NEW JERSEY TITLE PRO DUCER EXAM,
NJ TITLE FINAL EXAM, TITLE
INSURANCE TEST BANK NJ, NJ TITLE
PRODUCER QUESTIONS A ND ANSWERS,
NJ LICENSING EXAM, TITLE PRODUCER
CERTIFICATION NJ, TITLE INSURANCE
STUDY GUIDE
Question : "A" and "B" bought a house as tenants in
common. If "A" dies which of the following statements about ownership of the house is correct?(a) It automatically becomes tenancy in severalty.(b) It is divided, with B retaining their original interest and the balance going to A's estate.(c) B holds fee simple ownership to A's share of the property (d) B holds a life estate ownership to A's share of the property
CORRECT ANSWER: B) It is divided, with B retaining
their original interest and the balance going to A's estate.
Question : The difference between the value of a property
and the total amount of liens against it is known as:
(a) A down payment (b) Equity (c) Actual cash value
(d) Collateral
CORRECT ANSWER: B) Equity
Question : If a husband and wife take title to a property as
tenants in common, they may also have elected to have:
(a) Title in severalty (b) Separate life estates (c) The right of survivorship (d) Unequal shares of ownership
CORRECT ANSWER: D) Unequal shares of ownership
Question : A person who openly, continuously and hostilely
occupies another's land for a period set by a statute may gain
title by means of:
(a) Voluntary alienation (b) Accretion (c) Prescription (d) Adverse possession
CORRECT ANSWER: D) Adverse possession
Question : Truth-In-Lending Act requires the lender to
furnish an applicant for a real estate loan with a copy of an:
(a) Amorization schedule (b) Disclosure statement (c) Deed (d) Financial statement
CORRECT ANSWER: B) Disclosure statement
Question : The seller is responsible for which of the
following costs at closing:
(a) The realty transfer tax (b) The title search (c) The Deed recording fee (d) Title insurance
CORRECT ANSWER: A) The realty transfer tax
Question : When private property is abandoned the state may
acquire title to that property under the right of :
(a) Escheat (b) Eminent domain (c) Police power (d) Taxation
CORRECT ANSWER: A) Escheat
Question : The term hypothecation most closely means: (a) Conditional security for debt (b) Conditional ownership of property (c) A right of first refusal (d) Conditional mortgage commitment
CORRECT ANSWER: A) Conditional security for debt
Question : A CORRECT statement about condominium and
cooperative apartment owners is that they both:
(a) Receive an annual real estate tax bill (b) Must pas assessments (c) Own shares of stock (d) Own real property
CORRECT ANSWER: B) Must pas assessments
Question : Which of the following is not necessary to a valid
contract:
(a) Consideration (b) Contractual ability (c) Legal purpose (d) The signature of both parties
CORRECT ANSWER: D) The signature of both parties
Question : Which is NOT true of a tax lien sale?
(a) Title passes with the sale (b) The lien holder is the lowest interest bidder (c) The municipality may hold the lien (d) The property owner has two years to pay the lien
CORRECT ANSWER: A) Title passes with the sale
Question : Which would be a credit to the purchaser at
settlement?(a) The balance of an existing mortgage to be assumed
