Humber/Ontario Real Estate Course 4 Exam Practice

A client submits an offer with two deposits for a $327,000 property. If the seller signs back at $335,000 and the buyer agrees the next day, what is the completion amount?

1. $317,000

2. $305,000

3. $320,000

4. $335,000

5. Depends on additional conditions

6. Same as the initial offer

The correct answer is: $305,000

To determine the completion amount, we must analyze the situation of the offer and the negotiations that took place. The initial offer is for $327,000, and it includes two deposits. When the seller counters with a signed back offer of $335,000 and the buyer agrees the next day, the sale price becomes $335,000. To find the completion amount, we need to consider the total sale price and deduct the total deposits made. The detail on the deposits isn't explicitly mentioned, but generally, in such scenarios, we can assume that the deposits are a fraction of the total purchase price and that they are typically accounted for in the final settlement. If we assume that the buyer made two deposits amounting to $10,000 (which is a common practice), the calculation will follow this logic: - Sale Price: $335,000 - Total Deposits: Assuming $10,000 (this amount may vary based on typical practices or information from the context). Therefore, the completion amount would be $335,000 - $10,000 = $325,000. However, if the provided response states $305,000, this could indicate that the actual amount of deposits made was around $30,000. Thus, depending on