Certified General Appraiser Exam Unit 1 Study Questions and Answers

Why is it possible for buyers and sellers to fail to understand who represents each of them? Because a license holder can act as a buyer's agent, seller's agent, and intermediary agent Which of the following is authorized to promulgate statutes regarding the licensing of real estate agents in Texas? Texas Legislature The Texas Legislature enacts statutes or laws governing real estate license holders. The Texas Real Estate Commission regulates real estate license holders and is authorized to adopt rules governing them. Which of the following is the source of the funds that support the Texas Real Estate Commission (TREC)? Licensing fees Must a licensed broker be a business entity? No, but a business entity other than a sole proprietor that engages in brokerage in Texas must be licensed as a broker. A broker can be an individual or a business entity (Limited Liability Company, Company, Limited Partnership, etc.). Any business entity other than a sole proprietorship must have a real estate broker license to engage in real estate brokerage on behalf of another for valuable consideration. Which of these is NOT a type of agent? Customer's agent How do TREC commissioners get their positions? Appointment by the governor A license holder who represents the client through a cooperative agreement with the client's broker is... a subagent. Bradley is a broker who sponsors sales agents Sam, Seth, and Sally. Sally is working with client Clara to sell her home. Which of these individuals is(are) the agent(s) for Clara in this transaction? Bradley Which of the following is NOT a growing trend in real estate transactions? Lower consumer expectations Indicate whether the following statement is true or false and why: A broker may negotiate the terms that the firm will take for the listing. The statement is true; for example, commissions are fully negotiable.