A broker receives an offer on one of his listings from a buyer to whom he...

A broker receives an offer on one of his listings from a buyer to whom he has shown the property. Before he is able to present it to the seller, another offer on the property comes in from a cooperating agent. The broker should do which?

A) Present the first offer first, and the second offer only if the first is not accepted.
B) Present only the first offer which he had obtained.
C) Present both offers to the seller as soon as possible.
D) Present the second offer only. Presenting the first would be considered dual agency since he had obtained that offer and was the listing agent.

Solutions

Expert Solution

Option A is incorrect as assume first deal is not closed and seller took 5 days to decide it and till that time cooperative agent got another deal. You will get nothing in this case.
Presenting only first offer is a little risky. What if you are not able to close this deal and you do not have any backup plan as second offer. Thus this option is incorrect.
Presenting both offers to the sellers as sellers will pickup up the best offer from that and you have high chance that you will convert the deal. Thus this option is correct.
Option D is incorrect as dual agency comes in place when you are buyer's broker as well as seller's broker

Rahul Sunny answered 2 years ago

Next > < Previous

Related Solutions

A broker receives an earnest money check from one of her affiliate brokers for a property...

A broker receives an earnest money check from one of her affiliate brokers for a property whose purchase offer has just been accepted by the seller. The broker must deposit the earnest money check in her trust account A) within 3 days of the contract acceptance. B) by the next banking day after contract acceptance. C) within 24 hours of the contract acceptance. D) within 48 hours of the contract acceptance.

4-122 Will receives $4000 from his aunt when he turns 21 and he immediately invests the...

4-122 Will receives $4000 from his aunt when he turns 21 and he immediately invests the money in a savings account. The account earns 12% annual interest, with continuous compounding. He gets his first job after 5 years. a) Determine the accumulated savings in this account at the end of 5 years. b) Will wants to retire from work in 20 years. If he deposits $100 into his account every month for the first 10 years, and $200 every month...

Posted Price by a Buyer: In this problem, everything is as in problem 3, except that the buyer is the one making an offer to the seller.

Posted Price by a Buyer: In this problem, everything is as in problem 3, except that the buyer is the one making an offer to the seller. To be clear, the Bayesian game now proceeds as follows: first, the buyer announces a price at which he will purchase the object from the seller and, second, the seller either accepts or rejects this offer. If the seller accepts the buyer's offer, the buyer pays the announced price to the seller and the...

Pedro is a college student who receives a monthly stipend from his parents of $1,000. He...

Pedro is a college student who receives a monthly stipend from his parents of $1,000. He uses this stipend to pay rent for housing and to go to the movies (you can assume that all of Pedro’s other expenses, such as food and clothing have already been paid for). In the town where Pedro goes to college, each square foot of rental housing costs $2 per month. The price of a movie ticket is $10 per ticket. Let xdenote the...

Phineas receives $100 per week from his parents. He spends his entire income on two goods:...

Phineas receives $100 per week from his parents. He spends his entire income on two goods: Sprite (which cost $2 each) and chicken burgers (which cost $4 each). a) (8 points) Draw Phineas's budget constraint. Suppose that Phineas decides to purchase 20 Sprites and 20 chicken burgers this week. Is this choice within Phineas's opportunity set? Explain and show this choice on your graph. (Do not forget to label the axes of your graph) b) (2 pts) What is the...

Phineas receives $100 per week from his parents. He spends his entire income on two goods:...

Benny is a partner in the BEN partnership. His outside basis is $250. He receives a...

Benny is a partner in the BEN partnership. His outside basis is $250. He receives a distribution of $75 in cash. a)Is the distribution taxable to Benny? If not, why not? b)What is Benny’s outside basis after the distribution? c)If instead the distribution was $275 would the answer to part (a) change (and if so how?)

William is attempting to sign in to his operating system but he receives an error message...

William is attempting to sign in to his operating system but he receives an error message stating that he has entered an invalid password. How can he solve this problem?

Buyer wished to paint the exterior of his house. He went to Seller, a local paint...

Buyer wished to paint the exterior of his house. He went to Seller, a local paint store owner, and asked him to recommend a paint for the job. Seller suggested a particular paint based on Buyer’s description of this house. Seller instructed Buyer how to mix the paint and how to prepare the surface. Five months later, the paint began to peel, flake, and blister. Buyer brings an action against Seller. Decision? (In your answer use the terms: implied warranty,...

IVAN RECEIVES AN ALLOWANCE OF 20$ A WEEK. HE SPENDS HIS ENTIRE ALLOWANCE ON TWO GOODS;...

IVAN RECEIVES AN ALLOWANCE OF 20$ A WEEK. HE SPENDS HIS ENTIRE ALLOWANCE ON TWO GOODS; ICE CREAMCONES( WHICH COST 2$ EACH) AND TICKETS TO THE MOVIES ( WHICH COST $10 EACH) PLEASE CALCULATE THE APPORTUNITYCOST OF ONE MOVIE AND THE OPPORTUNITY COST OF ONE ICE CREAM CONE. PLEASE DRAW IVANS CONSUMPTION POSIBILITIES FRONTIER( BUDGET CONSTRAINT) WHAT WILL HAPPEN TO THE CONSUMPTION POSIBILITIES FRONTIER IF IVANS ALLOWANCE CHANGE OR IF THE PRICE OF ICE CREAM CONES OR MOVIES CHANGES? WRITE...

Subjects