Unit 11: Review Exam

Sellers property is listed for $175,000. Seller tells the listing sales associate that seller will accept an offer of $165,000. The sales associate must:

• tell all prospective buyers

• advertise for $165,000

• cancel the listing

• keep sellers comment confidential

Broker discovers a hidden problem with the condition of the listed property. After being notified of the problem, seller orders broker to keep silent. Broker should:

• keep silent

• note the problem on a listing addendum

• terminate the listing

• notify FREC

Sales associate has put together a small investment group to purchase a plot of land. When they later sell the land, sales associate wants to earn a commission no matter who sells the property. This type of listing is:

• illegal

• open

• exclusive-agency

• exclusive-right-of-sale

Seller told broker "please help me sell my house." Broker said "yes, I will do that." Is this a fiduciary relationship?

• YES, as this is an implied listing

• NO, as all listing agreements must be in writing

• YES, as this is a single agency

• NO, as this is a transaction broker relationship

Buyer has entered into a transaction broker relationship with broker. The duties owed by broker include:

• loyalty, honesty, obedience

• limited confidentiality, accounting, skill, care and diligence

• obedience, loyalty, confidentiality

• disclosure, accept or reject offers, loyalty

A transaction broker DOES NOT owe:

• skill, care and diligence

• disclosure of all known facts that affect value and are not readily observable

• complete confidentiality

• accounting for all funds

Seller has agreed to list with only one broker and has retained the right to find the buyer without paying commission. Seller has signed which type of listing?

• exclusive-right-of-sale

• exclusive-agency

• open

• net

Seller signed an exclusive-right-of-sale listing with broker. While seller was traveling out of town, broker procured a buyer and signed the contract for sale and purchase on behalf of seller. Which of the following is TRUE?

• This was legal because broker held an exclusive-right-of-sale listing

• This was illegal because broker did not hold the power of attorney

• This was legal because broker is automatically sellers attorney-in-fact

• This was legal because all listing brokers are authorized by law to accept or reject offers on behalf of sellers

A listing agreement violates the statute of frauds if:

• it is parol with a term greater than 12 months

• it is in writing

• it is a net listing

• it is for the sale of a foreclosed property

The authorized brokerage relationship disclosure requirements of Florida statutes chapter 475 DO NOT apply to:

• a lease-option agreement to purchase a single-family home

• a contract to purchase a vacant residential site

• a contract to purchase 5 acres of undeveloped agricultural property

• an auction agreement