Champions Real Estate Exam: Law of Agency Latest Version Graded A+

Champions Real Estate Exam: Law of Agency Latest Version Graded A+ This person hires an agent The Principal The agent works on behalf of this person the client (principal) This type of agency allows for the greatest range of authority Universal This is provided to the agent when there is written documentation that the agency relationship exists. Express authority This is the most limited of all the agency relationships Special agency This type of agency is created when a 3rd party believes that an agent has authority that has NOT been granted by a principal Agency by Estoppel This type of agency is created when actions lead another person to assume that one is an agent (Example- you have a key to neighbors home and show the property) Ostensible Agency If a buyer hasn't signed a buyer's rep agreement, then who is representing the buyer? No one This establishes a relationship with a broker The Buyer/Tenant Representation agreement This can be written or oral Disclosure of Representation These are required to place their own selfish interests behind that of their clients. Fiduciaries A licensee isn't required to provide the IABS when... the licensee meets with a party that is already represented A broker is obligated to treat who honestly? client, customer, and agents Broker must have written consent to act as... an intermediary IABS form is the property of... TREC Broker Bob is the broker/owner of ABC Realty. Agent Bill at ABC Realty is a listing agent. Agent Sue, also at ABC Realty, is working with a buyer who is being represented by the firm. Agent Sue's buyer wants to purchase Agent Bill's listing In the above transaction, Broker Bob will: Remain neutral and refrain from providing advice and opinion to either party The IABS should contain How the broker will be compensated Broker Steve, having no agents, is a solo practitioner. He has a client buyer that wants to purchase one of his listings. The process that Broker Steve must use is: Intermediary without appointments A fiduciary relationship is based on trust Agent Joe at ABC Realty has a listing. Agent Sean at City Realty has a buyer who wishes to purchase Joe's listing. The buyer that Agent Sean is working with has chosen to not enter into an agency relationship with City Realty. In the above transaction, who is representing the buyer? No body because the buyer is a customer. Agent Joe at ABC Realty has a listing. Agent Sean at City Realty has a buyer who wishes to purchase Joe's listing. The buyer that Agent Sean is working with has chosen to not enter into an agency relationship with City Realty. In the above transaction, who is City Realty representing? The seller, because City Realty is a subagent of ABC Realty in this transaction Agent Joe at ABC Realty has a listing. Agent Sean at City Realty has a buyer who wishes to purchase Joe's listing. The buyer that Agent Sean is working with has chosen to not enter into an agency relationship with City Realty. What type of transaction is this? cooperative (co-op) An exemption to using the Information About Brokerage Services form is: a lease for less than 1 year with no sale anticipated A licensee not associated with the client's broker but who is representing the client through a cooperative agreement with the client's broker is known as: Subagent This