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.

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Which statement correctly describes representation in an agreement involving seller clients and buyer customers?

Buyers' interests are not protected by the brokerage.
Buyers must sign a service agreement for interest protection.
Buyers must include an email in the agreement's Notices section.
The listing brokerage is in multiple representation with both parties.
Buyers are considered clients by default.
Buyers and sellers have the same representation level.

The correct answer is: Buyers' interests are not protected by the brokerage.

In an agreement involving seller clients and buyer customers, it is essential to understand the concept of representation. When buyers are classified as customers, they are not clients of the brokerage, which means their interests are not protected by the brokerage. This distinction is crucial because clients receive a higher level of representation and fiduciary duty compared to customers. By not being considered clients, buyers do not have the same level of protection and advocacy as seller clients would have. Therefore, option A correctly describes the representation in this scenario. Options B, C, D, E, and F are incorrect for various reasons: - Option B is incorrect because buyers signing a service agreement does not automatically mean their interests are protected; the key factor is whether they are classified as clients or customers. - Option C is not directly relevant to representation in the agreement but rather focuses on administrative details. - Option D talks about the listing brokerage being in multiple representation, which may not always be the case in agreements involving seller clients and buyer customers. - Option E is incorrect because buyers are not automatically considered clients; this classification depends on the agreement and representation chosen. - Option F inaccurately suggests that buyers and sellers have the same representation level, which is not the case when buyers are categorized as customers.