What Is the New Jersey Real Estate Commission and What Does It Do?
The short answer: The New Jersey Real Estate Commission (NJREC) is the state body that licenses and regulates real estate brokers, broker-salespersons and salespersons. It was established in 1921 to administer and enforce the real estate license law, N.J.S.A. 45:15-1 et seq. It sets the education and licensing standards, licenses real estate schools and instructors, writes the rules of practice, investigates complaints, and can fine, suspend or revoke licenses (NJREC, About the Commission). It operates within the NJ Department of Banking and Insurance (DOBI), and its offices are at 20 W. State St., Trenton.
If you're working toward a license, the Commission is the agency that issues it. For the full path, see our complete guide to getting a NJ real estate license.
Who sits on the Real Estate Commission?
By statute, the Commission has eight members appointed by the Governor. Each must have lived in New Jersey for at least 10 years (N.J.S.A. 45:15-5):
- Five who have been real estate brokers for at least 10 years
- Two public members
- One representative of an appropriate state department, who serves at the Governor's pleasure
Members other than the department representative serve three-year terms (N.J.S.A. 45:15-5). The current members are listed on the Commission's About page.
What does the Commission do?
According to the Commission (NJREC, About the Commission), its work falls into a few areas.
Licensing. Every broker and salesperson applicant must meet the good-character standards, complete the required education and pass an exam conducted under the Commission's supervision. In New Jersey, PSI Services administers that exam (PSI candidate bulletin).
Education. The Commission prescribes what pre-licensure courses must cover, and it licenses the schools that teach them and the instructors who teach in them.
Rulemaking. It adopts rules that interpret the license law and set standards of practice. Those rules are in N.J.A.C. Title 11, Chapter 5. The rules on attorney review in licensee-prepared contracts are one example (N.J.A.C. 11:5-6.2); see our guide to the NJ attorney review period.
Enforcement. It investigates, holds hearings, and acts as a quasi-judicial body deciding contested license applications and disciplinary cases.
Consumer protection programs. It administers the Real Estate Guaranty Fund and enforces the Real Estate Sales Full Disclosure Act, which regulates the marketing in New Jersey of real estate located in other states and countries.
Can the Commission discipline a licensee?
Yes. The Commission can investigate on its own or must investigate a verified written complaint. It can then place a licensee on probation, suspend or revoke a license, and impose penalties of up to $5,000 for a first violation and up to $10,000 for later violations (N.J.S.A. 45:15-17).
The statute lists the grounds. A few that new licensees should know:
- Making false promises or any substantial misrepresentation
- Acting for more than one party in a transaction without the knowledge of all parties
- Failing to account for or pay over money belonging to others
- Commingling clients' money with your own
- Accepting a commission as a salesperson from anyone other than your employing or contracting broker
- Failing to notify the Commission within 30 days of a criminal conviction, indictment or formal charge
- "Any conduct which demonstrates unworthiness, incompetency, bad faith or dishonesty"
The statute also prohibits anyone from acting as, or advertising as, a broker or salesperson without a license (N.J.S.A. 45:15-1). A third violation can lead the Commission to treat someone as a repeat offender and bar future licensure (N.J.S.A. 45:15-17).
What is the Real Estate Guaranty Fund?
The fund was set up by law to protect people harmed by embezzlement, conversion or unlawful taking of property by licensees in a brokerage transaction. It's funded entirely by assessments on licensees and applicants, not by taxpayer dollars (NJREC, About the Commission). That's why $10 of the $160 initial salesperson license fee goes to the Guaranty Fund (NJREC fees).
Does the Commission show up on the licensing exam?
Yes. The New Jersey portion of PSI's salesperson exam outline includes "Duties and Powers of the Real Estate Commission" (2 items), covering maintenance of records and sanctions such as fines, suspension and revocation. The outline also covers the Real Estate Guaranty Fund and the Real Estate Sales Full Disclosure Act under "Additional Requirements" (PSI candidate bulletin).
