Humber/Ontario Real Estate Course 4 Exam Practice

If a buyer agrees to remove an outdoor patio set from the purchase agreement, what should the salesperson do?

1. Include a counter-offer excluding the patio set and have both parties sign

2. Prepare a new offer that excludes the patio set

3. Alter the current agreement and get initialed consent from buyer and seller

4. Create an amendment to the agreement and get signatures from both parties

5. Ask the buyers to verbally agree and proceed accordingly

6. Cancel the existing agreement and start new negotiations

The correct answer is: Create an amendment to the agreement and get signatures from both parties

Creating an amendment to the agreement and obtaining signatures from both parties is the correct approach in this situation. An amendment serves as an official modification to the original purchase agreement, clearly stipulating any changes or exclusions, such as the removal of the outdoor patio set. By issuing an amendment, it ensures that all parties are formally aware of and consent to the changes, which enhances legal clarity and protection for both the buyer and the seller. This method also maintains the integrity of the original agreement while documenting the specific change, which can prevent potential disputes in the future. The other options present alternatives that may not fulfill the requirement of formally documenting changes. For instance, a counter-offer or a new offer might complicate the original terms and create confusion rather than maintaining clarity. Simply altering the agreement without proper documentation might lack legal standing. A verbal agreement is not advisable, as it lacks formality and could lead to misunderstandings. Starting new negotiations would be unnecessary and may delay the transaction when a straightforward amendment is both effective and efficient.