Humber/Ontario Real Estate Course 2 Exam Practice

What should a salesperson do if a buyer asks about past flooding issues in a low-lying area?

1. Advise the buyer that past flooding issues have been resolved

2. Inform the buyer that flooding problems occurred on the street and suggest further investigation

3. Refrain from mentioning past flooding to avoid harming the seller's interests

4. State that they are unaware of any current flooding in the area

5. Advise the buyer that past flooding problems cannot be disclosed

6. Refer the buyer to environmental records for information

The correct answer is: Inform the buyer that flooding problems occurred on the street and suggest further investigation

When a buyer asks about past flooding issues in a low-lying area, it is crucial for a salesperson to provide honest and accurate information without misleading the buyer. Option B, which suggests informing the buyer that flooding problems occurred on the street and recommending further investigation, is the most appropriate course of action. By acknowledging the past flooding issues and encouraging the buyer to conduct more research, the salesperson is being transparent and assisting the buyer in making an informed decision. This approach demonstrates professionalism and ethical behavior in real estate transactions. Options A, C, D, E, and F are not the best choices in this situation because they either provide incomplete or inaccurate information, fail to acknowledge the issue, or suggest withholding information from the buyer. It is essential for a salesperson to be transparent and disclose relevant information that could potentially impact the buyer's decision-making process.