Humber/Ontario Real Estate Course 4 Exam Practice

What should a salesperson do if a condition in an offer needs to be fulfilled?

1. Ensure the condition is removed within the specified time

2. Only make sure that the home inspector arrives on time

3. Encourage the buyer to waive a mortgage condition if approval is not a problem

4. Use a notice of fulfillment or a waiver for a condition precedent

The correct answer is: Use a notice of fulfillment or a waiver for a condition precedent

When a condition in an offer needs to be fulfilled, the salesperson should use a notice of fulfillment or a waiver for a condition precedent. This is the correct answer because these documents are commonly used in real estate transactions to formally acknowledge that a condition has been met or waived, ensuring that all parties involved are clear on the status of the condition. Option A is incorrect because simply ensuring the condition is removed within the specified time may not provide the necessary formal documentation and clarity that a notice of fulfillment or waiver would offer. Option B is incorrect because the responsibility of the salesperson is not solely to ensure the home inspector arrives on time; the focus should be on fulfilling or waiving the conditions in the offer. Option C is incorrect because encouraging a buyer to waive a mortgage condition without properly assessing the situation and obtaining the necessary documentation could lead to legal issues and misunderstandings. It is important to follow the appropriate procedures, such as using a notice of fulfillment or waiver, in such scenarios.