Contracts, Finance, and Transfer Practice Question
Question
A buyer asks a licensee for an exam-focused explanation for the Oregon Real Estate Broker Exam involving inspection contingency and seller property disclosure awareness. What should the licensee understand? (Item 46)
Answer choices
- A. Local custom controls even when a statute, regulation, contract, or disclosure rule applies.
- B. Recognize buyer investigation rights and repair negotiation concepts in a way that fits Oregon exam practice.
- C. The requirement matters only when the buyer obtains institutional financing.
- D. The affiliated licensee may handle the matter independently without broker responsibility.
Correct Answer
B. Recognize buyer investigation rights and repair negotiation concepts in a way that fits Oregon exam practice.
Explanation
The correct answer is B because inspection contingency requires candidates to recognize buyer investigation rights and repair negotiation concepts. The Oregon reference keeps the scenario tied to state licensing practice, while the other options rely on unsafe assumptions about oral custom, escrow, client preference, independent licensee authority, or ignoring written duties.
Question details
- Difficulty: medium
- Domain: Contracts, Finance, and Transfer
- Objective: inspection contingency