Lesson 1 Flashcards
What does REBBA stand for?
The Real Estate and Business Brokers Act
Who enforces REBBA?
RECO
What does RECO stand for?
Real Estate Council of Ontario
Who regulates Real Estate trading?
REBBA
In Ontario, who is responsible for REBBA?
The Ministry of Government and Consumer Services
Under REBBA, what does the word ‘registrant’ mean?
A registered brokerage, broker or salesperson
What does the Code of Ethics do?
Sets requirements for acceptable conduct by a brokerage, broker and salesperson when conducting business
Why does the Code set minimum standards?
To ensure there is no misunderstanding or ambiguity in the minds of sellers and buyers when working with a Real Estate professional
What is the fundamental objective of the Code?
To protect Sellers and Buyers by outlining professional and ethical standards to be upheld during all Real Estate activities.
Name three examples of obligations under the Code
- Fairness and Honesty.
- Conscientious and Competent Service.
- Services from Others
What should a registrant do if they cannot provide services with reasonable knowledge, skill, judgement, and/or competence?
Advise the Buyer or Seller to obtain services from another person
Who ensures that the regulation of trading in real estate builds and maintains public trust?
RECO (The Real Estate Council of Ontario)
Who must Brokerages, Individual Brokers, and Salespeople be registered with prior to trading?
RECO (The Real Estate Council of Ontario)
Why must Brokerages, Individual Brokers, and Salespeople be registered with RECO?
To ensure activities adhere to consistent standards
What is the reason for RECO’s standards?
To help build and sustain public trust and to create a solid foundation for the profession’s success
What does RECO’s mission support?
A fair, safe, and informed real estate market.
Whose role is to interpret, enforce and suggest changes to REBBA?
RECO.
The Ministry of Govt and Consumer Services is responsible for REBBA but this is RECO’s role
What is the key to understanding why Real Estate is regulated?
Consumer protection
How does RECO work in the public’s interest? (6 corect answers)
- Enforces standards to obtain and maintain registration
- Establishes education standards for registration, post-registration, broker education, and continuing education
- Establishes and administers insurance requirements including consumer deposit protection
- Addressing inquiries, concerns and complaints about the conduct of a brokerage, broker or salesperson
- Conducting inspections of brokerages to ensure REBBA compliance and to educate brokers of record
- Being the source of consumer protection education and info for sellers and buyers
What are the three types of a brokerage?
- Corporation
- Partnership
- Sole Proprietorship
What is the definition of a brokerage?
A corporation, partnership or sole proprietorship that trades in real estate on behalf of others for compensation, reward or expectation thereof
Who represents the Buyer or Seller re: a trade in real estate?
The brokerage.
Not the individual broker or salesperson.
Under REBBA, all brokers and salespersons are deemed what?
Employees of the brokerage
What must registrants do within the first 2 years of registration?
Complete additional education requirements
