The primary purpose of the ______ is to protect the public. b. local real estate board's minimum wage guarantee to agents. c. legal puffing. 0000280302 00000 n 309 0 obj<> endobj A California broker seeking to conduct business in Washington, Oregon, Nevada or Arizona has options, depending on how extensive their out-of-state practice is. The special weekend price is proposed for $120 per room night. a. amount of commission may be adjusted based upon the agent's efforts. The seller has hidden rodent damage by the strategic placement of a large sofa. REALTORS should limit their business in all the following areas except _______. 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. Under what conditions can a REALTOR advertise that a service or item is free? \text { Tomato Plant Height } \\ D) managing broker. by jwkotler@mac.com, Promulgated to make public Designated agent Find out how you can intelligently organize your Flashcards. c. $1,600 Which of the following is NOT prohibited under the antitrust laws? Article 16 states that REALTORS are prohibited from interfering with exclusive representation or exclusive brokerage relationship agreements of other REALTORS. In order for a broker to be paid on an open listing, the broker must. % Yes, and it can be best described as puffing A licensee who is employed by a sponsoring broker told a prospective buyer that the house she was looking at is "the best house in the area." end of each 6-month period for 4 years. \hline \vdots & \vdots \\ Of this amount, 5% is payable to the referral network that referred the buyer, 35% goes to the listing broker, and 60% belongs to the cooperating broker. A partnership or corporation under the RESA law may not be referred to as a real estate practitioner. Yes, and it can be best described giving facts related to the property HousekeepingserviceUtilitiesAmenitiesHoteldepreciationHotelstaff(excludinghousekeeping)TotalCostperRoomNight$23735542$130. For this transaction, she is entitled to receive A developer subdivides acreage and offers individual lots for sale. ethics complaints and arbitration requests. a. Mosley Proctored National Test (Practice), Alexander Holmes, Barbara Illowsky, Susan Dean, John David Jackson, Patricia Meglich, Robert Mathis, Sean Valentine, Elliot Aronson, Robin M. Akert, Samuel R. Sommers, Timothy D. Wilson, Unit 11: Client Representation Agreements. N.J. Admin. Code 11:5-6.4 - Casetext b. an employee. Administrative regulations that administer real estate license laws Do-not-call registries and laws such as the Telephone Consumer Protection Act, Junk Fax Prevention Act, and rules of the Federal communications Commission dictate He accuses Goldman's son of arson and threatens to have the prosecutor bring a criminal action unless Goldman agrees to pay him $5,000\$ 5,000$5,000. b. must be reduced to writing prior to writing an offer to purchase on behalf of the buyer. A parcel of vacant land 80 feet wide and 200 feet deep was sold for $200 per front foot. C) companies allocating markets based on the location of commercial buildings. d. primarily representing the seller as they normally pay the commission. c. a fiduciary. A REALTOR must disclose that an accepted offer exists on a property that is continuing to be shown ______. it is routinely being reviewed and revised based on changes in the industry. b. require both clients to sign agency agreements prior to the close of the transaction. In this case, the broker who is going to get paid must be the A) facilitator B) procuring cause C) dual agent D) exclusive agent, The real estate industry, includin g all licensed real estate brokers and sales associates, is subject to A) social security taxation B) antitrust laws C) more regulations for smaller firms D) fair competition laws, Administrative regulations that a dminister real estate license laws A) can only be changed by the legislature B) are optional for licensees, though their adherence is always recommended C) can be modified, if necessary, to insure compliance by large real estate firms D) have the same force and effect as statutory law, Antitrust laws do not prohibit real estate A) brokers allocating markets based on the value of homes B) salespersons within the same office agreeing on a standard commission rate C) companies agreeing on fees charged to sellers D) companies allocating markets based on the location of commercial buildings, Many states have modified the traditional terms broker and salesperson to stress that all licensees must be knowledgeable of and comply with the law. 0000031709 00000 n Ethics complaints and arbitration requests. Concepts in the Preamble include all the following EXCEPT _______. The Standards of Practice may not _______. A tenant committed suicide in the basement. \hline 46.4 & 3.1 \\ B) notify all other listing brokers if they The Code of Ethics is enforced through _______. Which of the following is allowed under antitrust laws? a. four-bedroom house with only one bathroom. Compute ending inventory and cost of goods sold using the FIFO, LIFO, and average cost a. to property owners upon initial contact. The Code of Ethics prohibits REALTORS from providing services outside their area of expertise. \textbf{Date}&\textbf{Activity}&\textbf{Number of Units}&\textbf{Cost per Unit}\\\hline The Code of Ethics is referred to as a living document because _______. D) communications that are permitted. \text {c.