its members
A licensee must deliver a duplicate original of a signed contract to all parties within how many days?
How long does a broker have to maintain a record of his client submitting an offer that was NOT accepted and a listing contract that expired without a sale?
6 months from offer or from expiration of listing
Is a Judgement a special or general lien?
Which type of deed would not normally be used to transfer title?
Title is transferred at the time of?
When a deed or other document is recorded, what kind of notice is given?
Component of a deed where the grantor expresses a desire to transfer interest in the property to the grantee
Legal process know as Attachment is:
When the court decides to take custody of the property so that the defendant (owner) cannot dispose of the property before the court case is decided
Do trade fixtures have to remain if they are attached to the space?
No, if it's business related it can be removed
Cost Appraisal/Summation approach
Determines the cost (or replacement cost) of constructing a building using up to date materials and techniques
Market data approach/Sales Comparisons approach
Finding value by comparing a property to others in the area that are similar in size and condition
The Cost Approach to value a building is helping when:
Very few buildings nearby are similar (church etc.)
Cap Rate (%) Formula
The Quantity Survey Method
When an appraiser analyzes data on labor costs, material costs, and amount of materials needed to determine the structure's replacement cost
If a buyer gives a salesman a cash deposit, can he deposit it with or without the owners consent?
Without for a CASH deposit as earnest money
Substitution of a new obligation between the same parties with the consent of both parties. Original contract is discharged, also happens when a member of a contract is replaced
Transaction broker owes fiduciary duty to who?
Nobody. They work with a buyer and seller without repping anyone
When a Salesperson uses a clients funds for his own use
Private Well Testing Act
Buyer and seller must certify in writing that they have received and reviewed water test results at closing (only applicable where water sources are drinkable)
Short term financing where money is lent during the gap between two closings (buying house and then other house sells so you don't need the loan anymore)
Using personal property as security
Locked in and cannot be paid off before maturity
Shared Appreciation Mortgage
The lender gets some or all payment in the form of a share of the increased value or appreciation of the property
Equitable Right of Redemption
Ability for the mortgagor in default to pay back his loan and redeem the property before it is auctioned away at a foreclosure sale
Ginnie Mae purchases loans on which market?
Secondary Mortgage Market
Alienation Clause, aka due on sale clause
Requires mortgagor to pay off loan all at once if there is a sale or transfer of title