Humber/Ontario Real Estate Course 4 Exam Practice

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A potential buyer is interested in a property that appears to have zoning issues. What should the salesperson advise?

  1. Inform the buyer that zoning issues are generally not enforceable.

  2. Advise the buyer to ignore the zoning issues and proceed with the offer.

  3. Recommend that the buyer verify zoning compliance with the local municipality before making an offer.

  4. Tell the buyer to include a clause in the offer that waives any zoning requirements.

The correct answer is: Recommend that the buyer verify zoning compliance with the local municipality before making an offer.

The correct response emphasizes the importance of due diligence in real estate transactions, specifically regarding zoning compliance. Recommending that the buyer verify zoning compliance with the local municipality before making an offer reflects best practices in the industry. Zoning regulations can significantly impact how a property can be used, and potential buyers must understand these implications before proceeding. By encouraging the buyer to check with the local municipality, the salesperson facilitates an informed decision-making process. This step provides the buyer with the opportunity to discover any existing issues, such as non-compliance or restrictions that could affect the property's intended use, financing options, or future developments. Furthermore, it underscores the importance of transparency and due diligence in real estate dealings, which is crucial for legal and financial protection. In contrast, suggesting that zoning issues are generally not enforceable overlooks the reality that violations can have serious consequences, such as fines or the requirement to demolish or alter structures. Advising the buyer to ignore these issues is careless, as it may lead to unexpected complications after the purchase. Including a clause that waives zoning requirements does not address the underlying concerns and could leave the buyer vulnerable to future problems. Overall, guiding the buyer to verify zoning compliance is the most responsible and beneficial action.