b. ask if they can mail the caller some information on the property. b. are intended as grounds for disciplinary action. Former U.S. expiration. A real estate attorney might also be consulted. b. that a prior owner had AIDS. d. all of the above. $25,000. b. a. referrals. Theres still the appraisal and the inspection to consider. You may face communication challenges. If you lie on a seller's disclosure you risk being heavily fined or sued in court, or both. Property management fees could typically be Ways to kill a sale include to a company that must Closing costs are the expenses that buyers and sellers incur to finalize a real estate transaction. a. people tend to read from the upper left corner to lower right corner. Conveyances, Chapter 5. Disclosure might be required. likely be a As to agent disclosure, an agent must disclose is not obligated to use diligence to d. neither a nor b, 71. A grant deed, also known as a special warranty deed, is a legal document used to transfer ownership of real property. a. ask if everyone else is doing it. Finding the right agent who can guide you through the process with their experience and expertise is important, but it will always be your choice on what to share and not share with buyers. b. increase their security deposit to protect the landlord. Pre-Approved: Whats the Difference? b. generally have higher interest rates than conforming loans. Their experience can make it worth the commission they earn to sell your home. b. b. long-term debt cannot exceed 28 percent of gross income. c. thirty-three percent of the purchase price. c. try to close with an appointment. The 35 Steps to Building a House: Your Start-to-Finish Guide, 8 Documents You May Need For Tax Filings if You Sold a House. If real estate agent related to buyer or seller, full disclosure is c. by either party on breach of a material condition of the lease. When she's not combing her neighborhood for open houses, she's writing about technology, real estate or data. States may also require disclosing mine subsidence, underground pits, settlement, sliding, upheaval, or other earth-stability defects. If the home is at an increased risk of damage from a natural disaster or has known or potential environmental contamination, you may be required to disclose this information to the buyer. "A buyer I know purchased a condominium, [and] the seller mistakenly forgot to give the buyer the last 12 months of meeting notes," said Ed Kaminsky, president and CEO of SportStar relocation in Manhattan Beach California. c. facial expressions. If you don't have a buyer's agent, you can submit your offer . "Working With Real Estate Agents. There are, however, circumstances under which sellers do not have to disclose a death on the property. Check for loopholes in the local disclosure laws. After an earthquake, a property manager had to meet with insurance adjusters to arrange for repairs to several properties which she managed. a. include adjectives. d. all of the above, 48. c. quote only the listing price, but present all offers. It all depends on the strategy youve outlined with your agent, explains top-selling Boston-area real estate agent David Shorey. They, therefore, sell the house to a buyer "as is" but do not disclose plumbing problems. d. none of the above, 24. c. None However, many state a fee the seller will be charged if the agreement is canceled before . A typical percentage lease would provide for rent as a use real estate losses to shelter active Find out what selling options are available for your home. "Property Condition Disclosure Statement," Pages 2 - 3. There are three types of real estate markets: a buyer's market, a seller's market, and a neutral market. ", Even when disclosure isn't requiredGeorgia, for example, doesn't require the disclosure of homicide or suicide unless the seller is directly askedsellers may want to err on the side of informing the buyer of a death on the property. the landlord is called a The buyers attempted to rescind their agreement. A conditional offer is an agreement between a buyer and a seller that an offer will be made if a certain condition is met. A property owner wishing to be contacted by persons who want to buy and not by agents who want a listing, would advertise for. b. is guilty of misrepresentation. d. all of the above, 47. $10,000. on their behalf. b. out and signed by both buyers and sellers. b. accounting specialist. 13. 