Chapter 7 section 3 Flashcards

Chapter 7 section 3 Flashcards Who decides whether or not it's allowed to have unwritten buyer agency agreements?It's up to the firm, not each individual broker.Disclosure of agency status by the sellers agent, or subagent to a prospective buyer A broker working directly with a prospective buyer as a seller's agent or subagent, must disclose in writing to the prospective buyer that the broker represents the interest of the seller.Must be disclosed in writing at first substantial contact with a prospective buyer that the broker represent the entrance of the sellerWritten disclosure, shell include the brokers license numberThe broker satisfies this requirement by completing the buyer side of the WWREA disclosure form True or false? One reason that a buyer might be willing to give up representation and work with the sellers agent is that it relieves the buyer of any responsibility to compensate the broker.True. According to the Q&A brochure, sellers agents are compensated by the sellers. An unrepresented buyer has no obligation to pay the broker.Who published the working with real estate agents disclosure form?The North Carolina real estate commission When must a buyers agent disclose that they represent the interest of the buyer to the seller or sellers agent in an auction situation?No later than the time of the signing of a written agreement of the buyers contract to purchase.Must provide the seller or sellers agent, with a written confirmation disclosing that the broker represents the entrance of the buyerWritten confirmation may be made in the written agreement itself.Federal anti-trust laws and commissionsIt is a violation of federal anti-trust laws for competing brokers to set uniform commission rates What is first substantial contact?When a prospective client begins to discuss personal or confidential information.What is the primary purpose of agency disclosure? To explain how confidential information will be handled and disseminated. Customers must understand that there is no confidentialities between the broker and the consumer until an agency relationship is established.When was the working with the real estate agents disclosure be given to the buyer or seller?Must be given at first substantial contact with a prospective buyer or seller.Must review the publication with the buyer or seller, and determine whether the agent will act as the agent of the buyer or seller in the transaction When must the buyers agent disclose their agency status to the seller or sellers agent?At initial contact or first contactFamous also provide written confirmation no later than at the time of delivery of an offer to the seller or sellers agent What of the brokers information is required to be included in the WWREA disclosure?Their name, license number & firm name What should the date be on the WWREA form? The date the buyer or seller signed the form

Does the WWREA disclosure create an agency relationship?No What should you do if someone refuses to sign the WWREA disclosure?No, the name of the prospects, the time and the date on the form. You may also want to know the reasons why the prospective buyer or seller refused to sign.Keep a copy of it for at least three years.Can an agent submit an offer on the behalf of a buyer who only has an oral agreement?No. They have to have signed a written buyer agency agreement.Do agency disclosure requirements for sellers agent still apply in auction transactions?No What do you need to do after you have reviewed the WWRE a disclosure with the consumer?Provide them with a copyBroker returns a copy for at least three years after the conclusion of the transaction , termination of an agency agreement, or the dispersements of all funds held by or paid to the broker in connection with the transaction, whichever occurs later.Do brokers have to review the WWRE, a disclosure with perspective, buyers and sellers?Yes Who are brokers required to present the working with real estate agents (WWREA) disclosure to?Every prospective seller and buyer Can a broker who is selling residential property in which she has an ownership interest represent a buyer for that property?No If first substantial contact happens with a prospective buyer or seller over the telephone or any way that is not face-to-face when should the broker provide the WWREA form?At the earliest opportunity, no later than three days from the date of first substantial contact.It can be mailed or otherwise transmitted.Should be reviewed at the earliest opportunity after receipt by the consumer True or false? A buyer client may give oral authorization for dual agency.True A broker designated to represent a buyer, or seller, shall disclose the identity of all the brokers so designated to both the buyer and seller. When should the disclosure take place?No later than the presentation of the first offer to purchase or sell If a consumer does not sign an agency contract with the broker broker, must retain the copy of the WWRE, a disclosure for how many years from the date it was presented?Three years If a broker is working with the prospective buyer as a sellers agent or sub agent, and for substantial contact, is not face-to-face when must the broker go over the WWREA disclosure?The broker should immediately disclose by similar, means whom here she represents, and shall immediately mail, or otherwise transmit a copy of the written disclosure to the buyerShould be given no later than three days from the date of first substantial contact with the buyer True or false? If a listing agreement expires after the seller enters into a contract to sell the property, but before closing, the seller is not obligated to compensate the listing firm.False

Brokers can list property in which they have an ownership interest with her affiliated firm as long as...?Any broker in the firm who represents the buyer does not have an ownership interest in the propertyThe buyer consents to the representation, after full written disclosure of the brokers ownership interest Does the real estate commission have the authority to terminate agency agreement or force a real estate agent to terminate an agreement?No What cases me a broker represent the buyer for their own commercial property?The broker has less than 25% ownership interest in listed propertyThe buyer consents to the representation, after full written disclosure of the brokers ownership interest What is the WWREA disclosure not required for? Property management or lease transactions When the WWREA disclosure is given does the broker need to determine whether they will be acting as the agent for the buyer or seller in that transaction?Yes Why does the broker need to ask the seller to sign the WWREA form?To acknowledge that she has received the brochure from the broker What is a listing agents obligation of the residential property and owners association, disclosure statement?Listing agent is obligated to give the required form to the seller to complete.Sellers must complete the disclosure statement themselvesThe seller cannot, however, waive the duty of the listing broker to provide the required disclosure statement