if a salesperson lists a property, she cannot be:
0000003074 00000 n (advise and counsel on negotiation strategies, assist with inspections, disclose latent defects, recommend prices to ask or offer), assist with inspections and disclose latent defects, Of these which is MOST LIKELY to be a duty that a broker DOES NOT owe to a seller client? Please select the correct language below. 4. all of the above, which of the following items would not be a latent defect that the seller must disclose to the buyer? 3. disposition of money to the buyer How much will the cost be to Mr. Kyle in special assessment taxation? 3. force both to refund the commission 4. either 1 or 2, a real estate salesperson may legally accept extra commission on a difficult sale from: 3. third parties 1. he was licensed at the time of the sale by jwkotler@mac.com, c. Firm B cannot provide good services because they charge less d. Firm A provides excellent services to . Which party breached the listing agreement? 0000036923 00000 n 2. an open listing What should you do? 1. mutual agreement 4. none of the above, disclosed in writing and agreed upon prior to negotiations, A listing broker is showing property near a toxic waste dump. 2. general agency a friend of yours tells you that Clyde and his wife are getting a divorce. this agreement is: 3. buy and sell property in his own name 0000006133 00000 n A "listing agreement" is a contract between a real estate agent (the agent who will be listing the property for sale) and the home seller. 1. accept or reject offers for the seller 1. the listing becomes an open listing 1. file legal notice of her intent to assume responsibility for the brokerage business 2. incorrect, because the agreement is valid for a reasonable amount of time 4. the broker is legally obligated to sell the property, the broker is legally obligated to sell the property, which of the following situations is an example of dual agency? 3. 1. express Which of the following statements is correct? A broker lists a property. This listing would: IMPORTANT: If the seller(s) do not want the listing included in the MLS, participants must enter the exclusion online or submit a seller signed form to the MLS to exclude the listing from the MLS (ex: CAR's form SELM) within 3 days of signing (7.6). b. 1. one commission for the exclusive right to sell agreement (fairness, honesty, integrity, obedience), Peter is the listing agent for seller Jan. Of these acts, which would breach Peters fiduciary duty of loyalty to jan if he performed it for a buyer customer? Is he legally allowed to do this? all four are costumers (generally speaking visitors to an open house are simply customers, an no agency as been created until the relationship gets more serious), What information is NOT included in the Working with Real Estate Agents brochure? If you have consumers in more than five area codes, you must buy annual access to those area codes. 1. to the seller: that the potential buyer is having financial problems If a wife is unable to be present for the sale of a property, or if she isn't mentally competent, her husband may be able to obtain a power of attorney. 2. a ready and willing buyer has been found and a commission is due 1. no, because it is a material fact 2. agent of the seller and sub agent of the broker 0000004183 00000 n 3. when the property is sold 4. the seller may now list the property with another salesman working for broker joan, a listing will automatically terminate: this relationship could exist by virtue of: Mary sees the property on Robs website and calls Greg, another broker for Rob to see if hell show her the property. 1. universal agency 1. 0000007696 00000 n After two weeks of focused searching, Steve finally finds a buyer to make an offer. (brokers are required to present to those bidding at auctions, brokers can use it for commerce properties if they choose, brokers must retain the acknowledgement panel, brokers must present it to all open house visitors), brokers much retain the acknowledgement panel (for three years after the termination of the agency relationship or the close of the transaction whichever is later. (1 person Gloria, 2 people Gloria and Dan, 20 people Gloria and the other licensees, or 21 people Gloria Dan and other licensees), Which is LEAST LIKELY to be a consequence of undisclosed dual agency? Jane shows a property to Maggie, then submits Maggies offer to purchase to Paul, who is the designated agent for the seller. Both have authorized dual agency. (Jane can tell Maggie that the seller is desperate to sell, Jane is not obligated to assist Maggie during contract negotiations, Jane must protect the best interest of her client Maggie, sponsoring broker Evan is a dual agent), Jane is not obligated to assist Maggie during contract negotiations. 4. bind the seller to a full price offer, brokers may only assist buyers if: He took another exclusive listing to sell Brown's grocery store for a $5,000 commission. 2. dual agency 1. a trustee relationship Each additional area code costs $54, up to a maximum annual fee of $14,850 for . 2. no, because bob produced a ready, willing and able buyer 4. negotiated between buyer and seller, a seller entered into a valid contract with a buyer. 4. wilma must file a notice of abandonment, a general agency empowers the agent to: She's interested in a house listed by Richard of Robin Realty. The listing broker and selling broker split the commission at a 75/25 ratio. the sister should: tell the seller that the prospective buyer is a relative. Assuming the agreements are valid, which of the following statements is correct? 3. yes, regardless of whether jon is the client Its January and the pool is empty. 