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Real Estate Licensing New Jersey Real Estate Salesperson Exam - Topic 4 Question 11 Discussion

Actual exam question for Real Estate Licensing's New Jersey Real Estate Salesperson exam
Question #: 11
Topic #: 4
[All New Jersey Real Estate Salesperson Questions]

A broker is offering a $100 gift certificate at a jewelry store to all sellers who list with the broker during a specified time period. According to the New Jersey Real Estate License Law, such a promotion is prohibited because it:

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Suggested Answer: B

According to NJ Real Estate Commission rules, brokers and salespersons may not:

Offer prizes, gifts, or inducements that are contingent on entering into a listing agreement.

This is considered an improper inducement under N.J.A.C. 11:5-6.4.

Therefore, the prohibition is because the gift certificate is conditioned on the seller listing with the broker.


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Ruby
13 hours ago
I’m a bit confused. I thought the issue was more about unlicensed compensation, so C could be a possibility too. But I guess it’s not really about that here?
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Louvenia
6 days ago
I remember discussing how promotions can be tricky. I feel like A might be the right answer because it seems unfair to those who don’t list during that time.
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Tamie
11 days ago
I think this question is similar to one we practiced about incentives and how they can affect fair competition. I’m leaning towards B, but I’m not completely sure.
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