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Flashcards in LESSON 2 PART 2 Deck (31)
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1
Q

TRUE OR FALSE? Employees of developers are exempted from licensing requirements.

A

ANSWER: TRUE

2
Q

FILL IN THE BLANK / _________ means it is agreed that the licensee’s commission will be the difference between the price at which real estate is listed for sale, lease or other disposition, and the actual amount realized on the sale, lease or other disposition

A

ANSWER: NET LISTING

3
Q

The members of ________ are the local real estate boards that represent 11 geographic areas of the province.

A

ANSWER: BCREA

4
Q

This is a licensee (often corporate) on behalf of which other licensees must provide real estate services.

A

ANSWER: BROKERAGE

5
Q

This is a licensee responsible for a brokerage, and who is responsible for exercising the rights conferred on the brokerage as well as for the performance of the duties imposed on the brokerage by its licence.

A

ANSWER: MANAGING BROKER

6
Q

TRUE OR FALSE? An application for a representative license must include 3 references?

A

ANSWER: FALSE

7
Q

TRUE OR FALSE? A representative must be employed by a brokerage?

A

ANSWER: TRUE

8
Q

QUICK NOTE / In order to be licensed for the first time as a MANAGING BROKER or ASSOCIATE BROKER, the licensee must have been providing real estate services as a licensee in a Canadian province or Yukon for at least TWO YEARS during the five years before the date of the application.

A

QUICK NOTE / In order to be licensed for the first time as a MANAGING BROKER or ASSOCIATE BROKER, the licensee must have been providing real estate services as a licensee in a Canadian province or Yukon for at least TWO YEARS during the five years before the date of the application.

9
Q

TRUE OR FALSE? A representative cannot act for any brokerage other than the brokerage with whom he/she is employed for?

A

ANSWER: CORRECT

10
Q

The term of a licence as set out in the Rules is _____ years

A

ANSWER: TWO

11
Q

This organization represents REALTORS on all provincial issues, provides an extensive communications network, required licensing and continuing education courses, standard forms and government relations.

A

ANSWER: BCREA​

12
Q

TRUE OR FALSE? To qualify for a managing broker an individual must be at least 21 years of age.

A

ANSWER: FALSE . . .individual must be 19 years old.

13
Q

QUICK NOTE / Section 5-6 of THE REAL ESTATE SERVICES ACT (RESA) prohibits licensees from making a PROMISE to acquire, or resell or otherwise dispose of, the real estate or any other real estate;

UNLESS at the time the licensee makes the promise, he or she gives a signed statement containing the details of the promise to the person to whom it is made, and including the signature of any other party involved in the promise.

A

QUICK NOTE / Section 5-6 of THE REAL ESTATE SERVICES ACT (RESA) prohibits licensees from making a PROMISE to acquire, or resell or otherwise dispose of, the real estate or any other real estate;

UNLESS at the time the licensee makes the promise, he or she gives a signed statement containing the details of the promise to the person to whom it is made, and including the signature of any other party involved in the promise.

14
Q

TRUE OR FALSE? A managing broker must be a Canadian citizen.

A

ANSWER: FALSE

15
Q

QUICK NOTE / It is particularly important that when licensees buy, sell or rent real estate for themselves, there should be no reason to suspect that they may have taken advantage of their position. For this reason, the Council Rules impose disclosure requirements on licensees when they (or certain related parties) person-ally deal with real estate.

A

QUICK NOTE / It is particularly important that when licensees buy, sell or rent real estate for themselves, there should be no reason to suspect that they may have taken advantage of their position. For this reason, the Council Rules impose disclosure requirements on licensees when they (or certain related parties) person-ally deal with real estate.

16
Q

TRUE OR FALSE? Once money is in the trust account, a brokerage is permitted to withdraw it from the account if it is money intended as remuneration for a licensee and that has been earned in accordance with the Rules.

A

ANSWER: TRUE

17
Q

TRUE OR FALSE? Once money is in the trust account, a brokerage is permitted to withdraw it from the account if it is money intended as remuneration for a licensee and that has been earned in accordance with the Rules.

A

ANSWER: TRUE

18
Q

TRUE OR FALSE? Once money is in the trust account, a brokerage is permitted to withdraw it from the account if it is money paid into the trust account by mistake.

A

ANSWER: TRUE

19
Q

TRUE OR FALSE? Once money is in the trust account, a brokerage is permitted to withdraw it from the account if it is money paid for brokerage business expenses?

A

ANSWER: FALSE

20
Q

FILL IN THE BLANK: The _ _ _ _ _ must contain the terms outlining the remuneration to be paid and the circumstances in which it will be payable.

A

ANSWER: the service agreement or listing agreement

21
Q

This is a common law doctrine that renders a person (or corporation) liable for the acts of another despite no personal fault on the part of the first person.

A

ANSWER: Vicarious Liability

22
Q

TRUE OR FALSE? It is illegal to enter into an agreement for payment on the basis of a net listing.

A

ANSWER: TRUE

23
Q

QUICK NOTE / Because the brokerage holds the deposit as a stakeholder, a seller cannot successfully demand payment of the deposit to him or her before the transaction is completed, nor can a buyer successfully demand the return of the deposit if he or she does not want to proceed with the transaction.

A

QUICK NOTE / Because the brokerage holds the deposit as a stakeholder, a seller cannot successfully demand payment of the deposit to him or her before the transaction is completed, nor can a buyer successfully demand the return of the deposit if he or she does not want to proceed with the transaction.

24
Q

The _ _ _ _ _ _ _ _ is responsible for investigating unlicensed activity.

A

The Superintendent of Real Estate is responsible for investigating unlicensed activity.

25
Q

QUICK NOTE / Trading Records. A brokerage must keep a real estate trade record sheet in the required form for each transaction in which the brokerage or a related licensee holds or receives money.

A

QUICK NOTE / Trading Records. A brokerage must keep a real estate trade record sheet in the required form for each transaction in which the brokerage or a related licensee holds or receives money.

26
Q

TRUE OR FALSE / The transaction record sheet must include the nature of the trade in real estate

A

ANSWER: TRUE

27
Q

TRUE OR FALSE / The transaction record sheet must include commission paid.

A

ANSWER: TRUE

28
Q

TRUE OR FALSE / The transaction record sheet must include a deal number for the purposes of identifying the trade in real estate?

A

ANSWER: TRUE

29
Q

TRUE OR FALSE? A brokerage must have a trust account for each client?

A

ANSWER: FALSE

30
Q

TRUE OR FALSE? All client funds must be placed in a trust account as soon as they are received by the brokerage.

A

ANSWER: TRUE

31
Q

List 4 requirements found in the REAL ESTATE SERVICES ACT to obtain a real estate license?

A

The applicant must be of good reputation

Individuals must be at least 19 years of age

Applicant must meet the educational and experience requirements

For partnerships or corporations, the partners of the partnership or directors and oficers of the corporation must be of good reputation.