CPEA

Real Estate Consumer Protection Enhancement Act

In early July, Gov. Murphy signed Bill S3192/A4454, also known as the Real Estate Consumer Protection Enhancement Act, into law. The law, which goes into effect Aug. 1, 2024, strengthens both consumer and real estate licensee protections.

1. Seller's Property Condition Disclosure Statement Now Required

Sellers must provide a fully completed property condition disclosure statement before buyers are contractually obligated. This ensures buyers have all the necessary information, promoting informed decision-making and reducing potential disputes.

2. Designated Agency Now Allowed

Designated agency, which enables a brokerage to appoint different agents to represent both the seller and the buyer with full fiduciary duties at the client's request, is now permissible.

3. Brokerage Services Agreements Required

All real estate licensees will be required to use brokerage agreements, which outline services they will provide to all clients over the course of a respective transaction.

4. Signage Required at Open Houses

Listing agents will be required to explicitly disclose who they represent at open houses in the form of signage either at the entrance or sign-in sheet for all attendees to see.

5. Compensation Disclosure Changes in Multiple Listing Services

Sellers’ agents can no longer disclose compensation in Multiple Listing Services or notify MLSs about cooperative compensation, if prohibited by MLS policy.

6. New CE Requirement Added

Licensees must complete continuing education classes every two years to stay informed and best serve their clients. One course on agency will be added to New Jersey Real Estate Commission continuing education requirements. 

Frequently Asked Questions

*As of 8/30/24*

DISCLAIMER: New Jersey REALTORS® makes no warranty, express or implied, as to the accuracy of the responses, which the New Jersey REALTORS® has made good faith efforts to have up to date as of the latest date displayed above.

Additional Resources to Help

2024 CPEA Overview



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2024 Broker Briefing Panel Discussion

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Agency Explained

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REC Bulletin 24-11

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Updated CIS

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Broker Briefing Panel Discussion Slide Deck

Download Here

Consumer Guide to Written Buyer Agreements

Download here.

Realtors’® Duty to Put Client Interests Above Their Own

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Consumer Guide to Open Houses and Written Agreements

Download here.

What Veterans Need to Know About Buying a Home

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Shareable Social Media Assets + More

Consumer Advertising Campaign

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Seller's Property Condition Disclosure Statement Required

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Full Law Breakdown

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Brokerage Service Agreements Required

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Open House Signage Required

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5 Types of Agency Allowed

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Designated Agency Allowed

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