Humber/Ontario Real Estate Course 4 Exam Practice

Which of the following procedures is correct upon acceptance of a sale agreement?

1. Co-operating details must always be filled

2. Seller always signs first on the acceptance form

3. The first person to sign the receipt of acceptance signs the confirmation of acceptance

4. Buyer needs to sign confirmation for the seller

5. Seller signs the receipt after the buyer

6. Buyer signs first, then the seller

The correct answer is: The first person to sign the receipt of acceptance signs the confirmation of acceptance

The procedure that states the first person to sign the receipt of acceptance signs the confirmation of acceptance is correct because it accurately reflects the standard practice in real estate transactions. When a sale agreement is accepted, the process of confirming acceptance involves ensuring that all parties involved acknowledge the terms of the agreement. The person who signs first effectively initiates the confirmation process, which allows the other party to proceed with their acknowledgment and acceptance of the terms as well. This procedure helps establish a clear chain of acknowledgment, ensuring that all parties are in agreement and aware of their commitments. It emphasizes the importance of clarity and communication within the transaction process, which is vital for avoiding disputes and misunderstandings later. The other options describe various procedures that may not align with standard practices or could introduce unnecessary complication to the acceptance process. For example, the idea that the seller must always sign first or that the buyer must sign confirmation for the seller does not reflect the flexible nature of real estate contract execution.