Humber/Ontario Real Estate Course 2 Exam Practice

What should be included in a buyer agency agreement?

1. Details of all properties previously owned by the buyer

2. Financial penalties for ending the agreement

3. List of all properties the buyer will consider purchasing

4. Obligations and responsibilities of both parties

5. Survey results of all visited properties

The correct answer is: Obligations and responsibilities of both parties

In a buyer agency agreement, it is essential to include the obligations and responsibilities of both parties involved, as this helps outline the expectations and commitments of the buyer and the real estate agent. This section typically covers aspects such as the scope of services to be provided, the duration of the agreement, commission structure, confidentiality clauses, and any specific terms agreed upon by both parties. By including these details, both the buyer and the agent have a clear understanding of what is expected from each side throughout the transaction process. Options A, C, and E are not typically included in a standard buyer agency agreement. The buyer agency agreement focuses on the working relationship between the buyer and the agent, rather than specific property details or survey results. Financial penalties for ending the agreement, as mentioned in option B, are not a standard inclusion in a buyer agency agreement, as the agreement should outline the terms for termination or expiration of the agreement without the need for financial penalties.