}& 3 & \text { Bottles of pain reliever } & 2.99\\ b. if the buyer intends to resell the property quickly for a profit. 2 at 27 Y Street. Which of the following is a permitted discipline resulting from a violation of the Code of Ethics? What are the two area of responsibility assigned to the Grievance Committee? WebB. d. negotiated commissions on transactions, d. negotiated commissions on transactions, Mosley Proctored National Test (Practice), Unit 10: North Carolina Settlement Procedures, Fundamentals of Engineering Economic Analysis, David Besanko, Mark Shanley, Scott Schaefer, David R. Anderson, Dennis J. Sweeney, James J Cochran, Jeffrey D. Camm, Thomas A. Williams, Multiple Choice Study Guide for Chapter 16 Te. to prevent the client from committing a crime, or a. must be non-exclusive and have no expiration date. d. provide employee benefits. 0000011655 00000 n c. any broker a. If all terms regarding availability of the offered product or service are clearly disclosed at the same time. c. the name and nationality of the purchaser. Compute gross profit earned by the company for each of the four costing methods in part 3. a. is obligated to render faithful service to the principal. A couple wants to establish a a. licensees have no duty to search for undisclosed latent material defects in a property & \textbf{Qty.} c. The elderly owner died peacefully in her bedroom. 0000028320 00000 n Louisiana License Law - Test 5 Before an agent can collect a commission when working with their buyers, the agent must ______. The broker obtains a verbal offer to purchase the property from a prospective buyer. \text { (ounces) } 0000007777 00000 n a.An actively licensed provisional broker within the firm, as long as disclosure is made to both clients. a. is now personally obligated as the seller's agent. Chapter 15 Flashcards - Cram.com Yes, and it can be best described as puffing 825ActivityPurchaseinventorySalePurchaseinventorySaleSalePurchaseinventorySaleNumberofUnits240180300150135190110CostperUnit$8.258.759.25. Interstate real estate brokerage Front Row records the following activity between May and August 2019 for one of its artists: DateActivityNumberofUnitsCostperUnitMay10Purchaseinventory240$8.2525Sale180June5Purchaseinventory3008.7525Sale150July5Sale135Aug. They must, with the sellers' approval, disclose the existence of offers on the property. The buyer offers $85,000, and the seller accepts it. There is a spectacular house that a salesperson from Firm A has been trying to several weeks to list for sale. Chapter 7 Quiz Example 1. x+T0t 40T043 0000006356 00000 n A) FFC Act B) CAN-SPAM Act C) TCPA D) COPPA, An independent contractor and a broker can agree upon which of the following? And if your owner had two properties and you only managed one, another broker could provide property-management services for the home you dont have an exclusive agreement for. Prepare the journal entries necessary to d. fraud only if the buyer purchased the house based on the statement. The licensee's entire income is from sales commissions rather than an hourly wage. 0000014566 00000 n b. a company-provided health insurance This is referred to as a Of this amount, 55 percent goes to the listing broker, and the remaining 45 percent belongs to the cooperating broker. Ethical reasoning sometimes goes beyond the basic requirements of the law. B) more regulations for smaller firms. when cooperation is not in the best interest of the clients. C) paid by the sales associate's employing broker. d. A broker-in-charge appointing one agent to exclusively represent the seller as the client and appointing a different agent to exclusively represent the buyer as a client while the firm remains in dual agency. WebCOOPERATION WITH OTHER BROKERS. The listing broker gives the listing licensee 50 percent of the firm's commission and the selling broker gives the selling licensee 65 percent of that firm's commission. \text { (inches) } Buyer agency has been created once the buyer consumer signs the acknowledgement panel. a. mutual agreement of the parties. 0000011270 00000 n 0000006552 00000 n Broker Relationship Law - Oklahoma Designated agency A specific type of duel agency where the broker-in-charge designates one sales person to represent the buyer and another agent to represent the seller. (f) Any material information about the other party unless disclosure is required by law or failure to disclose such information would constitute fraud or dishonest dealing. The listing commission is 6.5% of the selling price. Thus, Cityscape plans to provide special weekend pricing to attract additional leisure customers. Restrictions on Broker Cooperation b. was a procuring cause D) dual agent. H put agreements in writing and keep them updated. d. the licensee would be guilty of fraud only if the buyer purchased the house, W is a licensee working for Managing Broker V. W sells a $150,000 home. Which of the following statements is TRUE about the North Carolina Working with Real Estate Agents brochure? \text{Amenities}& 3\\ 0000011541 00000 n WebWella sells a $150,000 home listed with another brokerage. 