QUESTIONS AND SOLUTIONS GRADED A+
✔✔2 Exam
Which party is considered legally competent to enter into a contract? - ✔✔-AN 18 YEAR
OLD INDIVIDUAL
-AN EMANCIPATED INDIVIDUAL
-AN INDIVIDUAL SERVING IN THE MILITARY
✔✔2 Exam
Which situation constitutes mutual consent? - ✔✔-AN OFFER BY ONE PARTY AND
ACCEPTANCE BY ANOTHER
-GENUINE ASSENT
✔✔5-1
Which of the following would never be a party to a Residential Buyer/Tenant
Representation Agreement? - ✔✔landlord
(it would either be... buyer to broker or tenant to broker)
✔✔5-2
According to Section 3 of the Residential Buyer/Tenant Representation Agreement.
when is a lease transaction considered closed? - ✔✔when the landlord and tenant enter
into a binding lease of the property
✔✔5-3
How long does a typical term for a buyer representation agreement last? - ✔✔it is
negotiable
✔✔5-4
If a buyer has an agreement to pay a percentage of the buyer's side commission to a
relocation company, where in the Residential Buyer/Tenant Representation Agreement
would the buyer place that information? - ✔✔Section 7(D) - Representations
✔✔5-5
If a buyer or tenant does not want to be shown or acquire any of the broker's listings,
what part of the Residential Buyers/Tenant Representation Agreement should be
completed? - ✔✔Section 8 - Intermediary
8(B)
✔✔5-6
If a seller receives offers from 3 different buyers, may the seller's (listing) agent disclose
the terms of the competing offers to each of the buyers? - ✔✔Yes. If a listing agent
receives multiple offers, the listing agent is obligates to treat the competing buyers fairly
, ✔✔5-7
"If buyers find out that the Listing Agreement on a home their salesperson has already
shown them may expire in 30 days, and the buyers decide to wait and negotiate directly
with the seller when the listing expires, how is the broker's commission protected?" -
✔✔If TAR Form 1501 is completed properly, the buyer is obligated to pay the broker's
earned fee upon the close of the sale
✔✔5-8
Does the Limitation of Liability, Section 15, of the Residential Buyer/Tenant
Representation Agreement protect the broker if the buyer's child breaks a crystal vase
in a property the broker is showing the buyer? - ✔✔Yes. This section of the agreement
indemnifies the broker against any claims for damage the buyer causes to the property
of others
✔✔5-9
The protection period under the Buyer Representation Agreement will entitle a broker to
a commission unless the buyer: - ✔✔enters into another agreement with a different
broker after the agreement ends
✔✔5 Exam
Under Section 7 of the Buyer Representation Agreement, the parties under this contract
must have: - ✔✔the mental capacity to bind them to a contract and legal authority to
bind them to the contract
✔✔5 Exam
By agreeing to the Buyer Representation Agreement, the broker must fulfill the fiduciary
duties owned to the buyer. According to Section 5, which obligation does that include? -
✔✔doing everything in the broker's power to help the buyer purchase real property
✔✔5 Exam
According to Section 18 of the Buyer Representation Agreement, when might a buyer
seek professional assistance from somewhere other than the broker? - ✔✔-FOR
ISSUES REGARDING PROPERTY INSPECTION
-FOR INFORMATION ON ENVIRONMENTAL ASSESSMENTS
-FOR ASSISTANCE WITH SURVEYING
✔✔5 Exam
If a buyer works exclusively with a broker or sales associate, what must the broker or
sales associate first do before entering into a buyer representation agreement? -
✔✔present a written disclosure regarding the agency relationship
✔✔5 Exam
Typically, what does a buyer representation agreement involve? - ✔✔-A DEFINITE
TERMINATION DATE