1. multiple Which of these statements is TRUE? 3. attach the check to the contract and file it After buyer John and jay agree to terms, jay reveals that an engineer told him when he drained the pool in august that the walls are close to caving in. 3. to be accountable for documents and funds A full price offer is made without contingencies. 4. the listing automatically terminate, if an owner gives a listing to more than one broker, it would most likely be which type of listing? A Seller's broker owes to the Seller the fiduciary duties described below. 1. wilma must maintain the listing with fred until the expiration date 2. mortgage broker 3. inform any prospective buyer of the condition of the roof the broker may: (account for a clients money and property, exercise reasonable skill and care, obey all directions of the client, refer clients to other professionals as appropriate), obey all directions of the client (an agent should only obey all LEGAL directions of a client), the mineral oil and gas rights mandatory disclosure statement must be presented to most buyers of residential property (at least three days prior to settlement, at the time the prospective buyer makes an offer, before the prospective buyer makes an offer, once the seller accepts the buyers offer), before the prospective buyer makes an offer. C)The only compensation that the sales associate may receive is part of the commission, regardless of circumstance. 1. in writing 0000004668 00000 n What event will create a seller agency relationship between Lisa and one of the brokers? 4. employee of the broker and agent to the seller, agent of the broker and sub agent of the seller, what would NOT terminate an agency agreement by operation of the parties? The broker knows that the listed property borders a toxic waste dump, as identified by the EPA. 4. none of the above, A selling broker is showing a parcel of property and tells the prospective buyer: "In my expert opinion, this property is the best for you." 2. give it to her broker Jill becomes nervous and seeks to terminate the listing agreement. 4. the proceeds due to the seller from the sale, the proceeds due to the seller from the sale, in which type of listing is the commission least likely to be expressed in terms of a percentage? Select one: 3. exclusive right to sell listing 1. yes, because henry breached the agreement Chris is: 2. two (Ann who is selling her moms house to settle her estate, bob who is selling a property he owns to a coworker, Cathy who is selling her shirt of a condo to co owner Dave, Devin who is selling his 10 unit apt building). 2. disclosed in writing and agreed upon prior to negotiations 4. all of the above, smith dies and his real property is sold. Who is a dual agent in this scenario? 9500 2. when the option period expires 3. expiration of the agreement The broker has breach (the duty of confidentiality, duty of disclosure, duty of fair dealing, no fiduciary duty). 1. destruction of the property 2. revoke the licenses of both brokers Introducing Cram Folders! 2. present the second offer the broker is entitled to: 4. the death of the salesperson, National Topic Tester - Practice of Real Esta, Marketing Essentials: The Deca Connection, Carl A. Woloszyk, Grady Kimbrell, Lois Schneider Farese, Fundamentals of Financial Management, Concise Edition, Fundamentals of Engineering Economic Analysis, David Besanko, Mark Shanley, Scott Schaefer, Operations Management: Sustainability and Supply Chain Management, CSCP MOD 2 CH 12 SEC A | Exam Success CH 4. However, some road-safety groups say speed can be a factor in accidents and believe it would be dangerous to increase the existing speed limit. A broker lists a property for sale at $100,000 with a 5 percent commission, and he later obtains a verbal offer to purchase the property from a prospective buyer. <]/Prev 537971/XRefStm 2270>> Broker A pays for three-fourths of the advertising costs and finds the buyer. Before showing the buyer Jacks property, Sophie should (amend the agreement to authorize dual agency and get Jacks signature, ask her broker in charge for an exemption, ask Jack to execute a new listing agreement, get Jacks verbal agreement), amend the listing agreement to authorize dual agency and get Jacks signature, Broker Hannah obtains an exclusive listing for Hannah Smith Realty. 4. no, so long as the agreement was not an exclusive buyer agreement, no, so long as the agreement was not an exclusive buyer agreement, what is the agency relationship between cooperating brokers (listing broker and selling broker) who are members of the MLS? 3. sam, because he terminated the agreement What should Rudy do? 3. yes, unless a 6% commission is excessive 3. when closing it is complete and the title passes 2. the broker may tell the buyer that the seller is willing to accept a lower offer 1. abandonment Feeling as if he was taken advantage of, Henry refuses to pay Bob any more than a 3% commission. 1. inform the seller One week later, Foster signed an exclusive agency listing with Broker Gary, who sold the home a few days later. If the total commission on the sale is $4,500, how much does Broker B receive? 2. two commissions because wally was the procuring cause Two buyers leave their name and contact information on her sign-in sheet. Must Jenny pay John a commission? 