How do you contact the NJ Real Estate Commission?
From the Commission's About page:
| Purpose | Contact |
|---|---|
| Licensing questions (applications, license status) | Licensing Bureau, Real Estate, NJ DOBI, PO Box 474, Trenton, NJ 08625-0474 · relic@dobi.nj.gov · 609-292-7272 |
| Investigations, subdivided land sales, regulatory/enforcement questions | NJ Real Estate Commission, PO Box 328, Trenton, NJ 08625-0328 · realestate@dobi.nj.gov · 609-292-7272 |
| Pre-licensure education, broker experience, CE, lists of licensed schools | 609-292-7272 |
| Office location | 20 W. State St., Trenton, NJ |
To complain about a licensee, use DOBI's consumer assistance page, which the About page links for inquiries and complaints. Don't send license application materials to PSI. Applications go to the Licensing Services Bureau (PSI candidate bulletin).
Are Commission meetings public?
Yes. Under the Open Public Meetings Act, the Commission posts its regular meeting schedule. Meetings are currently held on Zoom, and agendas are posted the week before each meeting (NJREC, About the Commission). The Commission's page says it meets approximately 22 times a year, though the posted schedule shows some meetings canceled.
How does this affect someone getting licensed?
In practice, you'll deal with the Commission at two points: when your license application is reviewed (including the good-character review and fingerprint-based background check) and for the rest of your career, when you renew and stay within its rules. Our license requirements guide covers what the Commission looks for, and what happens after you pass the exam explains how the application reaches it.
Business Elementary teaches the 75-hour pre-licensing course live on Zoom: see the 75-hour course.
Sources
- NJREC, About the New Jersey Real Estate Commission: https://www.nj.gov/dobi/division_rec/reabout.html
- N.J.S.A. 45:15-1, License required (via Justia): https://law.justia.com/codes/new-jersey/title-45/section-45-15-1/
- N.J.S.A. 45:15-5, New Jersey Real Estate Commission continued (via Justia): https://law.justia.com/codes/new-jersey/title-45/section-45-15-5/
- N.J.S.A. 45:15-17, Investigation of licensees; suspension or revocation (via Justia): https://law.justia.com/codes/new-jersey/title-45/section-45-15-17/
- N.J.A.C. 11:5-6.2 (via Cornell LII): https://www.law.cornell.edu/regulations/new-jersey/N-J-A-C-11-5-6-2
- NJREC, Real Estate License Fees: https://www.nj.gov/dobi/division_rec/licensing/recfees.htm
- NJ DOBI, Consumer Assistance: https://www.nj.gov/dobi/consumer.htm
- PSI, NJ Candidate Information Bulletin (updated 2/1/2026): https://test-takers.psiexams.com/api/content/bulletin/1667
Last reviewed: October 26, 2026
Related guides:
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Buying or selling for yourself? Buying or Selling Property as a NJ Licensee explains the two disclosures the license law requires in the contract of sale.
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How the fund actually works: The NJ Real Estate Guaranty Fund covers who pays in, what losses qualify, the claim process and the recovery cap.
Frequently Asked Questions
Who regulates real estate agents in New Jersey?
The New Jersey Real Estate Commission, which administers and enforces the real estate license law, N.J.S.A. 45:15-1 et seq. (NJREC).
Where is the NJ Real Estate Commission located?
Its offices are at 20 W. State St., Trenton, NJ. The phone number is 609-292-7272 (NJREC).
How many members are on the NJ Real Estate Commission?
Eight, appointed by the Governor: five brokers with at least 10 years' experience, two public members and one state department representative (N.J.S.A. 45:15-5).
Can the Commission fine a real estate agent?
Yes. Penalties can be up to $5,000 for a first violation and up to $10,000 for later violations, in addition to or instead of probation, suspension or revocation (N.J.S.A. 45:15-17).
Does the Commission give the real estate exam?
The exam is conducted under the Commission's supervision and administered by PSI Services (NJREC; PSI bulletin).