Chapter 2: Choosing the Right Broker Flashcards
1. In what area of real estate are most licensees engaged? A. Land sales B. Subdivision home sales C. Commercial property D. Residential property
D. Residential Property
2. Which two of the following are the most effective aids to the real estate salesperson in representing buyers and sellers? A. The Internet B. The Multiple Listing Service C. Open House D. None of the above
D. None of the Above
- Which one of the following criteria must be met for the IRS to treat real estate salespersons as independent contractors?
A. The worker is required to undergo training.
B. Payment is made only when and if the job is fully completed.
C. The worker does not make her services available to the public.
D. The worker’s business and travel expenses are paid by the employer.
B. Payment is made only when and if the job is fully completed
- When choosing a broker, a new licensee should be most interested in which of the following offices?
A. An office that has excellent initial and ongoing training
B. An office that offers a 100-percent commission plan
C. An office that has only a couple of successful salespeople
D. An office that has a very busy selling broker
A. An office that has excellent initial and ongoing training
- When choosing a broker, a new licensee should
A. interview several brokers.
B. speak with several licensees in each office before accepting a position.
C. use a comparison chart.
D. All of the above.
D. All of the Above
- Which of the following is not true of role-playing?
A. Role-playing can only be used for interpersonal activities, not telephone techniques.
B. Role-playing situations are as limitless as our imaginations.
C. Role-playing can involve more than one person.
D. Group role-playing with honest critiques after each session are a very effective way to learn.
A. Role Playing can be used for interpersonal activities, not telephone techniques
- Independent contractors working for an employing broker
A. must pay their own as well as the employer’s part of the Social Security tax.
B. are excluded from any type of litigation.
C. are not responsible to the employing broker for their actions.
D. are not considered employees by the federal government.
A. Must pay their own as well as the employer’s part of the Social Security Tax
8. What is the most effective type of training? A. Classroom training B. CDs and tapes C. Books D. Role-playing
D. Role-Playing
- As real estate professionals, the real product we sell is
A. time and knowledge, to people who want to buy, sell, or lease real estate.
B. homes.
C. all types of real estate.
D. None of the above.
A. Time and Knowledge
- What are the advantages of professional designations?
A. More knowledge, which leads to greater self-confidence
B. Greater credibility to your customers and clients
C. Higher earnings
D. All of the above
D. All of the above
100 percent commission plan
Licensees working under this plan will likely be at a lower commission split, usually in the range of 50 to 60 percent until they reach a threshold earnings level. At that time they receive 100 percent of the commission received by the broker in each transaction that they are involved in, minus some type of transaction fee for the balance of their fiscal year, at which time it would start over.
California Association of Realtors
gives the broker or manager the right to cancel within five days of execution if the broker/manager does not agree with its terms, licensees must submit all executed contracts for broker/manager approval as soon as possible
Dual Agency
With written consent from both parties, they may represent both the buyers and the sellers at the same time, which is called dual agency
Single Agency
Most real estate professionals represent people who are either buying or selling a home. They may represent either the buyers only or the sellers only, which is called single agency
