Quiz - Unit 12: Implementation and Presentation

During the listing presentation, it would be appropriate for broker Ted to present the statutory written statement regarding brokerage services. Ted should also caution the sellers that until they definitely decide to list with him, they should not reveal information that may later hurt their negotiation position with a buyer because Ted might later be required to reveal that information should he be dealing with a buyer-client. What else should Ted discuss with the sellers during the listing presentation?

• The listing agreement they will use
• Ted's office policy regarding intermediary brokerage
• Ted's office policy regarding commission splits with "other" brokers
• All of these topics

Broker Jerry has received two offers on one of his listings, each for $87,500. One couple is Hispanic. Which topic would NOT be relevant to address during Jerry's presentation of the two offers to his client?

• Ethnicity of each buyer
• Financial strength of the buyer
• Seller's net proceeds from each offer
• Repair limit

Broker Tom has received a considerably less than full-price offer on one of his listings from a subagent. As he is leaving to deliver the offer to his seller-client, Tom receives a call from subagent Drue, who says she is typing up an offer that she will deliver tomorrow morning after she has the buyer sign. Drue mentions a price that is almost full price. Tom should

• present the first offer but mention Drue's offer to his seller.
• hold the first offer until Drue delivers the second offer tomorrow morning.
• present the first offer but not mention Drue's offer until it is actually delivered.
• hold the first offer, wait for and deliver only Drue's offer, then present the first offer only if the seller finds Drue's offer unacceptable.

When talking with a property owner who is interested in establishing an agency relationship, which of the following forms should a license holder discuss first?

• Texas Occupations Code
• TAR Listing Agreement
• Texas Real Estate Commission's (TREC) Information About Brokerage Services
• Residential Buyer/Tenant Representation Agreement

Which of the following descriptions would be accurate and appropriate for a listing broker to use when describing the role of a subagent to a seller?

• A subagent is a license holder who does not work for me but is someone with whom I would make a cooperative agreement to represent you and your interests.
• A subagent is another license holder who would like to participate in your transaction with the hope of earning a commission.
• A subagent is a license holder who has a buyer for your property and could cooperate in helping you sell your property.
• A subagent is a license holder who has more buyers than sellers and could help us by acting on your behalf to do whatever it takes to sell your property.

Which of the following responses would be the BEST answer to a listing seller who asks you, "Why should you have to split the commission. Why doesn't the buyer pay a share of the commission?"

• "That's a good question! I don't understand it myself. As a seller's agent, I do most of the work."
• "Sometimes buyers are represented by agents to whom they might pay a fee."
• "It is unfair. That's why I hope to find the buyer for your property so I don't have to split the commission."
• "Commission splitting is the customary way that real estate license holders earn money on transactions."

Why should a listing broker who decides to offer other brokers a less-than-attractive commission split be sure a property owner understands this intent?

• The owner may want to supplement the fee offered to other brokers.
• The owner's pricing strategy could be impacted.
• The listing broker may need to make appointments for the transaction.
• It may mean that other brokers will be less motivated to find a suitable buyer.

In a typical conversation between a broker who works alone and a property owner who is interested in selling, which topic might require the MOST extensive explanation of subagency?

• MLS
• Disclosures
• Open houses
• Title

A broker wishing to act as an intermediary in a transaction would NOT be required to

• have written consent of all parties.
• file notice of intermediary status with the local association of REALTORS®.
• treat all parties fairly and honestly.
• disclose appointments, if any, in writing to all parties.

Which BEST describes the role of an intermediary broker?

• The broker mediates between the two parties.
• The broker offers representation to both parties.
• The broker arbitrates for the two parties.
• The broker facilitates the transaction.