Humber/Ontario Real Estate Course 2 Exam Practice

What is the correct approach when a buyer requests that their deposit not be placed in the real estate trust account immediately?

1. Advise the brokerage and seek guidance from the broker of record or manager

2. Delay processing for seven days

3. Inform the buyer that such a delay is acceptable under regulatory guidelines

4. Let the buyer know that the cheque can be cashed later as the issue is unimportant

5. Process paperwork without the initial deposit

6. Seek buyer's confirmation of fund availability within seven days

The correct answer is: Advise the brokerage and seek guidance from the broker of record or manager

When a buyer requests that their deposit not be placed in the real estate trust account immediately, the correct approach is to advise the brokerage and seek guidance from the broker of record or manager. This is important because real estate trust accounts are highly regulated to protect both parties involved in the transaction. By seeking guidance from a supervisor or the brokerage management, you ensure that you are following all legal and regulatory requirements in handling the deposit appropriately. Options B, C, D, E, and F are incorrect. Delaying processing, informing the buyer that a delay is acceptable, suggesting that the cheque can be cashed later, processing paperwork without the initial deposit, or seeking the buyer's confirmation within seven days can all pose risks and go against the regulations governing the handling of deposits in real estate transactions. It's crucial to handle deposits correctly and promptly to maintain compliance and trust in real estate transactions.