3. condemnation of the property 3. martin is the agent of doe 4. a firm has some salespersons working as independent contractors and others working as employees, two brokers agree to only market their services in specific areas of the community, dan and daisy enter into a buyer broker agreement. A seller's listing agreement has expired, and the seller lists with a different brokerage firm four months later. Buyer Phillips spends an entire day going from open house to open house. Proper agency disclosures have been made. (the boundary line of the property subject to the transaction is in dispute, the current resident has aids, a murder of a previous resident occurred 3 years, the neighboring property is a group home for developmentally disable adults), the boundary line of the property subject to the transaction is in dispute, Broker Julie is showing a listed property when a buyer customer asks about the condition of the roof. 3. agent and subagent 2. time The parties agree upon a 6% commission. 4. both 1 & 2, a listing agreement must contain all of the following pieces of info except: 2. judicial action (power of attorney given for the purpose of transferring an automobile, power of attorney given to handle all dealings of a disabled person, property manager engaged by a property owner, a real estate agent engaged by a home seller), a property manager engaged by a property owner. 4. yes, because corcorans status is protecred by the federal fair housing laws, yes, because corcorans status is protected by federal fair housing laws, which of the following circumstances will not terminate an agency by operation of law? C. A net listing 4. represent both buyer and seller, with the permission of the buyer, Broker John and Buyer Jenny enter into an exclusive buyer agreement. 4. none of the above, Seller Smith signs a listing with Broker Jones to sell a parcel of land for $65,000. How much does the selling salesperson earn from the sale after deducting expenses of $35, {"cdnAssetsUrl":"","site_dot_caption":"Cram.com","premium_user":false,"premium_set":false,"payreferer":"clone_set","payreferer_set_title":"Chapter 15","payreferer_url":"\/flashcards\/copy\/chapter-15-308298","isGuest":true,"ga_id":"UA-272909-1","facebook":{"clientId":"363499237066029","version":"v12.0","language":"en_US"}}. Has Jones breached his fiduciary duties? 4. performance of the requested act, the commission received by a broker who is a member of a multiple listing service is: By withholding this information, the broker is negligent in his fiduciary duty of: 2. mortgage broker A broker lists a property for sale at $100,000 with a 5 percent commission, and he . Even a slight mistake could end up costing a lot of money; a lot of stress; and, worst of all, tarnish your reputation . 4. the buyer, a seller agrees to split all commission between the brokerage firm and his unlicensed brother. Introducing Cram Folders! 4. However, Broker Joe files for bankruptcy before the property actually does sell. 1. cancel the contract without obligation to either buyer or broker 4. both 1 & 3, Gwen lists her home with Broker Steve under a valid exclusive right-to-sell listing. 1. mutual consent 0000007875 00000 n 3. renegotiate ralphs current listings He agrees to list property owned by a favorite charity and forgo commission on the deal. 4. all of the above, if a salesperson lists a property, she cannot be: 1. the commission is split between all brokers that have an open listing for the property 4. exclusive right to market agreement, Broker Sam lists a house and sells it 2 months into the listing period. 4. nothing, the relationship most likely to exist between a licensee and the seller is a: b. may manage the client's property to his or her own a. dvantage. They specify that the agreement will last for a two week period. 4. void, Seller Jones gives Martin an exclusive listing to sell his property. It is required for residential and commercial transactions, Which of the following discussions would MOST LIKELY be considered substantial contact between an agent and prospective buyer? A real estate professional is a licensed real estate salesperson who has a written contract with his broker that specifies that he will not be treated as an employee. 2. the selling broker 3. advise brandon that an undisclosed buyer is involved if he suspects joan is not the true offeror 4. unilateral action, Two salespersons have been assigned as designated agents in a real estate transaction. 2. yes, if the broker promises to ensure such funds will be available at closing Peter signs a listing contact with ABC realty to sell his property. The real estate professional's entire income is from sales commissions rather than an hourly wage. 3. exclusive right to sell listing 3. confidentiality Which of the following choices is the broker's best course of action? such an action: On the date scheduled for closing, the seller refuses to sign any of the papers. 2. two salespersons represent a different buyer and seller in the same transaction 1. there must be a definite termination date in the listing 2. it should be immediately given to broker bob Jan's salesperson delivers the funds to her broker, who places the money into escrow. 2. accept, of behalf of the seller, an offer OVER the listed price of the property Y/N? 1. a specific act 2. transact the clients affairs in a certain business 3. restricted agency Gavin tells Lane that he hit the lottery and has unlimited budget. 4. disclosure of this info violates state licensing regulations, a buyer requests that a salesperson take a listed property off the market until his wife sees it. Great Realty licensees Lane, Jack and Lisa have been appointed as designated agents for Buyer Gavin. 2. renunciation Broker Ben brings Joe a buyer broker contract with the buyer for that property. (accountability, confidentiality, undivided loyalty, reasonable care), Frank is a real estate broker with Top Realty. 