Unit 10

Question 1

Buyer Representation Agreement

Answer 1

An employment contract by which the broker is employed as a purchaser’s agent to find a suitable property.

Question 2

Broker Protection Clause

Answer 2

A part of a listing agreement that stipulates that the property owner will pay the listing broker a commission of the broker was the procuring cause of a sale that is completed after the listing expired.

Question 3

Exclusive Agency Listing

Answer 3

A listing agreement with a single broker, under which the seller retains the right to sell property independently without being obligated to pay a commission.

Question 4

Home Warranty Program

Answer 4

An optional item in the listing contract that protects the buyer against the expense of certain types of repairs (such as plumbing, electrical, and heating systems) after the sale is completed.

Question 5

Exclusive RIght-To-Sell Listing

Answer 5

A listing agreement under which the seller must pay the broker a commission regardless of who sells the property.

Question 6

Listing Agreement

Answer 6

An employment contract for a broker’s services for a property seller.

Question 7

Multiple Listing Service (MLS)

Answer 7

A marketing organization whose broker members make their own exclusive listings available to other brokers.

Question 8

Listing Presentation

Answer 8

A meeting with a property owner at which a sales associate describes the marketing efforts that the brokerage will make to bring about a sale of the property as quickly as possible.

Question 9

Indemnification (hold harmless) Wording

Answer 9

Language in a listing agreement that states the broker and seller agree not to sue one another for any incorrect information supplied by one to the other.

Question 10

Open Listing

Answer 10

A listing agreement in which the seller may employ multiple brokers, retain in the right to market the property independently, and is obligated to compensate only the broker who produced a buyer, if any.