Chapter 2 Vocabulary Flashcards
Special agency:
A. A firm that is engaged by another firm to provide brokerage services in a transaction but that is not associated with the firm.
B. An agency relationship where an agent is authorized by a principal to perform one particular act or transaction.
C. The practice of representing either the buyer or the seller but not both in the same transaction.
D. The U.S. federal agency that coordinates governmental intelligence activities outside the United States.
B. An agency relationship where an agent is authorized by a principal to perform one particular act or transaction.
One-party listing contract:
A. The practice of representing either the buyer or the seller but not both in the same transaction.
B. A listing contract where the listing firm earns a commission only if a property is sold to a buyer named in the listing contract.
C. Selling one product only if the buyer agrees to purchase another product.
D. A written instrument giving a person the authority to act on behalf of another.
B. A listing contract where the listing firm earns a commission only if a property is sold to a buyer named in the listing contract.
In-house sale:
A. A sale of used household or personal articles held on the seller’s own premises.
B. A sale in which a listing firm is the only firm in the transaction.
C. The transfer of real estate by means of a deed.
D. A written or oral contract between parties.
B. A sale in which a listing firm is the only firm in the transaction.
Implied Agency:
A. The body of law that determines the rights and duties owned by an agent to a principal.
B. The practice of representing either the buyer or the seller but not both in the same transaction.
C. A relationship between a firm and two or more of the firm’s clients where the clients are parties in the same transaction.
D. An agency relationship created between parties by their actions.
D. An agency relationship created between parties by their actions.
Buyer agency agreement:
A. A written employment agreement that creates an agency relationship between a firm and a buyer.
B. An agency agreement giving the listing firm the exclusive right to market the seller’s property.
C. An enforceable contract between the seller and the buyer.
D. A contract for a subagent to use when working with a buyer consumer.
A. A written employment agreement that creates an agency relationship between a firm and a buyer.
General agency:
A. A firm that is engaged by another firm to provide brokerage services in a transaction but that is not associated with the firm.
B. A relationship in which one person acts for or represents another for a single transaction.
C. An agency relationship that is created by the accidental actions of a party.
D. An agency relationship where an agent is authorized to conduct all of a principal’s affairs within the context of an agency contract.
D. An agency relationship where an agent is authorized to conduct all of a principal’s affairs within the context of an agency contract.
Net listing contract:
A. A legally enforceable promise or set of promises that must be performed, and for which, if a breach occurs, the law provides a remedy.
B. An agency agreement giving the listing firm the exclusive right to market the seller’s property.
C. An employment contract in which the firm receives, as commission, all excess monies over and above the minimum sales price agreed on by the firm and the seller.
D. An agreement between a buyer and a seller for the sale and purchase of a property.
C. An employment contract in which the firm receives, as commission, all excess monies over and above the minimum sales price agreed on by the firm and the seller.
Ready, willing, and able buyer:
A. A party who is conveying an interest in real property.
B. A prospective buyer of property who is legally capable of financially able to complete the transaction.
C. One who is placed in a position of trust and confidence, normally responsible for the money or property of another.
D. The purchaser under an option contract.
B. A prospective buyer of property who is legally capable of financially able to complete the transaction.
Rescission:
A. A way of terminating the rights of the parties under a contract whereby the parties act as if the contract never existed and forfeit their rights to sue.
B. A period of temporary economic decline during which trade and industrial activity are reduced.
C. The amount of space required by zoning restrictions between the lot line and any improvements on the lot.
D. The act of closing a real estate transaction.
A. A way of terminating the rights of the parties under a contract whereby the parties act as if the contract never existed and forfeit their rights to sue.
Express Agency:
A. An accidental agency relationship created by the actions of a party.
B. A way to defer capital gains tax by exchanging like property for like property.
C. A provision in a contract that requires he completion of a certain act or the happening of a particular event before that contract is binding.
D. An agency relationship created through spoken or written words.
D. An agency relationship created through spoken or written words
Exclusive agency listing contract:
A. An agency agreement where the seller promises to pay a commission the the listing firm if the terms of the contract are fulfilled no matter who finds the buyer.
B. An agency agreement where the seller promises to pay a commission to the listing firm if the terms of the contract are fulfilled, except if the seller finds the buyer.
C. An agency agreement where the firm’s commission will be any dollar amount over the purchase price.
D. A document signed by a borrower that states the loan amount, the interest rate, the time and method of repayment, and the obligation to repay.
B. An agency agreement where the seller promises to pay a commission to the listing firm if the terms of the contract are fulfilled, except if the seller finds the buyer.
Open listing contract:
A. The listing that gives more than one firm the right to sell a property.
B. The business of bringing buyers and sellers together in the marketplace.
C. An agreement to keep open, for a set period, an offer to sell or lease real property.
D. A financing instrument with terms that are transferable to another party.
A. The listing that gives more than one firm the right to sell a property.
Exclusive right to sell listing contract:
A. An agency agreement where the seller promises to pay a commission to the listing firm if the terms of the contract are fulfilled no matter who finds the buyer.
B. A listing where the listing firm will earn a commission if the named buyer purchases the property.
C. An agency agreement where the seller promises to pay a commission to the listing firm if the terms off the contract are fulfilled, except if the seller finds the buyer.
D. An agency agreement where the seller promises to pay a commission equal to the difference between the purchase price and the list price.
A. An agency agreement where the seller promises to pay a commission to the listing firm if the terms of the contract are fulfilled no matter who finds the buyer.
Multiple Listing Service (MLS):
A. A service permitting firms to pool their listings and offer to compensate other firms.
B. A way for a seller to negotiate with multiple buyers.
C. Competitors conspiring together to eliminate competition by agreeing on the prices they will charge consumers.
D. A listing that gives more than one firm the right to sell a property.
A. A service permitting firms to pool their listings and offer to compensate other firms.
Mirror image offer:
A. A promise made to purchase a seller’s property under certain terms.
B. An image that has its parts arranged with a reversal of right and left.
C. An offer to purchase that is written at the price and on substantially the same terms set forth in the listing.
D. A written instrument giving a person the authority to act on behalf of another.
C. An offer to purchase that is written at the price and on substantially the same terms set forth in the listing.
