Humber/Ontario Real Estate Course 2 Exam Practice

Why might a new salesperson experience a delay in receiving remuneration?

1. The brokerage holds the remuneration for a certain period before payment.

2. A period of two to three months often exists between signing an agreement and the closing of the transaction.

3. The seller typically pays the remuneration well after the transaction is closed.

4. The salesperson does not receive payment until six months post-registration.

5. Brokerage policies usually stipulate delayed payment terms.

6. Transactions often face numerous delays that postpone payment.

The correct answer is: A period of two to three months often exists between signing an agreement and the closing of the transaction.

A period of two to three months often exists between signing an agreement and the closing of the transaction. This option is correct because there is typically a significant time gap between the initial signing of a real estate agreement by the parties involved and the closing of the transaction. During this period, various processes such as inspections, financing approvals, and legal procedures need to be completed before the transaction can be finalized. As a result, new salespersons may experience a delay in receiving remuneration due to this time lag between the agreement signing and the closing of the deal. Options A, C, D, E, and F are incorrect because they do not directly address the specific time frame between the agreement signing and the transaction closing, which is the primary reason for the delay in receiving remuneration for new salespersons in real estate transactions.