New Jersey Real Estate License Exam Practice Question
A buyer wants to place a $5,000 cash deposit on a property. The licensee to whom the payment is made MUST provide the buyer with a:
Correct Answer: D
Rationale: When a buyer places a cash deposit, the licensee must provide a written receipt signed by the licensee to ensure transparency and documentation of the transaction. This protects both the buyer and the licensee by confirming the amount received and the purpose of the deposit.
Option A is incorrect because listing payment options does not fulfill the requirement for a receipt. Option B, while informative, is not necessary for the buyer and does not serve as proof of the transaction. Option C is also incorrect, as a 1099 form is related to tax reporting, not to confirming the receipt of a deposit.
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