Protection against damage or loss - Answer- Indemnification
relationship, meaning that it is a relationship based on trust. - Answer- Fiduciary
A
... [Show More] relationship between two parties - Answer- Agency
A person who receives limited brokerage services
without establishing an agency relationship - Answer- Customer
Also known as the principal - Answer- Client
makes it illegal to practice any act of real estate brokerage
without a license. - Answer- Texas Real Estate License Act (TRELA)
acts for or on behalf of another person, - Answer- Agent
The agent must always remain loyal to the - Answer- principal.
agency relationships constitute the foundation of the practice of brokerage, it is essential that a license holder - Answer- have a deep understanding of agency concepts and law
There are two key points with respect to agency: - Answer- 1. The principal will count on the agent for specific professional advice. The agent is the "expert".
2. The relationship almost always involves money or property.
The Texas Real Estate License Act (TRELA) was passed in - Answer- 1939.
Texas Real Estate Commission was created to enforce and administer the act in - Answer- 1949
The purpose of the License Act is to - Answer- protect the public against unscrupulous brokers and sales agents.
The License Act provides for two types of licenses to be issued - Answer- 1. Broker License
2. Sales Agent License
Can a someone hold both Sales Agents License and Brokers License? - Answer- No, but a broker can act as a sales agent under a brokers license.
sales agent is prohibited from splitting fees - Answer- with anyone, except through the sponsoring broker
If a broker has more than one place of business, a branch - Answer- office license is required for each location. It is not necessary to have a licensed broker at each location.
How can a broker terminate a sales agent? - Answer- it must be done in writing, and the license must be returned to the Texas Real Estate Commission immediately
How can a sales agent terminate with a broker? - Answer- it must be done in writing
The Texas Real Estate Commissions main focus is to... - Answer- protect the public
Is price fixing and/or standardize commission a violation of federal anti trust laws? - Answer- Yes, can not be done.
How are disputes between brokers and sales agents solved? - Answer- Through mediation, arbitration or the courts.
The individual remains a customer until he or she enters into an - Answer- agency agreement.
A seller becomes a client by entering into a listing agreement with the __________ - Answer- broker.
A buyer becomes a client by entering into a ___________________________ with the broker. - Answer- a buyer representation agreement
A person licensed by the Texas Real Estate Commission (TREC) to act as a broker or sales agent in a real estate transaction. - Answer- License holder
(1) A broker who represents a seller, landlord, buyer or tenant. (2) Sales agent or broker license holders who represent the broker with whom they are associated. - Answer- Agent
A license holder not associated with the seller's broker, but who is representing the seller through a cooperative agreement, often through membership in a Multiple Listing Service (MLS), with the seller's broker. - Answer- Subagent
A broker selling the listing of another broker. - Answer- Cooperative Broker
An individual holding a broker's license issued by TREC - Answer- Broker license holder
An individual holding a license issued by TREC - an agent of
the sponsoring broker. - Answer- Sales agent license holder
A broker associated with and conducting all of his or her business as an agent of another broker. - Answer- Broker Associate
A sales agent or broker license holder associated with and conducting business as an agent of his or her sponsoring broker. - Answer- Sales Associate
A broker representing the SELLER in a real estate transaction, also referred to as a SELLER'S Broker, Listing Broker, or Listing Agent. - Answer- Seller's Agent
A broker representing the BUYER in a real estate transaction, also referred to as a BUYER'S Broker, Selling Broker, or Selling Agent. - Answer- Buyer's Agent
A broker representing a LANDLORD in a real estate transaction - Answer- Landlord's Agent
A broker representing a TENANT in a real estate transaction - Answer- Tenant's Agent
A person who receives limited brokerage services without establishing an agency relationship. - Answer- Customer
License holders have two levels of responsibility: - Answer- 1. Public responsibility
2. Fiduciary responsibility
What are the duties to customers as PUBLIC RESPONSIBILITY? - Answer- a. Honesty
b. Disclosure of material facts
c. Handle all funds with care
d. Be responsible for written or oral statements
What are the duties to customers as FIDUCIARY RESPONSIBILITY? - Answer- a. Put the interests of the client first
b. Give full disclosure to the client (advice and opinions in addition to disclosing all pertinent facts - both material and other)
c. Exhibit trust and honesty
d. Exercise good business judgment
e. Be loyal to the principal
f. Be competent
What is the acronym for the Duties of Principal to Agent? - Answer- CRIP
What are the duties or responsibilities a Principal has to an agent? - Answer- • Compensation
• Reimbursement
• Indemnification
• Performance
_____________ refers to the fact that the agent should be paid on completion of the agency. - Answer- Compensation
___________________ refers to the fact that the agent should be reimbursed by the principal for expenses incurred on behalf of the principal, above and beyond the expenses related to the sale itself. - Answer- Reimbursement
________________ means that the principal will protect the agent from suffering a loss due to the agent's reliance on information received from the principal. - Answer- Indemnification
____________________ means the principal is expected to perform as promised in the agency agreement. - Answer- Performance
What are reasons to study agency? - Answer- • Compliance with state law and Commission rules.
• A new license holder is an agent of his or her broker.
• Growing public awareness of the duties of a license holder.
• License requirements.
• Professionalism.
• A more "open" marketplace of information and ratings.
_______________ is the relationship the agent has with his or her principal, or his or her broker - Answer- Agency
The agent who lists a seller's property for sale is called
the __________________ - Answer- "listing agent"
The agent for the buyer is called ______________ - Answer- "the buyer's agent."
When in a cooperative sale, the buyer's agent is also known as - Answer- the cooperating agent because the buyer's agent cooperated in the sale with the listing agent.
In a real estate office, the agents refer to the buyer's
agent as the ___________________ - Answer- "selling agent"
The _______________ makes it illegal to practice any act of real estate brokerage without
a license. - Answer- Texas Real Estate License Act(TRELA)
Section 1101.651 of the License Act lists _______________ specific violations that can result in the suspension or revocation of a real estate license. - Answer- 30
The License Act provides for two types of licenses to be issued, a _______________ and a _______________. - Answer- Brokers License [Show Less]