RECA FUNDAMENTALS
CERTIFICATION SCRIPT 2026
QUESTIONS WITH SOLUTIONS
GRADED A+
◍ Fiduciary Representation.
Answer: - Trust and confidence- Best interests- Loyalty
◍ 5 Ds of Role Clarity.
Answer: 1. Discuss2. Determine3. Document4. Disclose5. Do
◍ Spatial Information System (Spin 2).
Answer: RECA educational resource for industry professionals
◍ Must disclose in writing.
Answer: - the nature of services provided- whether professional has entered
into representation relationship with other party- any conflicts of interest-
any other facts that may influence consumers decision to proceed with
relationshipmade to clarify and provide proof of undertanding in event
issues or disputes arise
◍ Provincial Legislature.
Answer: Entity with the authority to amend the Real Estate Act
◍ Consumer Price Index (CPI).
Answer: Measures the change in the cost of a fixed basket of goods and
services over time
◍ Written Service Agreement vs Customer Acknowledgement Forms.
Answer: Written Service Agreement- when consumer chooses a
representation relationship- becomes a client- provide signed copy to
brokerageCustomer Acknowledge forms- non-representation relationship-
, becomes a customer- provide signed copy to brokerage
◍ PIPEDA.
Answer: - Federal legislation
◍ Microeconomics.
Answer: Studies the basic theories of supply and demand for individuals,
households, and firms
◍ Quantity Demanded Shift.
Answer: Caused by changes in tastes, expectations, and the number of
consumers
◍ PIPA.
Answer: Alberta's legislation, how private organizations use and disclose
personal information.
◍ Economic Growth Benefits.
Answer: Include depletion of natural resources
◍ Power of Attorney.
Answer: a legal document authorizing someone to act on your behalf- must
be 18- POA must be written, dated and signed by both donor and witness-
donor must be mentally capable or contract is void- only effective as long as
donor is alive, will takes effect once death
◍ Types of POA.
Answer: General POA- has no limits on powers of the attorney - can make
all decisions regarding financial and legal affairs- exception where the donor
resides and health careSpecial POA- make certain decisions- also called
limited POA- may grant authority to oversee sale, deals with land- must be
registered on Certificate of TitleImmediate POA- takes effect as soon as
POA is signed, dated and witnessed- terminates upon loss of mental
capacity or deathEnduring POA- immediately upon being signed, dated and
witnessed - continues if donor becomes incapable, mentally incapacitated-
must include statement whether it takes effect immediately and continues...
, ◍ Judicial Sale.
Answer: Court ordered sale usually as a way to resolve legal matters-
primary debt recovery method for default mortgages
◍ Foreclosure.
Answer: legal action supervised by the court following a default on the
mortgage. -transfers the real property from the borrower to the lender and
erases interests on title.
◍ Alberta Building Code.
Answer: Legislation that establishes technical specifications for new
building construction and construction materials
◍ Real Property Report.
Answer: Document produced by an Alberta Land Surveyor
◍ Mixed Economy.
Answer: Type of economy Canada has
◍ RECAS Trust Assurance and Practice Review Program.
Answer: Benefits include effective record keeping, education, advice, and
problem resolution regarding brokerage trust accounting requirements
◍ RECA Responsibilities.
Answer: Include handling professional conduct review, establishing industry
standards, and issuing authorizations to trade in real estate
◍ Building Permit.
Answer: typically valid for one year during which construction process must
be initiated
◍ Factors of Production.
Answer: Include land, labor, capital, and entrepreneurship
◍ Factory Built Construction.
Answer: Manufactured- three sections that are 95% complete when they
leave the factory.- secure the sections to the foundation and join together-
can often move in the same day or within days- saves time and
CERTIFICATION SCRIPT 2026
QUESTIONS WITH SOLUTIONS
GRADED A+
◍ Fiduciary Representation.
Answer: - Trust and confidence- Best interests- Loyalty
◍ 5 Ds of Role Clarity.
Answer: 1. Discuss2. Determine3. Document4. Disclose5. Do
◍ Spatial Information System (Spin 2).
Answer: RECA educational resource for industry professionals
◍ Must disclose in writing.
Answer: - the nature of services provided- whether professional has entered
into representation relationship with other party- any conflicts of interest-
any other facts that may influence consumers decision to proceed with
relationshipmade to clarify and provide proof of undertanding in event
issues or disputes arise
◍ Provincial Legislature.
Answer: Entity with the authority to amend the Real Estate Act
◍ Consumer Price Index (CPI).
Answer: Measures the change in the cost of a fixed basket of goods and
services over time
◍ Written Service Agreement vs Customer Acknowledgement Forms.
Answer: Written Service Agreement- when consumer chooses a
representation relationship- becomes a client- provide signed copy to
brokerageCustomer Acknowledge forms- non-representation relationship-
, becomes a customer- provide signed copy to brokerage
◍ PIPEDA.
Answer: - Federal legislation
◍ Microeconomics.
Answer: Studies the basic theories of supply and demand for individuals,
households, and firms
◍ Quantity Demanded Shift.
Answer: Caused by changes in tastes, expectations, and the number of
consumers
◍ PIPA.
Answer: Alberta's legislation, how private organizations use and disclose
personal information.
◍ Economic Growth Benefits.
Answer: Include depletion of natural resources
◍ Power of Attorney.
Answer: a legal document authorizing someone to act on your behalf- must
be 18- POA must be written, dated and signed by both donor and witness-
donor must be mentally capable or contract is void- only effective as long as
donor is alive, will takes effect once death
◍ Types of POA.
Answer: General POA- has no limits on powers of the attorney - can make
all decisions regarding financial and legal affairs- exception where the donor
resides and health careSpecial POA- make certain decisions- also called
limited POA- may grant authority to oversee sale, deals with land- must be
registered on Certificate of TitleImmediate POA- takes effect as soon as
POA is signed, dated and witnessed- terminates upon loss of mental
capacity or deathEnduring POA- immediately upon being signed, dated and
witnessed - continues if donor becomes incapable, mentally incapacitated-
must include statement whether it takes effect immediately and continues...
, ◍ Judicial Sale.
Answer: Court ordered sale usually as a way to resolve legal matters-
primary debt recovery method for default mortgages
◍ Foreclosure.
Answer: legal action supervised by the court following a default on the
mortgage. -transfers the real property from the borrower to the lender and
erases interests on title.
◍ Alberta Building Code.
Answer: Legislation that establishes technical specifications for new
building construction and construction materials
◍ Real Property Report.
Answer: Document produced by an Alberta Land Surveyor
◍ Mixed Economy.
Answer: Type of economy Canada has
◍ RECAS Trust Assurance and Practice Review Program.
Answer: Benefits include effective record keeping, education, advice, and
problem resolution regarding brokerage trust accounting requirements
◍ RECA Responsibilities.
Answer: Include handling professional conduct review, establishing industry
standards, and issuing authorizations to trade in real estate
◍ Building Permit.
Answer: typically valid for one year during which construction process must
be initiated
◍ Factors of Production.
Answer: Include land, labor, capital, and entrepreneurship
◍ Factory Built Construction.
Answer: Manufactured- three sections that are 95% complete when they
leave the factory.- secure the sections to the foundation and join together-
can often move in the same day or within days- saves time and
