Notes

chater#6
1-Which of the following statements about an offer to purchase real property is true?
1-B) The statute of frauds requires both offer to purchase real property and the acceptance of the offer to be writing.
2-Which of the following statements about preparing an offer to purchase is true?
2-D) If a real estate agent makes a mistake in filling out a contract form, the agent (or the agent's broker) may be held liable
for losses resulting from the agent's negligence.
3-A contingent counteroffer would be appropriate when:
3-A) A contingent counteroffer allows a seller to accept a second offer, contingent on the failure of the first contract.
4-The seller's acceptance would be effective (so that the buyer could no longer withdraw his offer) in all of the following situations, except when the seller:
4-A) In order to form a contract to purchase real estate, the acceptance must be made in writing. Telephone communication is not a valid form of acceptance.
5-Once it has been signed by both the buyer and the seller, a purchase agreement can be modified on if:
5-C) Once a contract has been formed, the terms of the contract can't be charged without the written consent of both parties may agree to amend the contract for reason.
6-Which of the following is least likely to be found in a cancellation agreement?
6-B) A contract cancellation agreement should be signed by both parties and describe how the good faith deposit will be handled.it may include a safety clause for the broker's protection. If the seller has accepted a backup offer, the notice to the backup buyer will be handled separately.
7-After accepting a good faith deposit from a Byer, you are required to tell the seller:
7-D) A real estate agent who accepts a good faith deposit is required to disclose the amount and form of the deposit to the seller. the agent should follow office policies regarding the form and handling of the deposit, and also inform the seller of anything unusual about the deposit, such as the fact that the buyer's check is postdated.
8-If you accept cash as a good faith deposit, you:
8-A) Many brokerages do not accept cash deposits. Although accepting a good faith deposit in cash increases the chance of loss or improper handling, it is not in *itself grounds for disciplinary action.
9-Many purchase agreement forms have a provision allowing the broker to hold a check for the good faith deposit for a specified period without depositing it in a trust account. One advantage of this is that:
9-B) Purchase agreements often allow the seller accepts the offer. This makes it check without depositing it until the seller accepts the offer. This makes it easier to return the good faith deposit to the buyer if the offer is rejected.
10-A buyer signs a purchase agreement for a duplex that she intends to occupy. If she forfeits the good faith deposit as liquidated damages for breach of the purchase agreement:
10-B) If the buyer breaches the purchase agreement, no more that 3% of the purchase price can be retained as liquidated damages if she intended to reside in the property. After expenses incurred by the brokers have been deducted, the seller usually keeps half of the remainder and gives the listing broker the other half. The listing broker will usually split this portion with the seller broker.