Leasing and Property Management Practice Question
Question
A buyer and seller disagree about a transaction term involving property management agreement. Which statement is the most accurate exam answer? (Item 55)
Answer choices
- A. It is primarily a tax rule with no effect on brokerage practice.
- B. It removes the need for written disclosure if the licensee believes the client already knows.
- C. Identify the written authority for a manager to act for an owner.
- D. It can be ignored if the transaction is expected to close quickly.
Correct Answer
C. Identify the written authority for a manager to act for an owner.
Explanation
The correct answer is C because property management agreement requires candidates to identify the written authority for a manager to act for an owner. The other options overstate the effect of custom, oral agreement, escrow, or independent salesperson action and do not reflect safe California exam practice.
Question details
- Difficulty: medium
- Domain: Leasing and Property Management
- Objective: property management agreement