Residential Real Estate Transactions - Test 05

The 200 multiple-choice questions, all derived from official course material, cover the full spectrum of topics essential for ensuring the successful completion of real estate transactions in Ontario. These topics include legal and regulatory frameworks, relevant documentation, property management, and ethical considerations, among many others. While passing this test with flying colors is indeed an accomplishment, the real value comes from the thorough preparation it demands. Aspiring real estate agents must commit to investing the necessary time and effort into studying the course materials in-depth and accessing additional resources to sharpen their knowledge and skills. Nonetheless, the payoff can be significant, not only in terms of receiving accreditation but also in gaining the competence and confidence required to excel in the Ontario real estate market.

Residential Real Estate Transactions - Practice Test 05

Ontario Residential Real Estate Transactions - Course 2

1 / 30

Detailed information about a property being listed is contained on its…?

Measurement document

Legal description

Listing agreement

Datasheet

2 / 30

When taking photographs for a listing, a salesperson should…?

Remove all furniture from every room

Only take photographs of the exterior of the property

Only take photographs of the interior of the property

Remove any of the seller's personal photographs

3 / 30

If during an open house a buyer who is the client of another brokerage wishes to make an offer, the salesperson must…?

Decline the offer

Accept the offer directly

Direct them to speak to their own broker/salesperson

Invite the buyer to become a client of their own brokerage

4 / 30

A brokerage website must clearly exhibit…?

Contact information

Disclaimers

Salesperson's name

All of these

5 / 30

The "direct comparison approach" to valuation works best when…?

A wide range of historical data is available

Recent comparable sales are available

The seller is not in a hurry to dispose of their property

The prevailing market conditions are a buyer's market

6 / 30

Which of these must be considered when setting a reasonable listing price for a property?

The seller's motivation to have their property sold

The seller's personal circumstances

The prevailing market conditions

All of these

7 / 30

When calculating time adjustment for comparable valuation, the value is nil if the comparable property being used for valuation was sold within the previous…?

Year

Three months

Six months

Month

8 / 30

The "cost approach" to estimating value may not work well with…?

Very old properties

Very new properties

Commercial properties

Special-purpose buildings

9 / 30

The "income approach" to valuation is most appropriate when used on…?

Commercial or investment property

Waterfront properties

Condominium property

Single detached properties

10 / 30

Which of these properties will often provide the best value for a buyer?

A property that is the average size for a street

The largest property on a street

The smallest property on a street

The most dilapidated property on a street

11 / 30

In advertising, only members of CREO may use the trademark…?

REALTOR logo

REALTORS

REALTOR

All of these

12 / 30

A registrant may not describe themselves in a property advertisement as…?

Any of these

Sales agent

Sales consultant

Sales associate

13 / 30

A valuation should focus on the value of a property when used in a way that…?

Produces the greatest return at the time of valuation

Produces the greatest enjoyment of the property available at the time of valuation

Would be possible if zoning regulations are changed

Would it be possible if financial circumstances changed

14 / 30

In a "mere posting" agreement, a brokerage only…?

Books showings for properties

Lists a property as being for sale

Negotiates offers

Organises open houses

15 / 30

The process of selecting one value estimate from two or more estimates is known as…?

Reconsideration

Re-commiseration

Recommendation

Reconciliation

16 / 30

The source documents for the legal description on the data sheet are…?

Title/deed and survey

Tax and assessment documents

Zoning description

Lot size and living area

17 / 30

A Comparative Market Analysis shows a seller how their property ranks in comparison with similar properties that are on sale, have sold, or were listed but expired in the previous…?

24 months

12 months

6 months

18 months

18 / 30

The "cost approach" to estimating value cannot be used to value…?

Condominium units

Industrial buildings

Single residential houses

Commercial properties

19 / 30

An advertising statement that is not complete enough for someone to understand its truth is known as…?

An exaggerated statement

A false statement

An inaccurate statement

An incomplete statement

20 / 30

Home staging professionals are used to do what?

Make a home look more attractive

All of these

Cover up obvious defects in a home

Design media listings for a home

21 / 30

Distributing flyers advertising that a property has been sold...?

Can only be done with the buyer's consent

Can only be done with the seller's consent

Is a standard practice requiring no consent

Is a forbidden practice

22 / 30

Overpricing a property for sale may result in…?

All of these things

A salesperson's reputation being negatively affected

Final sale price being considerably lower than market value

People believing there may be a problem with the property

23 / 30

A la carte remuneration means that the seller is offered…?

Services at a sliding scale depending how quickly the property sells

Services at a percentage of the sale price

Services at a combination of percentage of sale price and flat fee

Various services at a flat fee

24 / 30

Farming in the neighbourhood refers to…?

Persuading people to leave a particular area

Trying to get clients away from nearby brokerages

Looking for agricultural properties in a particular area

Targeting marketing at a particular area

25 / 30

The placement of open house signs must be…?

Chosen by the salesperson

Agreed by the seller

In line with local municipality regulations

Agreed by the buyer

26 / 30

If a seller wants all offers presented at a specific date and time, the salesperson/broker should…?

Politely explain the instruction is impossible

Ignore the instruction

Verbally agree to the instruction

Get this instruction in writing

27 / 30

Which of these is it not permitted for an unregistered assistant to do at an open house?

Greet visitors to the property

Answer questions about the property

Place and remove open house signs

Ask visitors to sign the guest register

28 / 30

Personal information about a seller can be included in the advertisement for their property…?

If it does not identify the seller by name

Under no circumstances

If it will help to sell the property

If the seller has not specifically objected to it

29 / 30

Which of these is not one of REBBA's four minimum standards for advertising?

The advertisement must contain the name of the salesperson/broker

The advertisement must include the personal telephone number of the registrant

The advertisement must identify the registrant who places the advertisement

The advertisement must contain the name of the brokerage

30 / 30

A salesperson may leave an open house event when it is in progress…?

Under no circumstances

Only to attend another open house event

If asked to do so by a potential buyer

Only to obtain food or other refreshments

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