Humber/Ontario Real Estate Course 4 Exam Practice

When transferring brokerages, how should a salesperson handle ongoing listings?

1. Sign ‘cancellation of listing agreement’ forms and create new listings.

2. Undertake the assignment as an internal brokerage matter only.

3. Discuss assignment with sellers and proceed based on their choices.

4. Assign the listings to the new brokerage without seller involvement.

5. The current brokerage might automatically manage the transfer.

6. Wait for the existing listings to expire before moving to the new brokerage.

The correct answer is: Discuss assignment with sellers and proceed based on their choices.

The correct approach when transferring brokerages is to discuss the assignment with sellers and proceed based on their choices. This emphasizes the importance of maintaining client communication and trust during the transition process. By engaging with sellers, the salesperson can clarify options regarding their current listings, including whether they wish to continue with the existing brokerage or allow the salesperson to transfer those listings to the new brokerage. This approach respects the clients' rights and preferences, ensuring they fully understand the implications of transferring to a new brokerage. It also creates an opportunity for the salesperson to explain how the new brokerage can benefit them, potentially leading to a smoother transition and continued business relationships. The other options lack the necessary client engagement. Simply signing cancellation forms and creating new listings does not consider the sellers' interests or choices — this could lead to confusion or dissatisfaction. Handling the transfer as an internal brokerage matter disregards the sellers' rights and expectations. Assigning listings without seller involvement can create legal and ethical issues, as it undermines the agreement between the seller and their original brokerage. Allowing the current brokerage to manage the transfer removes the salesperson's responsibility for maintaining clear client communication. Finally, waiting for listings to expire before moving limits business opportunities and may negatively impact sellers who wish to continue their listings without