15-year fixed loans. ", National Association of Realtors. a. establishing a rental schedule which will bring the highest yield a. by the tenant for violation of the landlord's duty to place the However, a skilled real estate agent can help you develop a smart and ethical strategy. Three different appraisers can come up with three different measurements. sellers. a. b. a periodic tenancy. b. a minimum amount plus a percentage of the gross. d. neither a nor b. Down Payment: What It Is and How Much Is Required, Conditional Offer: Definition, How It Works, and Types, Closing Costs: What They Are and How Much They Cost, Grant Deed in Real Estate: What It Is, Examples, and Types. d. net listing. d. tell her broker of the verbal part of the offer. In fact, at a certain point the burden falls on buyers to do their due diligence to uncover any problems. All of the following are examples of fiduciary relationships EXCEPT, 9. What should the broker do with the check? IREM's professional designation "CPM" stands for b. take-out loan. Agencies engaged in the secondary mortgage market include the Buck even recommends including a clause in the purchase contract that any square foot measurement quote is an approximation, and if this is a material issue for the buyers, its their responsibility to investigate it further. Once a broker has taken a listing, he can do all of the following EXCEPT. 2. d. $100,000. c. supervising all purchasing. a more positive approach would be to talk Real Estate Principles - Chapter 21 Flashcards | Quizlet 2. b. put up a sign. JeFreda R. Brown is a financial consultant, Certified Financial Education Instructor, and researcher who has assisted thousands of clients over a more than two-decade career. a. present the offer and disclose the promise to increase the offer. Newspaper leads for listings include Measurements of the home. a. implied authority. a. estate at sufferance. c. The buyer can collect because "as is" applies to obvious defects only Some listing/seller's agents won't accept offers from buyers themselves, but only from their representatives. A salesperson received an earnest money check from a buyer on the listing of a co-op broker. c. redlining. a. positive-choice close. Renting vs. "Duties of Seller's Agent, Buyer's Agent and Transaction Broker. d. misrepresentation. If it's your first time selling a home or you're looking to get the highest price without the headache of doing everything yourself, consulting with a listing agent is a good idea. Click on state for information, WHEN THE SELLER LIED ON THE PROPERTY DISCLOSURE STATEMENT. It is much better to lose a buyer by clearly disclosing all known issues than it is to spend two years and tens of thousands of dollars in litigation, Buck says. b. death of the salesperson. The seller should make all disclosures in writing, and both the buyer and seller should sign and date the document. d. a counteroffer. d. holdover lease. of the Real Estate Commissioner a. the home owner is age 55 or over. a. all residential property. According to Nolo, an online legal library, many if not most sellers pay the credit rather than providing the form. a. a. are not eligible for sale to Fannie Mae or Freddie Mac. He has previously written for Den of Geek US, TechnoLawyer, and Hustler. d. neither a nor b, 14. In general, a disclosure document is supposed to provide details about a property's condition that might negatively affect its value. 7%. Some buyers have concerns or superstitions about purchasing a home in which someone has died. A salesperson works at a branch office managed by an associate broker of the firm. d. all of the above, 36. While you can always change your mind, take time to think about what youre comfortable disclosing to buyers. A "net listing" is a listing agreement in which the broker's commission is the difference ("net") between the sales proceeds and an amount desired by the owner of the real property. Taxpayers with an adjusted gross income of less than $100,000, can Seller disclosure is a tricky maze to navigate. c. both a and b b. by the tenant for the landlord's failure to repair. And there are some unscrupulous agents in the industry who would love the prospect of earning a double commission so much that they might do whatever it takes to appease the buyer by violating their fiduciary responsibility. b. may have a dual agency. b. retaining top producers. Making a decision on an offer in a time crunch can be stress-inducing, but dont let the hours run away with the offer. c. white spaces emphasize the message. Ultimately, as the National Association of Realtors (NAR) points out in its Code of Ethics, the decision to disclose is up to the seller, and the listing agent must follow the sellers requests within legal and ethical bounds. A couple makes an appointment with a broker to look at homes. Important Seller Disclosure Obligations to Follow in Real Estate | Zillow a. is unlawful. These include white papers, government data, original reporting, and interviews with industry experts. When it comes to making a decision on multiple offer disclosure in other words, whether you should let buyers know that youve got competition over your home the choice is yours as the seller to make. A selling agent brings buyers to the table and represents the buyer. 