Fair Housing, Practice, and Disclosures Practice Question
Question
A salesperson notices a possible compliance problem for the New Jersey Real Estate Salesperson Exam involving lead-based paint and New Jersey disclosure and consumer protection practice. Which statement is the best answer? (Item 185)
Answer choices
- A. Apply federal disclosure concepts for pre-1978 residential housing in a way that fits New Jersey exam practice.
- B. The issue can be ignored if the parties want to close quickly.
- C. The rule applies only to commercial transactions and never to residential transactions.
- D. Client funds may be mixed with business funds if the broker reconciles the account later.
Correct Answer
A. Apply federal disclosure concepts for pre-1978 residential housing in a way that fits New Jersey exam practice.
Explanation
The correct answer is A because lead-based paint requires candidates to apply federal disclosure concepts for pre-1978 residential housing. The New Jersey reference keeps the scenario tied to state licensing practice, while the other options rely on unsafe assumptions about oral custom, escrow, client preference, independent licensee authority, or ignoring written duties.
Question details
- Difficulty: easy
- Domain: Fair Housing, Practice, and Disclosures
- Objective: lead-based paint