Real Estate Unit 4 (7%)

A broker's obligations to consumers with whom the brokerage firm has no brokerage relationship include the duty of a. full disclosure. b. accounting for all funds. c. loyalty. d. limited confidentiality.

b. accounting for all funds.

In the common public relationship that exists in a typical real estate transaction, buyers and sellers are said to be dealing a. in a fiduciary capacity. b. at arm's length with each other. c. in an agency status with each other. d. under the doctrine of ethical confidentiality.

b. at arm's length with each other.

If a principal gives the broker instructions that will result in loss or harm to the principal, the broker a. is justified in not carrying out such instructions. b. should carry out such instructions without question. c. should carry out only that portion of the instructions that will not cause loss or harm to the principal. d. should inform the principal of possible harm inherent in the instructions, and then either do as instructed or withdraw from the relationship.

should inform the principal of possible harm inherent in the instructions, and then either do as instructed or withdraw from the relationship.

A real estate broker who works in a limited capacity for both the buyer and the seller in the same transaction is a. a dual agent. b. a transaction broker. c. bound to fiduciary duties to both the buyer and the seller. d. a single agent of both the buyer and the

b. transaction broker

Which statement BEST describes the duty of loyalty in a single agent relationship? a. The broker must act in the best interest of the principal. b. The broker must disclose all latent defects to prospective buyers. c. The broker is held to a standard of care that requires knowledge concerning the land and physical characteristics of the property. d. The broker must be able to account for all funds received on behalf of the principal.

a. The broker must act in the best interest of the principal

Designated sales associates are BEST desbribed as a. single agents for the buyer and the seller in nonresidential transactions where the buyer and the seller meet certain asset thersholds b. the sales associated designated to represent the buyer and the seller in a transaction broker relationship. c. undisclosed dual agents. d. the sales associates in charge of the required brokerage disclosure forms for the brokerage office.

a. single agents for the buyer and the seller in nonresidential transactions where the buyer and the seller meet certain asset thresholds

Which relationship is a general agency relationship? a. Brokerage company employed under a listing contract b. Relationship between the employing broker and a broker associate c. Sales associate working with a prospective buyer d. Relationship between a sales associate and the seller who has listed property with the brokerage

b. Relationship between the employing broker and a broker associate

The brokerage relationship disclosure requirements in Chapter 475, F.S., apply to the a. sale of a 20-unit apartment complex. b. sale of a condominium unit. c. residential lease agreement in a duplex. d. sale of a bookstore business and real property.

b. sale of a condominium unit.

A broker has listed a seller's property. The seller has disclosed to the broker that the ceramic tile is loose in the dining room because the cement did not adhere to the tile. The loose tile is not readily visible because it is covered with an area rug to protect the seller's toddler. The broker has satisfied his legal obligation if he tells the buyer a. that the floor appears to be in good condition. b. that ceramic tiles in the dining room are loose. c. that the buyer can order an inspection at hi own expense if he is concerned about the floor. d. nothing unless he is asked specifically abour the tile floor's condition.

b. that ceramic tiles in the dining room are loose.

A licensee kerage relationship a. a buyer who of ABC Realty must give the no brokerage notice to a. a buyer who has a single agent relationship with XYZ Realty. b. every prospective buyer and prospective a seller in all cases. c. a for-sale-by-owner FSBO (FSBO) seller before showing the FSBO home to a buyer customer of ABC Realty. d. every prospective buyer who walks through an open house listed by ABC Realty.

c. A for-sale-by-owner (FSBO) seller before showing the FSBO home to a buyer customer of ABC Realty

A real estate broker (and the broker's associates) are obligated to which duty in all three brokerage relationships? a. Loyalty b. Full disclosure c. Deal honestly and fairly d. Perform additional duties that are mutually agreed to

c. Deal honestly and fairly

A real estate brokerage company has entered into a single agent buyer broker relationship with the buyer. In order to show the spire property that is listed with the same brokerage company from which it is a single agent, and what brokerage capacity may the company work with this buyer and seller? a. Single agent for the seller and transaction broker for the buyer b. Single agent for the seller and single agent for the buyer c. Any relationship that is agreed to by both the buyer and the seller d. Both the seller and the buyer must transition to a transaction broker relationship before the buyer can be shown the seller's property

d. Both the seller and the buyer must transition to a transaction broker relationship before the buyer can be shown the seller's property

Which action will terminate a single agent relationship with the principal who has listed a home for sale with the brokerage? a. Death of a customer interested in the listing b. Buyer's offer not accepted by the seller с. Decision of sales associate who acquired the listing for the brokerage to leave the company d. Destruction of the listed property by a large sinkhole

d. Destruction of the listed property by a large sinkhole

A transaction broker has all the duties listed following EXCEPT a. limited confidentiality. b. to use skill, care, and diligence. c. to disclose all known facts that materially affect the value of residential real property and are not readily observable to the buyer d. obedience.

d. obedience

A seller lists her home for $216,900. The seller tells the sales associate that she needs to get at least $212,000 for the home. After Sunday's open house, the sales associate receives two offers on the home. The first offer for $216,900 is contingent on the seller's financing a portion of the down payment. The second offer is for $209,000, with the prequalified buyer to secure her own financing. The sales associate should a. seek his broker's advice regarding which offer to present. b. present the full-price offer to the seller. c. present the second offer to the seller. d. present both offers, explaining the details of each to the seller.

d. present both offers, explaining the details of each to the seller.