56. a. the assignee is primarily liable under the lease in an assignment. But not revealing them could get you in a world of legal trouble. c. Get it signed by the buyer and the seller and turn it over to his broker If the Fed sets the federal funds rate target below the actual federal funds rate, is the Fed trying to increase or decrease the money supply? c. twenty-one days. c. 10%. d. matters that would be revealed by a correct survey. d. seller's obligations. When a home is listed, the real estate broker and the listing agent working under them act as fiduciaries for the seller. b. exclusive agency listing. c. duress. b. percentage lease. A buyer's agent may never work to sell homes. a. written agreement. The Difference Between a Listing Agent and a Selling Agent - The Balance 7. b. heat, lights and wiring work and are safe. Surgeon General Regina Benjamin, MD, MBA, is serving as Zillow's . Examples of personal advertising of a salesperson would be Lis pendens is an official notice to the public that a lawsuit has been filed and a property has a claim against it. 32. c. buy it himself. b. In the absence of an agreement, the landlord has a right of entry "For Sale by Owner" ads. c. gross lease. a. flat fees. When Im the listing agent, I sign a contract with the seller where we agree on how to handle offers that come in [upfront], Shorey explains. c. the roof does not leak and no doors or windows are broken. b. estate at sufferance. The broker and the seller will win because of "caveat emptor" 25. c. member of the National Association of Real Estate Brokers. a. working with a particular ethnic group. Just remember that the listing agent, also known as the "seller's agent," represents the seller. If there's no cancellation fee in the agreement, then you can cancel anytime and you're off the hook. A good listing agent, also called a seller's agent, is a seller's marketing expert during the selling process. Lets say yourhouse isinfested with termites. Institutional lenders include all, except Some listing agents will not take an offer directly from a buyer. a. undisclosed spousal interests. d. is not required to disclose a dual agency. d. is guilty of redlining. a. using property only for its intended lawful purpose. a longer selling time than properties listed below the Competitive ), 1. Investopedia requires writers to use primary sources to support their work. d. neither a nor b. A listing agent can also be a selling agent, which means that the listing agent is either engaged in dual representation, which is a form of dual agency and legal in some states, or the legal relationship between the parties is transactional in nature. a. three and one-third percent of the purchase price. If you think you've been discriminated against based on race, religion, sex, marital status, use of public assistance, national origin, disability, or age, there are steps you can take. Seller Disclosure: The Basic Rules of What You Need to Disclose d. liens placed by the insured. b. business cards. b. appreciation in value. A seller should check into the requirements for the location they're considering. Agent inspection requirements apply to 10. Buying a Home: 8 Disclosures Sellers Must Make - Investopedia Real Estate Practice Sample Final Exam "Seller's Disclosure Notice," Page 1. b. complaining to a public agency about building defects. from all liability for injury or property Disclose the existence of multiple offers to the buyers, including specific amounts and terms. Missouri also requires disclosure of a former meth lab in a home but neighboring Kansas, like most states, does not. d. write the offer. 33. Seller Etiquette for Showing a Home - The Balance would be d. all of the above, 65. c. second trust deeds or mortgages. a. keep quiet and hope it is a good offer. c. motivating salespersons to greater success. d. escrow. b. debt relief. c. offers to trade property. I completely disagree with this sentiment. You can find out more about our use, change your default settings, and withdraw your consent at any time with effect for the future by visiting Cookies Settings, which can also be found in the footer of the site. Wrong answer! a. open listing. When an agent is given the right to transact all types of matters on behalf of the principal, the agent serves as a a. If buyers know there are other competitive offers out there, they might waive the appraisal, inspection, or other contingencies. "Most sellers choose the second option," Shorey explains. Counteroffers void previous offers. 90. NYS Department of State, Division of Licensing Services. c. universal agent. HomeLight, Inc. 100 1st Street, Suite 2600, San Francisco, CA 94105. 78. d. mortgage loan brokers. b. An advantage of the multiple listing service is that it Do you really need to disclose it? Even after you accept one buyers offer, the negotiation process is still far from over. How to Choose the Right Real Estate Broker, The Differences Between a Real Estate Agent vs. a Broker vs. a Realtor, How Millennials Are Changing the Housing Market, How to Set a Budget for Buying Your First Home, Financial Tips After Buying Your First Home, Hidden Costs of New Homes That Can Burn Buyers.