Brokerage

Question 1

Listing Agreement(Contract)

Answer 1

creates contractual relationship with seller and the agent’s broker. Seller determines listing price. Listing contract must be signed by everyone on the deed

Question 2

Types of Listing Contracts

Answer 2

1. Open Listing(Uni-Lateral)
2. Exclusive Agency
3. Exclusive Right To Sell

Question 3

Open Listing

Answer 3

Owner Hires many agents to sell property. Seller can also sell himself. Gives agent the least amount of protection.

Question 4

Exclusive Agency

Answer 4

Seller hires one agency to sell property. Can also sell himself.

Question 5

Exclusive Right To Sell(Bi-Lateral)

Answer 5

The agent is the only person to earn a commission if it is sold during the contract period. If it is sold by someone else, the agent is still entitled to commission.

Question 6

Required Elements of Listing Contracts

Answer 6

Property Description
Price
Commission
Duration
Special Terms
Signed by Parties to be charged

Question 7

Types of Buyer Agreements(contracts)

Answer 7

1. Open Buyer Agency Agreement(Uni-Lateral Contract)
2. Exclusive Agency Buyer Agency Agreement
3. Exclusive Buyer Agent Agreement/Exclusive Right To Represent

Question 8

Open Buyer Agency Agreement

Answer 8

Least protection for agent. Allows the buyer to use multiple agents and buy from a seller directly without owing any commission.

Question 9

Exclusive Agency Buyer Agency Agreement

Answer 9

Agent is the sole real estate representative for the buyer. IF the buyer uses someone else they still have to pay agent. Buyer can purchase a FSBO themself without paying commission.

Question 10

Exclusive Buyer Agent Agreement/Exclusive right to represent

Answer 10

Best protection for agent. Sole representative for the buyer and still owed a commission if they use someone else including FSBOs

Question 11

Responsibilities of Buyer/Seller Agents

Answer 11

Obedience
Loyalty
Disclosure
Confidentiality
Accounting
Reasonable Care and Skill