Humber Real Estate - Course 2, Module 1, Explaining Services Available to a Seller or Buyer UPDATED Questions and CORRECT Answers
7 views 0 purchase
Course
Humber Real Estate
Institution
Humber Real Estate
Humber Real Estate - Course 2, Module 1,
Explaining Services Available to a Seller or
Buyer UPDATED Questions and
CORRECT Answers
The relationship between two parties in which one party (the agent) accepts responsibility for
representing the other party (the principal) in dealing with a th...
Humber Real Estate - Course 2, Module 1,
Explaining Services Available to a Seller or
Buyer UPDATED Questions and
CORRECT Answers
The relationship between two parties in which one party (the agent) accepts responsibility for
representing the other party (the principal) in dealing with a third party. - Correct Answer-
Under Ontario law, how is an 'agency relationship' defined?
Client & Customer - Correct Answer- While common law uses the terms 'Principal' and
'Third Party', what terms does REBBA use instead?
The Common Law of Agency - Correct Answer- The underlying relationship of the
brokerage, salesperson, seller and buyer is based on what?
Someone who is not directly connected with a legal transaction but may be affected by it, OR
supporting one of the people involved, i.e. lawyer, home inspector, etc. - Correct Answer- In
relation to a contract, how is a third party defined?
Representation - Correct Answer- Under REBBA, what is the equivalent for the legislative
term for "agency"?
The brokerage - Correct Answer- In a real estate transaction, who is the 'Agent'?
A seller or buyer - Correct Answer- In a real estate transaction, who is usually the 'Principal'?
Representation - Correct Answer- Agency is also known as ...
Representation Agreement - Correct Answer- A Listing (Seller Agency) Agreement / Buyer
Agency Agreement is also known as ...
,Agreement (Conveyance of Interest in Real Estate) - Correct Answer- Agreement of Purchase
and Sale is also know as ...
Multiple Representation - Correct Answer- Dual Agency is also known as ...
Convey Offer - Correct Answer- Present Offer is also known as ...
Acquisition / Divestiture by Registrant - Correct Answer- Purchase / Sale by Registrant
The seller and buyer - Correct Answer- Who are the 'Parties' to a real estate transaction?
Employee / Employer relationship with authorization to trade on behalf of their respective
brokerages. - Correct Answer- What type of relationship does a salesperson have with their
brokerage from a legal perspective?
Yes. Everyone must protect the client's best interests. - Correct Answer- Once an agency
relationship is established between a brokerage and a client, does the agreement apply to all
brokers & salespersons employed by the brokerage?
The agent who is authorized to trade in real estate on behalf of others. - Correct Answer-
Define 'Brokerage' according to REBBA
Client - Correct Answer- Principal is also known as ...
Someone who authorizes an agent to act on their behalf in an agency relationship, and
provides information and lawful instructions to the agent regarding the transaction. - Correct
Answer- What is a 'Principal'?
The seller - Correct Answer- When a brokerage represents a seller when listing a property,
who is the 'Principal'?
The buyer - Correct Answer- When a brokerage represents a buyer when showing properties
for sale, who is the 'Principal'?
, Customer - Correct Answer- What is the comparable term to 'Third Party' under REBBA?
Third Party - Correct Answer- A brokerage representing only a seller would consider a buyer
as a _________ or a customer?
A relationship of trust with one or more parties. - Correct Answer- What does 'Fiduciary' refer
to in relation to a Representation Agreement?
Fiduciary - Correct Answer- An agent (brokerage) as a __________ has the legal obligation
to act in the principal's (seller's or buyer's) best interests.
- Full disclosure (of all facts known)
- Obedience (obey the lawful instructions of the principal)
- Confidentiality (all info that is confidential will not be disclosed)
- Competence (provide all services competently)
- Accounting (responsible handling of all documents and funds related to the transaction) -
Correct Answer- In a 'Fiduciary' relationship, what are the agent's obligations to the principal
(aka Client)?
The legal power or right given by a principal, and accepted by the agent, to act on the
principal's behalf in business transactions with a third party, and is typically analyzed in terms
of actual and implied authorities. - Correct Answer- Define 'Authority' in legal terms
A seller gives the brokerage authority to offer their property for sale. - Correct Answer- What
is an example of 'Actual Authority'?
The brokerage will determine the best marketing methods to offer the property for sale (not
specified in detail in the contract but allows the agent to get the job done properly). - Correct
Answer- What is an example of 'Implied Authority'?
Single Representation - Correct Answer- Under REBBA, what is 'Single Agency' called?
There is one agent (brokerage) representing one principal (seller or buyer) within a
transaction with a third party. - Correct Answer- Define a 'Single Agency' relationship
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying these notes from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller MGRADES. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for $10.49. You're not tied to anything after your purchase.
