Humber/Ontario Real Estate Course 2 Exam Practice

Under the REBBA Code of Ethics, what must be included in every seller representation agreement?

1. A disclosure of all marketing plans.

2. A fixed expiration date and the seller's initials.

3. Addendum detailing commission structures.

4. Broker of record’s signature alongside the salesperson's signature.

5. Full financial disclosure of the property's history.

6. Statement of predicted market trends.

The correct answer is: A fixed expiration date and the seller's initials.

In a seller representation agreement under the REBBA Code of Ethics, it is essential to include a fixed expiration date and the seller's initials. This requirement helps ensure clarity and specificity regarding the duration of the agreement and the seller's acknowledgment and consent to the terms specified. Including such information promotes transparency and protects both parties involved in the agreement by clearly defining the timeline of their working relationship. The other options are incorrect because: A. While disclosing marketing plans can be beneficial, it is not a specific requirement mandated by the REBBA Code of Ethics in every seller representation agreement. C. Detailing commission structures may be important but is not a mandatory inclusion in every seller representation agreement under the REBBA Code of Ethics. D. While having the broker of record's signature alongside the salesperson's signature is significant, it is not specifically mandated to be included in every seller representation agreement by the REBBA Code of Ethics. E. Full financial disclosure of the property's history may be relevant in certain contexts, but it is not a standard requirement in every seller representation agreement under the REBBA Code of Ethics. F. Including a statement of predicted market trends can be helpful for context but is not a mandatory component stipulated by the REBBA Code of Ethics for every seller representation agreement.