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36 Cards in this Set

  • Front
  • Back
Based on Il law & the Residental real Property Disclosure Report, what must a seller disclose?
latent and material defects
Name 5 fiduciary responsibilities an agent owes the principal
Name 4 types of angency relationships
Define agent:
an idiviual who is authorized and consents to represent the interests of another person
Define customer:
a consumer for whom some small level of service is provided and who is entitled to fairness and honesty
Define fiduciary:
the relationship in which the agent is held in a position of special trust and confidence by the principal-- trust relationship
Define agency:
the special rlationship between a real estate licensee and the person he/she represents
Define principal:
the individual who hire the agent and delegates hi/her the responsibility of representing the princials interest
Define client:
teh principal-the individual to whom fiduciary duties of loyalty,care,obediance,duligence, and accounting are owed
Define fraud:
the intentional misrepresentation of material facts in such a way as to harm or take advantage of anther person
Define puffing:
Exaggeration of a properties benefits (legal)
Define latent defect:
a hidden structural defect that would not be discovered by ordinary inspection
Define negligent misrepresentation:
occurs when the broker should have known that a statement about a material fact was false
Define agency coupled with an interest:
an agency relationship in which the agent is given an estate or interest in the subject of the agency(the property)
Define brokerage agreement:
a written or oral agreement for brokerage services to be provided to comsumer in return for compensation or the right to receive compensation from another
Define buyer agency:
a contract where a broker works on behalf of the buyer and not the seller
Define buyer agency agreement:
a principle-agent relationship in which the broker is the agent for the buyer,with fiduciary responsibilities to the buyer
Define commingling:
the illegal act by areal estate broker placing client or customer funds with personal funds
Define common law of agency:
the traditional law governing the principal-agent relationship, superseded by statue in IL
Define confidentiality:
agent may not disclose the principal's personal,confidential, or financial affairs without the principal's consent
Define co-op commission:
commission paid by the lising broker to the buyer's broker
Define designated agent:
a licensee authorized by a broker to act as the agent for a specific principal in a particular transaction
Define dual agency:
resprenting both parties to a transaction; in IL, this is illegal unless both parties agree to it in writing
Define express agency:
a contract in which the parties formally express thier intentions to establish an agency and state its terms and conditions
Define general agency:
working for an owner ina property management agreement
Define general agent:
one who is authorized by a principal to represent the principal in a specific range of matters
Define gratuitous agency:
agency where no fee or commission exists
Define implied agency:
an agency that occurs when the actions of the parties indicate that they have mutually consented to an agency
Define consumer:
a person or entity who seeks goods and services
Define listing agreement:
a written contract between the seller and the broker that authorizes the broker to find a buyer or tenant for the owner's property
Define material fact:
any fact that,if known, might reasonably be expected to affect the course of events
Define ministerial acts:
those acts that licensee may perform for a consumer that are informative or clerical in nature and do not rise to the level of active representation on behalf of a consumer
Define special agent:
an agent that is authorized to represent the principal in one specific act or business transaction only, under detailed instructions
Define subagent:
one who is employed by a person who is already acting as an agent
Define universal agent:
a person empowerd to do anything the principal could personally; the agent's authority to act on behalf of the principal is virtually unlimited--usually not a real estate agent
According to Article 15 of the Real Estate License Act of 2000, what 5 statutory duties must an agent do?
1)perferm the terms of the brokerage agreement
2)promote the best interests of the client
3)excerise reasonable skill and care in the performance of brokerage services
4)keep confidential all confidential information received by the client
5)comply with all the requirements of the law, including fair housing and civil rights