Section 4 Flashcards
someone who acts in a special position of trust and confidence.
fiduciary
formed when one party agrees to act for the benefit of the other party.
fiduciary relationship
person delegating authority for the other to act on his or her behalf
principal
Three types of agency relationships
Universal
General
Special
has broad powers that cross over into all aspects of an individual’s life
universal agent
agent limited to one specific area of the principal’s life
general agent
Real estate licensees are _____ _____ of the employing broker
general agent
When a broker is hired to be a property manager, the broker is a _____ _____ of the property owner.
general agent
agent appointed for a specific purpose or to handle a single business transaction.
special agent
A real estate broker is a _____ _____ when working for either a buyer or a seller in the transfer of property.
special agent
Acting as a fiduciary for two opposing parties creates a
dual agency relationship
In Florida dual agency is
illegal
Agency relationships are determined by the
broker
DELETE
DELETE
may represent EITHER a buyer or seller but never both in the same transaction.
Single Agent
may represent EITHER a buyer or seller or both parties in the same transaction.
No Brokerage relationship
Is payment required to form an agency relationship?
no
Agency may be terminated by:
Lapse of time purpose achieved mutual agreement certain events court action
Agency disclosure requirements for residential sales must be met as outlined in the
Brokerage Disclosure Act
A broker is presumed to be working in the capacity of a _____ _____ unless a disclosure is made in writing to the buyer or seller of residential property that either a single agency or a no brokerage relationship has been formed.
transaction broker
must be provided before or at time of entering into a listing agreement or before showing property to a buyer.
Single agent disclosure
must be provided before showing property to a buyer.
no brokerage notice
in a _________ _______ where the buyer and seller each have assets of $1 million or more, the broker at the signed request of the customers may designate salesassociates to act as single agents for both the buyer and the seller in the same transaction.
non-residential transaction
How long must brokerages maintain disclosure forms?
5 Years
One who acts on the behalf of another.
agent
Refers to the time prior to licensing laws when all risk and responsibility was on the buyer, known as “Let the buyer beware”
caveat emptor
Change in the relationship between agent and principal (must be written.)
consent to transition
member of the public that potentially may become employer of the broker in a transaction.
customer
representing both the buyer and the seller in a transaction. NOT legal in Florida.
dual agent
person entrusted with confidence and respect to principal.
fiduciary
Agent authorized to perform only acts related to on going business of a particular nature
general agent
Specifically transaction broker. To buyer/seller or both provide limited non-fiduciary representation.
limited reprentation
A no brokerage agreement is
non-representation
The person employing the broker.
principal
the amount paid on a loan that reduces the total outstanding amount owed.
principal
Described as 4 or fewer units, property intended for 4 or fewer units, agricultural property of 10 or fewer acres.
residential sale
Represents either the buyer or seller in a transaction –but not both
single agent
agent that performs a particular act in a transaction.
special agent
An agent under the original agent.
subagency
Provides limited representation to buyer/seller or both but does not represent either as a single agent or in a fiduciary capacity
transaction broker