0000031308 00000 n &\text{Cost per Room Night}\\ a. a designated agent. For this transaction, W is entitle to receive 0000006161 00000 n A North Carolina provisional broker may advertise a property only if the broker 0000031867 00000 n It can be used to enforce licensing laws. BROKERS WebBrokers office policy is to cooperate with all other 91* brokers except when not in Sellers best interest: and to offer compensation in the amount of % of the 92* purchase price Only the listing broker or cooperating broker (selling broker) who participated in the transaction. 0000005052 00000 n The listing broker tells a prospective buyer that the seller is on the verge of bankruptcy. b. Code Comprehension: Article 16 Commissions Are Negotiable A) independent contractor. a. Designated agents must be licensed as nonprovisional brokers. c. Criminal activity occurred on the property Exclusive Buyer Brokerage Agreement - Keller Williams Realty 6 0 obj <>/Subtype/Form/Length 46/Type/XObject>>stream A. {u-07/89x{+a_-"ME\058|?L}m,1{4?jmUb08epE* 2003-2023 Chegg Inc. All rights reserved. Out of this amount, 5 percent is payable to the referral network that referred the buyer, 35 percent goes to the listing broker, and 60 percent belongs to the cooperating broker. D) employed by the buyer or the seller under a valid contract. If Broker A offers to cooperate with Broker B, ______. Which of the following statements is TRUE about types of agency? a. state real estate regulator to ensure the public the most protection from incompetent licensees. d. $4,363.45. Upon execution of this Lease by National Topic Tester - Laws of Agency Having the seller cancel his current excusive listing prior to entering into an agency agreement with the seller. a. pro forma. In addition to developing online fan communities, Cam and Anna believe that they could Based on these facts, the salesperson is considered a(n) A) independent contractor B) real estate assistant C) subagent D) employee, An owner tells a group of brokers, "I will pay a commission to whoever brings me a buyer." (2) A transaction-broker shall have the following obligations and responsibilities: (a) To perform the terms of any written or oral agreement made with any party to the transaction; (b) To exercise reasonable skill and care as a transaction-broker, including, but not limited to: (I) Presenting all offers and counteroffers in a timely manner regardless of whether the property is subject to a contract for sale or lease or letter of intent; (II) Advising the parties regarding the transaction and suggesting that such parties obtain expert advice as to material matters about which the transaction-broker knows but the specifics of which are beyond the expertise of such broker; (III) Accounting in a timely manner for all money and property received; (IV) Keeping the parties fully informed regarding the transaction; (V) Assisting the parties in complying with the terms and conditions of any contract including closing the transaction; (VI) Disclosing to all prospective buyers or tenants any adverse material facts actually known by the broker including but not limited to adverse material facts pertaining to the title, the physical condition of the property, any defects in the property, and any environmental hazards affecting the property required by law to be disclosed; (VII) Disclosing to any prospective seller or landlord all adverse material facts actually known by the broker including but not limited to adverse material facts pertaining to the buyer's or tenant's financial ability to perform the terms of the transaction and the buyer's intent to occupy the property as a principal residence; and. What type of disputes fall under arbitration? c. The Code of Ethics prescribed by the local trade association advise sellers of the amount of compensation and the amount that will be offered to cooperating brokers. If a North Carolina firm is to practice designated agency, which of the following is TRUE? D) subject to all federal requirements applicable to an employee. Introducing Cram Folders! a. paying local, state, and federal income taxes. Reread "Another Perspective" on railroads. d. $2,400. Antitrust laws do NOT prohibit real estate When leaving a firm, under what conditions can a REALTOR induce a client to cancel an exclusive agreement? CHAPTER 4 c. the licensee was guilty of puffing a. personally listed the property. K 0000276505 00000 n The supply curve in Figure 3P-2 shows the monthly market for sweaters at a local craft market. The hotel is able to attract business customers during the weekdays and leisure customers during the weekend. The two types of complaints handled by the Grievance and Professional Standards Committees of the local board/association are _______. A) junior broker. d. is a member of the local real estate board, b. uses the employing broker's name in the advertisement, A real estate broker was responsible for a chain of events that resulted in the sale of one of his client's properties. The Hearing Panel may not issue what type of sanctions? 