Humber/Ontario Real Estate Course 2 Exam Practice

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Prepare for the Ontario Real Estate Exam with our comprehensive Humber Course 2 Exam Practice quiz. Engage with multiple choice questions and detailed explanations, designed to help you excel.

Each practice test/flash card set has 50 randomly selected questions from a bank of over 500. You'll get a new set of questions each time!

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When is a real estate brokerage required to deny service due to suspicious transactions under the Proceeds of Crime (Money Laundering) and Terrorist Financing Act?

The client declines to provide identification when requested.
The funds involved are from an untraceable source.
The transaction involves over $10,000 in cash.
The real estate agent has reasonable grounds to suspect money laundering.
The property involved is of international interest.
There is a history of irregular activities linked to the same property.

The correct answer is: The real estate agent has reasonable grounds to suspect money laundering.

In accordance with the Proceeds of Crime (Money Laundering) and Terrorist Financing Act, a real estate brokerage is required to deny service if the real estate agent has reasonable grounds to suspect money laundering. This is a crucial requirement to prevent facilitating illegal activities through real estate transactions. The other options are not directly related to when a real estate brokerage is required to deny service due to suspicious transactions under the Act. While some of them may raise concerns in a real estate transaction context (such as transaction involving over $10,000 in cash or funds from an untraceable source), the key trigger point for denial of service specifically related to the Act is when the real estate agent has reasonable grounds to suspect money laundering.