Highlights Chapter 5 Flashcards
Principal office requirements
Each active worker is required to open, maintain an office, which must be registered with the department of business and professional regulation. The office must consist of at least one enclosed room in a building of stationary construction.
A principal office registration transferable to new location for the remainder of the current registration period
Branch office requirements
If a broker desires to conduct business from more than one office, each additional office must be registered individually as a brush office with the appropriate fee paid
Guidelines for advertising
All legal advertising must be in the name and under the supervision of the broker. All advertising must be done in a manner so that a reasonable person would know that they are dealing with a real estate licensee. All real estate advertisements, including yard signs, new space for ads, business cards, and/or any other advertisements must include the registered name or trade name of of the brokerage firm.
Internet advertising
Internet advertising is any advertisement there is placed online. Internet as must conform to the same requirements as printed material. The pro firms, name or trade name must be placed adjacent to, immediately above, or below the point of contact information. The point of contact information includes the brokers, mailing address, phone number, fax number, or email address.
Blind ads
A blind ad is an illegal advertisement that does not contain the registered or trade name of the broker, or for which there is doubt that the ad is that of a real estate broker
Licensees selling their property by owner
Brokers, sells associates, and broker associates are entitled to deal in real property for personal benefit. Licenses should make clear that they are dealing on their own account and not acting on behalf of others. Licenses should make known their status as licenses to members of the public. This disclosure should take place prior to enter into serious negotiations, but is not required to take place in the preliminary stages of a transaction, such as newspaper advertising., He should also ensure that this disclosure is in writing and the purchase and sale contract.
Earnest money deposits
Binder, escrow, good faith, and promise of future money deposit
An earnest money deposit that shows good faith on the part of the buyer usually accompanies an offer. If no contract results, that deposit is returned to the buyer.
Earnest money deposit
When a deposit is placed or is to be placed, with a title company, or an attorney, the licensee, who, prepared or presented, the sales contract, must indicate on that contract, the name, address, and telephone number of the title company or attorney with whom the deposit was placed. Within 10 business days after each deposit is due and the sales contract, the licenses broker must make a written request to the title company or journey to provide written verification of receipt of the deposit.
Escrow account
An escrow account or trust account may be held in a commercial bank, title company, which has trust, powers, credit union, or savings and loan association located in the state of Florida. The escrow account cannot be held in a stock or von broker house. A broker is not allowed to commingle or deposit the personal funds of any person with any funds being held in escrow, trust, or unconditional.
A broker is authorized to place and maintain up to $1000 of personal or business funds in a sales escrow account, and up to 5000 of personal or business funds in a property management escrow account for the purposes of opening the account, keeping the account open and paying for ordinary service charges.
Depositing escrow funds
A broker must immediately placed earnest money deposit, and ask her or trust account. Immediately is defined as no later than the end of the third business day following receipt.
Dispute settlement procedures
Litigation. A suit in court can be used to resolve. The escort dispute to methods are available the one shows and depends on whether or not the broker feels they are entitled to some or all of the funds in dispute alternative court actions are as follows:
- The broker would file a bill of interpleader if they do not claim any rights to the deposit and their dispute
- The Lori decree would be requested of a broker feels that they are entitled to some or all deposit in dispute.
Escrow disbursement exemptions
When a sales contract is subject to financing, and the broker is acting as an escrow agent, the broker may refund that deposit to the buyer without notification to the commission, if the financing cannot be obtained
Rental information
If the tenant applicant did not obtain a rental(they did not like or except what was offered) they may request a refund of 75% of any fee paid. If the tenant applicant was misled or deceived by the broker concern, and the terms of availability of the property offered(broker material misrepresentation) , they may request a full 100% refund of any fee paid. In either case, the request must be made within 30 days of the contract date.
Rental information violations are considered to be a misdemeanor of the first degree. Punishable by up to one year of imprisonment and/or a sign of up to $1000.
Commission disputes between competing brokers
Brokers involved in a transaction may agree to split or divide a commission if permission of all parties to the transaction has been obtained. If one of the brokers collects the entire commission, I refuses to share with the other broker as agreed, the broker can be charged with failure to account, which is a form of fraud.
Procuring cause of sale
If two or more brokers are competing for a sale, the broker who first produces a purchaser, who is ready, willing, and able to buy is a procurrent cause of sale.