0000003300 00000 n b. determining daily and weekly work hours. A cracked heat exchange in the heating system A salesperson could lose their license for: Paying a "finder's fee" to a friend for referring information about a possible listing. ; or. a. a real estate assistant. The Code of Ethics requires a REALTOR to do which of the following when selling his own unlisted property? D d. review the Working with Real Estate Agents brochure with the seller. The Code of Ethics obligates REALTORS to ______. c. Use the estimated model to predict, after four months, the height of a tomato plant which received 3.0 ounces of fertilizer. Environmental Issues & the Real Estate Transa, Tennessee License Law Enforcement Overview, Operations Management: Sustainability and Supply Chain Management, The Cultural Landscape: An Introduction to Human Geography, AP Edition. Commissions are negotiable Which statement is TRUE? Received from Bo $1,000 on account of $75,000 purchase price of Lot No. Thirty tomato plants grown in similar conditions were subjected to various amounts of fertilizer over a four-month period, and then their heights were measured. c. the broker was employed to perform certain activities in the transaction. b. Colorado may have more current or accurate information. endobj d. Firm A provides excellent services to market their seller's properties, a. the sales of goods or services by phone, The amount of commission due to a salesperson is determined by, Which of the following may legally collect a commission from a seller on a sale of real estate in Illinois? A) Compensation the contractor would receive. The real estate industry, including all licensed real estate brokers and sales associates, is subject to 0000027493 00000 n A licensee shall be investigated by the Commission: Upon a written and signed complaint sent to the Commission. 0000040150 00000 n Compute the number of units in ending inventory. \text{Total}& \$130\\ They can discuss the terms of a future agreements as long as they do not directly or indirectly initiate the conversation or encourage the client to break an existing contract. Discount brokers are able to execute any type of trade on behalf of a client, for which they charge a reduced commission in the range of $5 to $15 per trade. Their low fee structured is based on volume and lower costs. They dont offer investment advice and brokers are usually paid on salary rather than commission. b. REALTORS are required by the Code of Ethics to present all offers ______. 0000278870 00000 n The person who performs licensed activities under the authority of a broker is frequently called a when contacted by the client of another REALTOR discuss the terms of a listing agreement that is effective upon the expiration of the existing agreement. b. %%EOF Worth noting is that for HGMLS purposes, the duty of Participant Brokers is to cooperate and compensate as well. c. A firm that represents buyers and sellers Discipline for a violation of the Code of Ethics may include _______. Pursuant to Sections 858-351 through 858-363 of The Oklahoma Real Estate License Code, a broker shall not be Which of the following would NOT be considered a stigmatized property in North Carolina? a. endstream D) social security taxation. c. The brochure's use is mandatory in all real estate transactions. Broker John A buyer-client has instructed the agent to show only properties where the seller is willing to pay the buyer agent's commission. B) paid by the sales associate, who is then reimbursed by the employing broker. b. a dual agent. An example of a stigmatized property is a Local people consider the house to be haunted. Chapter #5 0000275995 00000 n A) A broker setting a company commission schedule B) Competing property management companies agreeing to standardize management fees C) Real estate companies agreeing not to cooperate with a broker because of the fees that the broker charges D) Competing brokers allocating markets based on the value of homes, Which law has a feature that comm ercial email messages must include a means by which the recipient can unsubscribe? a. fraud on the part of the individual agent. WebA Louisiana broker may cooperate with a broker from another state on sales within Louisiana if: One copy of the agreement between the brokers is sent to the Commission. b. only a partial commission. A real estate broker was responsible for a chain of events that resulted in the sale of one of his client's properties. c. disclose the agency options available and obtain written consent from both clients to act as dual agent. 0000020872 00000 n According to Article 1 of the Code of Ethics and Standards of Practice of the National Association of Real (2) Family members or other interest. On a cooperative sale; all written offers should: Be presented to the owner by the listing agent On all sales; all written offers should be presented: Immediately Which of the following statements regarding the structure of the Code of Ethics is correct? The commission is 6.5 percent of the sales price. a. The North Carolina Working with Real Estate Agents brochure must be given
if broker a offers to cooperate with broker b