BROKERAGE
A listing broker is authorized by the owner or his attorney-in-fact
1. As an agent of the seller, the real estate broker is usually authorized to:
A. Advertise the listed properties
B. place FOR SALE signs on the listed property
C. Cooperate with other brokers to facilitate a sale
But not to bind the principal under a contract to sell
2. A real estate broker receives a Fee while a real estate dealer earns Commission
Profits from his investments
3. Open Listing is a kind listing that can be given to more than two brokers.
4. An agreement between an owner and a broker to sell a real estate property is
called Listing
5. Option is a contract between Owner\Seller and Buyer
6. Holdover Clause is a provision in the listing agreement which entitles a broker to a
commission even when he closes the sale after the period of his authority, provided
that the buyer with whom he has negotiated was registered by him with the seller
and during the period of his authority.
7. in authority given by a developer to a broker to fund a supplier for cement and
aggregates materials wherein payment shall be in the form of units or developed lot,
the contract is Exchange Agency
8. The best protection for a real estate broker when getting an authority for listing is
Exclusive Right or Authority to Sell
9. Exclusive Right or Authority to sell is an agreement by which the listing broker is
entitled to a commission even if the principal himself procured the prospect and
closed the sale
10. Exclusive Right or Authority to sell is an agreement by which the listing broker is
entitled to his brokers fee even if the principal/seller sold the property by himself
11. The position of trust assumed by the broker as an agent for the principal is most
accurately described as Fiduciary Relationship
12. The commission rate for the sale of real estate by a real estate broker is
determined by the Agreement or Negotiation between seller and broker.
13. If there are many sellers in a particular area as against very few buyers, this
situation is called Buyers Market
14. In the real estate business another term for the owner is Principal
15. The type of listing that gives the real estate broker the greatest protection is
Exclusive Right or Authority to sell
16. Multiple Listing System is a cooperative agreement among broker who are
members of a realty association where properties for sale are circulated to all
members and commission is shared between the listing and selling member, with a
nominal percentage going to the association as a service fee
17. The contract of agency is extinguished by the death, civil interdiction, insanity or
Insolvency of the Principal or of the agent.
18. Under Exclusive Agency, the owner of the property can sell the property himself
and he is not bound to pay the brokers commission.
19. Net listing is an agreement which the broker may retain as compensation for his
services all sums received or paid over and above the net price to the owner.
20. Exclusive Agency is an agreement by which the authority to offer or negotiate for
sale a property is given to only one broker who is not, however entitled to a
commission in case the owner himself is able to sell his property directly.
21.
22. An Exclusive Right or authority to sell listing is a written agreement between the
Principal and Real Estate Broker giving the latter the right to collect a commission of
the property is sold by anyone during the term of his agreement.
23. The scope of brokerage does not procure of insurance for properties secured by
real estate
24. If there are many sellers in a particular area against very few buyers, this
situation is called Buyers Market
25. A broker is entitled to the commission upon Perfection of the Contract
26. With Holdover Clause in the authority to sell, the broker is still entitled to the
commission even if he closed the sale after the period of his authority, by registering
in writing the prospective buyer to the seller.
27. Holdover Clause A stipulation in an authority to sell that entitles the broker to
commission even beyond the period of his authority if he had registered his buyer to
his principal before the expiry date of his authority.
28. Requirements for entitlement of a commission
A. Procurement of a ready, willing and able buyer
B. Authority from the Principal
C. Procuring Cause for the Sale
D. Broker closed the sale at terms, price and conditions authorized by the
principal
But does not need to be a licensed real estate appraiser
29. Procuring Cause is the act of the broker who is instrumental in effecting the
meeting of minds between the seller and the buyer as to price and terms and is one
of the requisites for entitlement to commission
30. The act of the broker who is instrumental in effecting the meeting of minds
between the seller and the buyer as to price and terms and is one of the requisites
for entitlement to commission Procuring Cause
31. Exclusive Agency a type of brokers accreditation that clearly states the
promotion and selling of projects by a developer on an exclusive arrangement
32. A prospect is a person who is in need and can afford to buy
33. Fiduciary Relationship The position of trust assumed by the broker as an agent
for the principal
34. Exchange Agency When In authority given by a developer to a broker to fund a
supplier for cements and aggregates materials wherein payment shall be the form of
units or developed lot