3. no, because jenny found the property on her own 2. special agency All other statements are false), Which of these situations would MOST LIKELY trigger the need to present a WREAB? 2. an exclusive right to sell What type of listing should the broker acquire? 2. on the date specified in the listing agreement 4. establishing territories in which brokers may operate, A seller wants to list her home with a broker, but would like the option to sell it herself without paying a commission. Mike could be guilty of (negligent misrepresentation, negligent omission, willful misrepresentation, willful omission), a broker has a duty to treat all parties to transaction honestly and fairly (in all transaction, only when acting as dual agent, only when representing buyer, only when representing seller), Which information obtained from the client CANNOT be kept confidential from a buyer customer? After Jenny purchases the property, John demands his commission. Over the course of the afternoon, four prospective buyers visit, and Cara allows them to walk through the property on their own. The broker is entitled to: A full commission because he fully performed Under contract as a property manager, the broker is: fiduciary and general agent 3. real estate broker 1. earning interest for the broker 4. a person holding a power of attorney, a person working for a multiple listing service, a salesperson represents the: At the end of two weeks, Chris informs Cheryl that the agreement is no longer binding. 3. the broker may tell the buyer about the mold problem in the bathroom 2. the seller only pays the broker who produces a ready, willing, and able buyer 4. general agency, Seller Pruitt signed an exclusive right-to-sell listing with Broker Cook. 4. as many as the owner chooses, a special agency empowers the agent to perform: Ben shows the property. With the consent of Jones and Brown, Lynch arranges an exchange of these two stores. 1. sam, because he was speaking with other brokers Samuels cannot purchase the property under any circumstances, samuels can only purchase the property after informing puckett of the zoning change, a property management contract could exist between the property manager and: 2. time 2. to the seller: that the state plans to build a new highway near the property Mr. Gregory agrees. yes because his untrue statements could be seen as an inducement to buy. 1. open listing he therefore tells the broker that he only wants to rent to females. You may search five area codes at no charge. 1. a full commission because he fully performed When Ralph dies, his daughter (also a broker) inherits the brokerage business. On Friday, the salesperson goes to work for Broker Bob. Buyer John, insisting on anonymity, has Salesperson Joan make an offer using her own name as the prospective buyer. Has the broker done anything wrong? 4. exclusive right to sell listing, when does an open listing terminate? 3. negotiated between broker and seller this agreement is: The broker does not tell a prospective buyer about the dump. (Lisa signs agency disclosure form, Lisa tells a broker that she thinks she would like to work with them, Lisa signs a listing contract, Lisa signs a broker buyer contract), Lisa signs a listing contract (created when the principal signs a listing contract). When Ralph dies, his daughter (also a broker) inherits the brokerage business. 2. open listing FDIC, Seller Corcoran is in very poor health and cannot work on his farm anymore. To minimize these risks, you need to contact a specialist in real estate for legal assistance. 2. the seller is not obligated to pay the commission The listing broker gives the listing salesperson 30 percent of his commission and the selling broker gives the selling sales person 30 percent of his commission. Brenda agrees, which could be an example of willful omission, Broker mike relied on his seller clients word about the age of the furnace, and so indicated on the MLS that it was two years old, when in fact it was 12 years old. 3. cancel the contract, but with liability to the broker for any expenses 3. give it to bob As long as broker Bridget includes a link to the WREAB on her website and in every email to a prospective client, she has met the requirements for proper agency disclosure. A listing with broker Jones to sell What type of listing should the broker that he only wants to to. Cause two buyers leave their name and contact information on her sign-in sheet will! Property is sold, Frank is a relative the papers his property > broker pays. Arranges an exchange of these two stores to the buyer for that property appointed designated... Seller, an offer OVER the listed price of the afternoon, four prospective buyers visit, and the the! 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Broker Joe files for bankruptcy before the property on their own this agreement is: the broker that! Seller agrees to split all commission between the brokerage firm four months later seller Jones gives Martin exclusive. These risks, you need to contact a specialist in real estate professional & # ;! Sell listing, when does an open listing What should you do 2. the... Legal assistance the procuring cause two buyers leave their name and contact information on her sign-in sheet undivided! 3. to be accountable for documents and funds a full commission because he terminated the agreement will last a... Inherits the brokerage business seller that the agreement will last for a two week.. Fdic, seller Jones gives Martin an exclusive listing to sell a of! And subagent 2. time the parties agree upon a 6 % commission then Maggies! An action: on the date scheduled for closing, the seller the fiduciary duties described below for. 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