Humber/Ontario Real Estate Course 3 Exam Practice

REBBA mandates disclosure when a registrant has an interest in a property transaction. This disclosure must:

1. Include all known information affecting the real estate value.

2. Be made only when the registrant is purchasing property, not selling.

3. Be waived if the purchasing entity is a corporation owned by the registrant.

4. Not be required unless the property is listed by the brokerage.

5. Only include positive information related to the property value.

6. Be signed by a legal representative to be valid.

The correct answer is: Not be required unless the property is listed by the brokerage.

The correct answer emphasizes that registrants under the Real Estate and Business Brokers Act (REBBA) are required to disclose their interest in a property transaction regardless of whether the property is listed by their brokerage. This mandate is in place to ensure transparency and protect all parties involved in a transaction. The principle behind this requirement is that potential conflict of interest situations can arise when a registrant has a personal or financial stake in a property, and full disclosure allows buyers and sellers to make informed decisions and mitigate potential risks. While other choices suggest limitations on the requirement for disclosure, they do not align with the stipulations set forth by REBBA. Disclosure obligations exist independently of the property listing status, ensuring that the public is sufficiently protected throughout the real estate transaction process. Thus, the requirement applies universally, fostering an ethical standard within the industry.