INDIANA REAL ESTATE EXAM

The ____ is fully responsible for the actions preformed in the course of real estate business by all persons licensed under ______. - Answer-Broker, Broker The _____ can carry out ONLY those responsbilties assigned by employing ____. - Answer-Salesperson, broker A salesperson can receive ______ ONLY from that broker. - Answer-compensation A salesperson has _______ to make contracts with or ______ from any other party. - Answer-no authority, receive compensation A brokers commission is specified in the ______ with the principal. - Answer-contract Independent contractors must have .... - Answer-1. Current real estate licenses 2. Licensee must have a written contract w/ broker ( Tax Reasons) 3. At least 90 % of the individuals income as a licensee must be based on sales production and NOT on # of hours worked. Anti-trust violations - Answer-price-fixing, group boycotting, allocation of customers and markets, tie-in agreements Exclusive right to sell listing - Answer-In this agreement, the agent gets paid no matter who sells the property, regardless of whether it's the agent or the seller Exclusive agency listing - Answer-Agents get paid in this type of agreement only if they sell the property. No fee is earned if the owner sells the property on his own Open listing - Answer-In this type of agreement, sellers have the right to use as many brokers as they want. The seller is not, however, obligated to pay any of them if he sells the property Net listing - Answer-This type of agreement is illegal in some states. The agent gets to keep everything he can get that's more than the sale price the owner wants Fiduciary - Answer-The relationship between an agent and a client