chapter 6

Question 1

what is exclusive right to sell listing?

Answer 1

one authorize broker receives a commission regardless of who sell the property

Question 2

what is exclusive right to sell listing agreement?

Answer 2

one broker is appointed as the seller’s sole agent. the listing broker is given the exclusive right to market the seller’s property

Question 3

what is exclusive agency listing?

Answer 3

1. there is one authorized broker
2. broker receives a commission only if she is procuring cause
3. seller retains the right to sell without obligation

Question 4

what is exclusive agency listing agreement?

Answer 4

one broker is authorized to act as the exclusive agent to the seller. However, the retains the right to sell the property without obligation to the broker. the seller is obligated to pay to the broker only if the listing broker or cooperating broker has been procuring the sale

Question 5

what is a open listing?

Answer 5

1. there are multiple brokers
2. only the seller broker is entitled to a commission
3. seller retain the right o seller independently to sell independently without obligation

Question 6

Is net listing legal in IL?

Answer 6

they are legal but not recommend due the potential for fraud

Question 7

what is option listing?

Answer 7

the broker has the right to purchase the property

Question 8

What should be be writing in IL?

Answer 8

all exclusive listing agreement must be in writing and is subject to other legal requirement

Question 9

what is guaranteed sales agreement?

Answer 9

the broker agrees to buy the listed property if it fails to sell before the end of the listing period.

Question 10

What is multiple listing or MLS?

Answer 10

this is marketing organization whose members make their listing available for showing and sale through all the other members.

Question 11

how do you terminate a listing agreement?

Answer 11

1. when the agreement purposed is fulfilled
2. when agreement term expires
3. if property is destroyed
4. if title to property is transferred by operation of law
   5 mutual agree to cancel the brokerage agreement
5. eight the sponsor or the seller dies or becomes incapacitated

Question 12

What should all broker agreement must have?

Answer 12

they must have a end date

Question 13

what is broker protection?

Answer 13

this provides that property owner will pay the listing broker a commission if the within specified time period after the listing agreement expires, the owner transfer property title to someone who saw the property while it was listed with the broker.

Question 14

what is price the property?

Answer 14

brokers can help sellers determine a listing price for the property by using cooperative market analysis.

Question 15

What is cooperative market analysis?

Answer 15

this analyzes property similar to the subject property in size, location and amenities. this is deferent from an appraisal report

Question 16

What is CMA is based on?

Answer 16

1. recent closed property
2. property currently on the market
3. properties that did not sell

Question 17

what is sold property?

Answer 17

this represent what buyer have been willing pay for similar properties in area

Question 18

what is current asking price?

Answer 18

these price of similar properties on the market indicates the trend asking prices lower than the “sold” indicate a slow declining market.

Question 19

what is seller’s return?

Answer 19

is how much money the seller will get after the property is sold

Question 20

what is disclosure?

Answer 20

agency relationship and property conditions has become the focus of consumer safeguard in recent years.

Question 21

what does IL require brokers are to disclose?

Answer 21

IL: requires disclose whose interest they legally represent if the other party has no agent. is important that the seller be informed of the brokerage company’s policies about cooperating with other broker. seller disclosure of property conduction is also required by IL

Question 22

what is the law requires that the following disclosures be included with listing contract?

Answer 22

1. disclosure of material facts
2. disclose of interest
3. disclosure of special compensation
4. disclosure of property conduction

Question 23

what are the requirements for exclusive listing agreements?

Answer 23

1. the list price of property
2. the agreed upon amount of commission and the time of payment
3. the duration of the agreement with definite termination date clear set forth
4. the name of the broker and seller
5. signatures of both and seller
6. the identification of the property involved
7. the duties of the listing broker
8. a statement of nondiscrimination
9. a statement of regarding antitrust

Question 24

what is broker’s authority and responsibility?

Answer 24

the contract should whether the broker may place a sign on the property and advertise and market the property or utilize social media through Facebook or other. another major consideration is whether the broker is permitted to authorize buyer broker though the MLS and internet. it should also address whether or not the broker may accept earnest money on behalf of the seller and the responsibility for the holding the funds.

Question 25

If you are married who should sign the contract?

Answer 25

both spouse sign the listing even if only one owns the property, in order to release homestead right

Question 26

who should be name in the contract?

Answer 26

the brokerage come name, the spinor and designed agent of the spinor must all be identified in the contract.

Question 27

what happen with real property and personal property in the contract?

Answer 27

any property to be removed for the premies by the seller and any personal property to be included int he sale for the buyer should be noted and be explicitly identified in subsequence purchase contract

Question 28

what is happen with leased equipment in the contract?

