Humber/Ontario Real Estate Course 3 Exam Practice

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Prepare for the Humber/Ontario Real Estate Course 3 Exam with our practice quizzes. Study using multiple-choice questions complete with hints and explanations. Ace your exam with confidence!

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Under what condition can a Broker of Record release a deposit from the brokerage's real estate trust account to pay remuneration to a salesperson?

When verbal consent is obtained from the buyer's lawyer post-closing.
When written confirmation from one of the lawyers that the sale has closed is received.
Once permissions from both the buyer and seller have been verbally obtained.
Only when the completion date for the transaction has passed.
Upon receiving written consent from the Real Estate Council.
When the brokerage's manager authorizes the release.

The correct answer is: When written confirmation from one of the lawyers that the sale has closed is received.

The condition under which a Broker of Record can release a deposit from the brokerage's real estate trust account to pay remuneration to a salesperson is when written confirmation from one of the lawyers that the sale has closed is received. This requirement ensures that the transaction is officially finalized and all necessary legal approvals are in place before any funds are disbursed. This step is crucial as it provides a safeguard for both the brokerage and the parties involved in the transaction. By relying on written confirmation, the broker verifies that the conditions of the sale have been met, and the parties are legally bound, which helps in preventing potential disputes regarding the deposit funds. The legal confirmation serves as an important document that establishes accountability and clarity in the financial dealings of the real estate transaction. The other options present conditions that either do not provide adequate assurance regarding the closure of the transaction or do not align with the regulatory framework governing real estate trust accounts. For example, verbal consent or only having permissions without written confirmation does not provide the same level of protection or legal certainty. Thus, the requirement for a written confirmation from a lawyer emphasizes professionalism, compliance, and risk management in real estate transactions.