Humber/Ontario Real Estate Course 2 Exam Practice

Which of the following is not a similarity between a buyer representation agreement and a seller representation agreement?

1. Both forms set out disclosure requirements regarding finder's fees.

2. Both include a general description of property type.

3. Commencement and expiry dates are included in both.

4. The topic of use/distribution of information is discussed in both.

The correct answer is: Both include a general description of property type.

The correct response is based on the understanding that while both buyer representation agreements and seller representation agreements serve to establish a formal relationship between the client and the realtor, they are focused on different aspects of the real estate transaction. In a buyer representation agreement, the focus is on the buyer's needs, and the specific types of property of interest may vary widely based on the buyer's preferences and requirements. This means that any general description of property type included may not be as standardized or relevant for buyers with diverse needs. Conversely, a seller representation agreement typically pertains to the characteristics of the property being sold, with specific details outlined to accurately market the property. This distinction is crucial because the nature of the agreements reflects their purpose; the buyer's agreement is more flexible and personalized to the buyer’s needs, while the seller's agreement is often focused on the specifics of the one property being sold. Thus, while both agreements have commonalities, general property type descriptions will not serve the same purpose in both contexts, making this choice accurate.