Humber/Ontario Real Estate Course 4 Exam Practice

What is the most effective strategy for Salesperson Bristow to address disclosure and remuneration when presenting an offer?

1. Ask the co-operating brokerage to confirm remuneration by letter

2. Complete and sign a confirmation of co-operation and representation form before the offer

3. Prepare a brokerage letter confirming disclosures

4. Request that the listing brokerage provide a copy of the listing

5. Discuss remuneration verbally during the offer presentation

6. Inform the buyer client of the remuneration rate beforehand

The correct answer is: Complete and sign a confirmation of co-operation and representation form before the offer

Completing and signing a confirmation of co-operation and representation form before the offer is the most effective strategy for addressing disclosure and remuneration in a real estate transaction. This form serves as a formal agreement that outlines the relationship between the salesperson, their client, and the parties involved in the transaction. It ensures that all parties are aware of who represents whom and clarifies the terms of co-operation. This proactive approach creates a clear record of understanding among all parties and complies with regulatory requirements for disclosure, thereby helping to avoid any misunderstandings or disputes later in the process. Given that ethical standards and professional regulations often emphasize the necessity of transparency and clarity in client-agent relationships, this form effectively addresses these elements well. While other options may touch on aspects of remuneration or disclosure, they do not create the same level of formal agreement or clarity as the confirmation of co-operation and representation form. For example, requesting a letter from the co-operating brokerage or discussing remuneration verbally may lead to ambiguities and potential misunderstandings, while preparing a brokerage letter does not ensure that all involved parties have formally acknowledged the relationship and terms prior to the offer being made.