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Questions and Answers
What must REALTORS® do in all communications, advertising, marketing, and other representations?
REALTORS® are allowed to advertise that services or items are free without any disclosure.
False
What must REALTORS® disclose when advertising unlisted property for sale or lease?
Their status as both owners/landlords and REALTORS®.
When may REALTORS® quote a price different from that agreed upon with the seller/landlord?
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What are REALTORS® prohibited from using or registering?
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What is one ethical type of solicitation allowed under Article 16?
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REALTORS® must make reasonable efforts to determine if a prospect is subject to a current exclusive agreement.
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REALTORS® may not knowingly oblige prospects to pay more than one ______________ without their informed consent.
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What must buyer or tenant representatives disclose at first contact?
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What happens when REALTORS® are contacted by the client of another REALTOR®?
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Study Notes
Article 12 - REALTORS® Responsibilities
- REALTORS® must ensure honesty in all dealings, including advertising and marketing.
- They are required to clearly disclose their professional status in advertising.
- Advertising services as free is allowed if terms of availability are disclosed simultaneously.
- REALTORS® cannot advertise properties without proper authority, including quoting prices without seller consent.
- Advertisements must include the REALTOR'S® firm name visibly and accurately.
- When advertising unlisted properties, REALTORS® must identify themselves as both owners and REALTORS®.
- Claims of having "sold" a property can only be made by REALTORS® involved in the transaction as listing or cooperating brokers.
- Accurate website information is mandatory, including firm name and licensure status.
- If intending to share consumer information gathered online, disclosure must be clear and readily apparent.
- REALTORS® should avoid deceptive practices in advertising and representations, including misleading URLs and metatags.
- Professional designations and credentials displayed must only be those the REALTOR® is entitled to use.
Article 16 - Conduct and Ethical Guidelines
- REALTORS® are prohibited from interfering with the exclusive agreements of other REALTORS®.
- General announcements to prospects about services are allowed even if recipients have exclusivity with other REALTORS®.
- Unethical solicitation includes targeting property owners known to have exclusivity with another REALTOR® through direct communication.
- Contacting a client's broker's client is permitted only if offering a different type of service or for a non-exclusive property.
- Soliciting current exclusive listings of another broker is forbidden unless information about the exclusive agreement is disclosed upon request.
- If a client initiates contact regarding creating an exclusive relationship, REALTORS® may discuss future agreements but not initiate the conversation.
- Past exclusive agreements do not prevent REALTORS® from seeking future business from a prospect.
- REALTORS® must make reasonable efforts to confirm if a prospect is currently under an exclusive agreement before offering services.
- Disclosure of agency relationships and requests for compensation must happen at first contact with sellers or landlords.
- Dealings involving exclusively listed properties must go through the client’s representative unless consent is given.
- Before providing significant services, REALTORS® must verify if clients hold exclusive representation agreements.
- REALTORS® must not obligate prospects to pay more than one commission without clear consent.
- Compensation offers are limited to principal brokers in cooperative transactions, with bonuses directed only to these brokers.
- Offers to purchase or lease cannot be used to modify compensation agreements.
- Extending a listing broker’s offer of cooperation to other brokers is not allowed without consent.
- Utilization of information from listing brokers for referring clients or establishing relationships with these clients is prohibited without authorization.
- Signs for sale, rent, or lease cannot be placed on the property without the owner's consent.
- Inducing clients to cancel exclusive agreements when leaving a firm is strictly prohibited.
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Description
Test your knowledge on Article 12 of the REALTORS® Code of Ethics with this quiz. It covers essential aspects such as honesty in communications and advertising practices. Dive into the content and see how well you understand the ethical standards required for real estate professionals.
