RECA Residential Unit 2 Exam Questions and Answers

RECA Residential Unit 2 Exam Questions and Answers 9 things that, when representing sellers, REPs can do -Answer-1. Identify the features, qualities, and advantages that relate to the sellers' property 2. Describe the property appropriately in the applicable listing service and property databases. 3. Market the property based on the features, qualities, and advantages. 4. Promote the property and answer their buyers' questions regarding it. 5. Accurately answer questions regarding the property to other REPs. 6. Avoid misrepresentation of the property due to inaccurate/incomplete information 7. Identify more of the due diligence activities that they need to perform on behalf of the sellers 8. Demonstrate professional competence and value-added service, instilling seller confidence 9. Provide support and guidance during the sale of the property 7 things that, when representing buyers, REPs can do -Answer-1. Understand buyer wants and needs when seeking a property 2. Select appropriate properties for buyers to view based on their needs and wants 3. Answer buyers' questions regarding property features and attributes 4. Avoid misrepresentation of property to the buyers due to inaccurate information 5. Identify the due diligence activities they need to perform on behalf of the their buyers 6. Demonstrate professional competence and value-added service, instilling buyers' confidence 7. Provide support and guidance during the purchase of a property Key Topic Discussion - Seller/Buyer Client - Price -Answer-Seller: Do price valuation; discuss list price. Buyer: Ask about financial qualifications Key Topic Discussion - Seller/Buyer Client - Location -Answer-Seller: Determine property location. Buyer: Determine preferred location(s) Key Topic Discussion - Seller/Buyer Client - Age -Answer-Seller: Determine property age. Buyer: Determine property age preference(s) Key Topic Discussion - Seller/Buyer Client - Features -Answer-Seller: Recognize property Features. Buyer: Determine property features preference(s) Key Topic Discussion - Seller/buyer Client - Type -Answer-Seller: Identify property type. Buyer: Determine property type preference(s) Key Topic Discussion - Seller/buyer Client - Style -Answer-Seller: Identify property style. Buyer: Determine property style preference(s) Key Topic Discussion - Seller/buyer Client - Size -Answer-Seller: Measure overall property size. Buyer: Determine need for specific property size Key Topic Discussion - Seller/buyer Client - Other needs/wants -Answer-Both: Ask, listen, learn what is important 8 key topics REPs should discuss with their clients -Answer-1. Price 2. Location 3. Age 4. Features 5. Type 6. Style 7. Size 8. Other needs/wants For representing buyers, REPs are expected to have a general knowledge of the areas in which they practice, including... (x4) -Answer-land use, transportation issues, approved developments, and publicly available information that may influence the decision of the buyers you represent Property features typically relate to... (x4) -Answer-the age, type, style and layout of the property Before residential construction can commence, intial aspects must be addressed such as ...(x2) - Answer-acquiring required permits from the municipality indicating where the residential development will be built and ensuring compliance with the Alberta Building Code during construction 4 types of permits used in the residential construction process -Answer-1. Development permits (sued for new subdivisions) 2. Building Permits (used for new residential buildings 3. Occupancy Permits (used for new residential buildings) 4. Subsequent Building Permits (used for changes to existing buildings) According to the Land Use Bylaw, what must a builder obtain before residential development of any land may occur -Answer-the builder must obtain a Development Permit from the municipality Under the Municipal Government Act (subsection 616) what is required of a Development Permit? -Answer-a Development Permit be issued under a Land Use Bylaw and that it serves as municipality authorization for the proposed development of the land "a Building" meaning under the Municipal Government Act -Answer-The Municipal Government Act (subsection 616) defines a building as anything constructed or placed on, in, over or under land. In a new residential subdivision, is the builder required to obtain a development Permit for the entire subdivision as well as building permits for each individual residence to be constructed within the subdivision? -Answer-Yes. This requires the initial development plan plus the builder must submit building plans to the municipal jurisdiction for each property it intends to build How long are building permits valid? -Answer-Typically, a building permit is valid for one year during which the construction process must be initiated. The length of time to complete the construction of the building varies based on size, complexity, and location. What does the Municipal Government Act allow municipalities to regulate through its land use bylaws? -Answer-to regulate the use, size and type of buildings Does the building permit date represent the exact year the building was built? -Answer-No, Due to allocation of resources, availability of tradespeople, and construction delays that may by caused by supply shortages of material and labour, the building permit date only represents the approximate year the property was constructed What does "ABC" stand for? What does it do? -Answer-Alberta Building Code is the legislation that establishes technical specifications for new building construction and construction materials. is regulating building construction a federal or provincial responsibility -Answer-Provincial. In Canada, provinces and territories are responsible for regulating building construction within their respective jurisdictions. Who created the ABC? And under which Act? -Answer-The Safety Codes Council under the Safety Codes Act created the ABC. What is the ABC based on? -Answer-The ABC is based on the National Building Code, which was developed by the National Research Council (NRC). The purpose of the National Building Code is to promote consistent standards for the construction industry among the provinces and territories. The ABC includes Alberta-specific modifications to address issues and priorities unique to this province. What are the main objectives of the ABC (x3)? -Answer-The main objectives of the ABC legislation are safety and health and the reduction of risks associated with building construction. For example the ABC sets standards for items like ...(x6). The code outlines the standard for ...(x3) to ensure the safety of occupants in both new and existing structures -Answer-electrical wiring, fire alarm systems, fire extinguishers, emergency routes, lighting, and ventilation.... The code outlines standards for the design, construction and alteration of buildings When there are changes to the ABC are building required to be updated to meet the new standard? -Answer-No, changes to the ABC do not typically require buildings to be upgraded. However, when existing buildings undergo renovations, a change of use, or demolition the ABC does pertain. What is an occupancy permit? -Answer-a part of the new residential construction process. The builder must have the building inspected and pass inspection to secure one before the residence is approve for occupancy by the purchaser. If it doesn't pass, builder needs to remedy all code violations or code deficiencies and the have the building reinspected. A new residential construction typically includes how many warranty programs for buyers? - Answer-2. The Developer Warranty programs (aka the Builder Warranty Program) and Extended Warranty Programs What does the Developer Warranty Program usually include? -Answer-Developers usually provide a one-year warranty on the materials and the workmanship used to construct the residence. This applies to fee simple properties as well as condominiums. When does the 1 year developer warranty start? -Answer-Typically starts when the buyer takes possession of the property. Do Extended Warranty Programs work in conjunction with the builder's warranty? -Answer-Yes What are Extended Warranty Programs also referred to as? -Answer-third-party warranty program because they offer by organizations unrelated to the developers. When did Alberta's New Home Buyer Protection Act start to require developers to provide buyers with mandatory extended warranty coverage? -Answer-2014 What do Extended Warranty Programs Typically provide? -Answer-10-year protection against structural defects, in addition to other coverages that range from one to five years. What is the new home warranty registry? -Answer-The Government of Alberta maintains an online new home warranty registry. Buyers can use the registry to determine if a property has warranty coverage and the dates, each time of warranty coverage expires. This only applies to properties built after February 2014 What must REPs remember when a buyer buys a house that is less than 10 years old? -Answer- There may be some extended warranty coverage remaining on the property. If the extended Warranty Certificate is still available, it can facilitate the transfer of the extended warranty into the buyer's name as the new owner of the property. How to know the age of a property? -Answer-The municipality is the most reliable source for information regarding the date a residential property within their jurisdiction was built. The year the property was built is usually sufficient in terms of the date to be entered for most listing services and property databases. For new