Answer 28

it must determined if lease equipment will be left with property or not

Question 29

what is description of the premises in the contract?

Answer 29

the legal description, lot size and tax parcel number (property index number or PIN) may be required for future insertion into purchase offer.

Question 30

what is proposed dates for closing and the buyer will take possession?

Answer 30

these dates should based on on an anticipated closing date.

Question 31

What is a closing?

Answer 31

an attorney, title company, or escrow company should be considered and attended as soon as possible

Question 32

what is evidence of ownership?

Answer 32

a warranty deed, title insurance policy or abstract of title with an attorney option can be used for proof to title.

Question 33

What should happen with encumbrances before the closing?

Answer 33

all lien must be paid by the seller or be assumed by the buyer at closing.

Question 34

What is zoning?

Answer 34

this denitrify current zoning for the property

Question 35

what is home warranty program?

Answer 35

the circumstance under which commission will be paid must be specifically state in the contract

Question 36

Can you change commission in the contract?

Answer 36

In IL a written listing agreement in IL must stew that no change in the amount of the commission or time of payment, be valid or binding unless the changes is made in writing and signed by all parties

Question 37

what is antitrust wording in a contract?

Answer 37

any assertion that a "set or standard" commission exists violate antitrust laws

Question 38

what is termination of the contract?

Answer 38

a contract provide some way for the parties to end it

Question 39

what is the law for termination of the contract in IL?

Answer 39

if listing agreement provides that in the event of default by a buyer, the broker's full commission or fee will be paid out of earnest money deposit, with the remainder of the earnests money to be paid to the seller, the provision shall appear in listing agreement in letter larger than generally used in the listing

Question 40

what is broker protection clause in a contract?

Answer 40

brokers are will avoided to their interest against possible fraud or reluctant buyer's change of heart. there various circumstances under which a broker is entitled to commission, for a special amount of time, after an agreement is terminated

Question 41

what is home warranties by the owner in the contract?

Answer 41

the owner is responsible for certain assurances an disclosure that are vital to agents ability to market the property

Question 42

What is a client liable for in IL under the contract?

Answer 42

a client shall not be liable for the act or omission of a broker in providing brokerage services for or on behalf for the client

Question 43

What should be clearly state in a contract in IL?

Answer 43

written agreements must clearly star that is is illegal for either the owner or the broker refuse to sell or show property to any persons because of race, color, religion, national origin, sex, familiar status, ancestry, citizenship status, age 40, and over, martial status, physical or marital disability, military service, unfavorable military discharge, sexual orientation and order of protection status.

Question 44

what is minimum services in a contract?

Answer 44

all exclusive brokerage agreement must specify that the sponsor, through is sponsoring broker, must provide 1. accept delivery and present to the client all offers and counteroffers to buy, sell, or lease the property 2. assist the client in developing, communicating, negotiating present offers, counteroffers and notices that relate to the offered and counteroffers until lease or purchase agreement is signed and all contingencies are satisfied or waived 3. answer the clients questions relating to the offers counteroffers and notices and contingencies

Question 45

what is the types of buyer agency agreements?

Answer 45

1. exclusive buyer agreement 2. exclusive agency buyer agency 3. open buyer agency

Question 46

what is exclusive buyer agreement?

Answer 46

the true exclusive agency, the buyer is legally bound to compensate the broker whenever the buyer purchases a property the type described in the contract. the broker is entitled to payment regardless

Question 47

what is exclusive agency agreement?

Answer 47

like exclusive buyer agreement. this is an exclusive contract between the buyer and broker. however, they limit the broker right to payment. broker are only entitled to payment if they locate the property the buyer ultimately purchase. the buyer retains the right to locate and buy the property without payment obligation to the broker.

Question 48

what open buyer agency agreement?

Answer 48

this agreement is nonexclusive to a broker or spinor. who every sells the proper get the commission

Question 49

What is qualifying buyer services?

Answer 49

1. needs assessment- determine and evaluate the needs and wants of the buyer 2. property selection- locate the property 3. viewing property 4. negotiate 5. follow up- resolve any issues that could prevent a closing

Question 50

what is the buying process when the broker prepare a CMA factors?

Answer 50

1. property condition 2. length of time on the market 3. supply and demand 4. seller motivation 5. term and contingencies

Question 51

how is termination of broker employment agreement?

Answer 51

1. when the agreement purpose is filled 2. when it expires without successful transfer 3. if the property is transferred by operation of law 4. if title of the property is transferred by operation of law 5. broker and client want it 6. breach of contract