REAE 3325 Ch.12 Questions and Answers 100% Correct
1 view 0 purchase
Course
REAE 3325
Institution
REAE 3325
REAE 3325 Ch.12 Questions and Answers 100% CorrectvREAE 3325 Ch.12 Questions and Answers 100% CorrectREAE 3325 Ch.12 Questions and Answers 100% Correct
The importance of brokers in the real estate market is often overlooked. In the absence of a real estate broker, one would expect all of the follo...
REAE 3325 Ch.12 Questions and
Answers 100% Correct
The importance of brokers in the real estate market is often overlooked. In the absence
of a real estate broker, one would expect all of the following to be true EXCEPT: -
ANSWER-The asking price would most likely be higher, on average, than in the case
where a broker was involved because the seller is in total control of the sale
Real estate brokers operate under the law of agency, which gives a broker the right to
act for a principal in trying to buy or sell a property. In the basic principal-agent
relationship of real estate brokerage, real estate brokers act in the capacity of a: -
ANSWER-Special agent
In determining the appropriate listing contract to be used, it is important to know
whether a multiple listing service (MLS) will be employed. The MLS only accepts which
of the following types of listing contracts? - ANSWER-Exclusive right of sale listing
Jim has hired a real estate broker to help facilitate the sale of his home. If the broker
requires a commission of 6%, how much will Jim clear from the sale (after the
commission has been paid) if he is able to sell his house for $478,723 (Assume that Jim
has already paid off his mortgage)? - ANSWER-$450,000
There are a number of different types of listing contracts that can be used when
marketing a property. Which of the following types of listings requires the broker to be
paid a commission if anyone, other than the owner, sells the property during the
contract period? - ANSWER-Exclusive agency listing
Christopher has hired a real estate broker to help facilitate the sale of his home.
Realizing that Christopher is most likely going to realize a loss on his investment due to
the recent decline in housing values in his neighborhood, the broker has agreed to
charge Christopher a lower commission rate as long as Christopher enters into an
exclusive right of sale listing contract. If Christopher ends up selling his house for
$364,583 and takes home $350,000 after paying the real estate broker's commission,
what was the commission rate that the broker ended up charging? - ANSWER-4.0%
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying these notes from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller NursingTutor1. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for $11.49. You're not tied to anything after your purchase.
