Ch 3 Creation And Termination Of Agency

Question 1

If a property is sold by the listing firm, it is considered

Answer 1

An in-house sale

Question 2

If a property is sold by a firm other than the listing firm, then it is considered what type of sale?

Answer 2

Cooperative sale

Question 3

What is created automatically with no discussion or action needed on the part of a brokerage firm?

Answer 3

Subagency

Question 4

On what side does the seller retain the services of a broker?

Answer 4

The listing side

Question 5

On what side does the buyer retain the services of a broker?

Answer 5

The selling side

Question 6

What is the best way to create an agency relationship?

Answer 6

In writing

Question 7

Does a broker owe fiduciary duties to a customer?

Answer 7

No, only a client

Question 8

True or false: oral agency agreements are unenforceable against clients

Answer 8

True: needs to have a signed listing agreement

Question 9

An oral agency agreement is _____ against the agent

Answer 9

Enforceable

Question 10

Why can’t oral agency agreements not be placed in the MLS?

Answer 10

Because it is not in writing

Question 11

In Texas what are the four statutory agency relationships allowed by TRELA?

Answer 11

Seller agency, buyer, agency, subagency, intermediary

Question 12

A written listing agreement creates a

Answer 12

Special agency relationship

Question 13

When a broker hires an agent, it creates what type of relationship?

Answer 13

General agency relationship meaning, the license holder, becomes the general agent of the broker

Question 14

True or false: all agents within a brokerage share the same agency duties to all clients within the firm

Answer 14

True

Question 15

All transactions are said to have two sides. What are they?

Answer 15

A listing side, and a selling side

Question 16

MLS stand for

Answer 16

Multiple listing service

Question 17

How is commission negotiated?

Answer 17

Commission is negotiated between the seller and the broker it is not set by TREC

Question 18

What tool significantly facilitate, cooperative sales?

Answer 18

The MLS

Question 19

If a party to a transaction is not being represented by an agent, that party is considered a

Answer 19

Customer

Question 20

When one firm sells a property listed by another firm to a buyer that they are not representing the selling firm that represents, the seller is considered in a?

Answer 20

Subagency relationship

Question 21

Where is sub agency mostly practiced in Texas?

Answer 21

Rural areas

Question 22

What two conditions must be met in order to have a sub agency relationship?

Answer 22

It must be a cooperative cell, and it must be an unrepresented customer

Question 23

What are some ways that an agency is terminated?

Answer 23

When the purpose is completed(property is sold.), expiration of contract, anytime a mutual agreement, death are in capacity of either party, revocation of brokers license.

Question 24

When a broker is given notice of termination, the broker must:

Answer 24

Cease all marketing activities, remove signs and lockboxes, remove listing from websites and other advertising media, terminate the listing in MLS

Question 25

True or false: if a broker determine that a principal was not cooperating with their efforts to Market thier property, they can terminate their agency

Answer 25

True

Question 26

The duties of confidentiality

Answer 26

Extends forever into the future

Question 27

Seller Ashley meets with Agent knuckles and likes his plan for marketing her home. She decides to sign a listing agreement with him there by creating a _______ relationship.

Answer 27

Special agency

Question 28

Broker Beyoncé is representing the seller at Renaissance realty while Broker Jay from rock nation Realty is working with a buyer customer. Beyoncé is representing the seller. Who is Jay representing?

Answer 28

The seller

Question 29

In Texas what agency relationship is not allowed with any party to a transaction

Answer 29

Implied