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Questions:
CHAPTER 3 – Real Estate Agency
1. Who is considered the Principal in
Questions:
CHAPTER 3 – Real Estate Agency
1. Who is considered the Principal in a real estate relationship? Define ‘agency’ as according to the California Civil Code. Explain what is a Fiduciary Relationship, how is it created and how does it obligate the agent?
2. Name and ‘Define’ the 3 ways a real estate agency is created, be specific. Which one of the three is the most common?
3. Explain the difference between an independent contractor and an employee of a real estate office.
4. Can a real estate agent represent both the buyer and seller on the same transaction at the same time? Why or why not? Name three occasions when the Disclosure Regarding Real Estate Agency Relationships Form must be completed.
5. What is a “Trust Account’ ? What is ‘commingling’ ? What three (3) choices does a real estate agent have to make with a buyer’s deposit within 3 business days (if the buyer did not ask to have the check held uncashed)?
Hint: If you have not obtained the required textbook as yet, I have posted the chapter reading under “Read Chapter 3” in the Module and make sure to review the PowerPoint.
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