chapter 6 quiz Flashcards
which of the following statements most closely describes a listing contract?
it serves as an employment agreement between a broker and a seller.
in some cases a broker’s commission can be earned if the broker can prove he/she set in motion a series of events that resulted in the sale. to do so means the broker:
was the procuring cause of sale
when a salesperson performs the duties of a licensee, the salesperson does so:
as a general agent for his/her broker
if a salesperson acts as an independent contractor, then:
he/she controls his/her own working hours.
the listing broker and salesperson owe all but which of the following to the purchaser?
negotiation of the lowest possible price
if asked by a prospective buyer, the listing agent must disclose all of the following EXCEPT:
the previous occupant had AIDS. (protected by Fair Housing, considered handicapped)
the term fiduciary best describes:
an agent
the amount of a broker’s commission is:
established by agreement between the broker and the seller
a listing broker has noticed that there has been water in the basement of the house he is marketing, but the seller states that the problem was solved and he does not want it mentioned. should this fact be revealed by the broker to a prospective purchaser?
Yes, the problem is clearly a “material fact” and must be disclosed.
an agency may be terminated by all but which of the following?
the listing salesperson dies
owner Brewer authorized Broker Owen to sign a contract of sale. this authorization was granted by:
executing a power of attorney.
**document authorizing one person to act on behalf of another
a general agency empowers the agent to:
transact the principal’s affairs in a certain business.
a listing that allows the owner to sell the property without being liable for a commission, but also appoints only one broker to act as sole agent is an:
exclusive agency listing.
Exclusive Listings must include:
a definite date of expiration
when a third party relies upon the principal’s representation that a particular broker is his/her agent, even though the broker is unaware of the fact, the principal’s actions create a/an:
ostensible agency.
if a listing agreement does not specifically authorize a broker to accept and hold an earnest money deposit on behalf of the seller, then the
broker has implied authority to accept such deposit
acting as a dual agent w/out the consent of all parties is a breach of a broker’s duty of:
loyalty
a provision in a contract of sale that obligates the purchaser to list the property w/a specific broker when the property is resold is:
both A and C
A. in violation of antitrust laws
C. called a tie-in
an owner desired to net $147,600 from the sale of her home. Broker Baily accepts the listing with a 6.5% commission. the list price will be?
$157,900
look at example/book
the 100% commission plan means:
the salesperson receives the entire fee but pays the broker a monthly fee for office space, administrative services, and use of the broker’s name.
which of the following is characteristic of an exclusive right to sell listing?
it may allow more than one broker to share a commission paid by the seller
Ronald is acting as a buyer broker for his sister, Regina, who is looking for a house. since he has a written contract authorizing him to consider her a client, he is authorized to do all of the following EXCEPT:
accept a counter offer on Regina’s behalf while she is out of town.
Alice has listed a property for an out-of-town investor. Her advertising is producing calls, but a hostile tenant is denying her access for showings. when told of this, the seller replies, “that’s your problem.” which is true?
Alice can renounce her listing since the owner refuses to cooperate.
a statement of exaggeration which a reasonable person would recognize as untrue is an example of:
puffing
if a contract for sale provides for the owner to sell a home in “as is” condition, then:
latent defects must still be disclosed to the purchaser.