Humber/Ontario Real Estate Course 4 Exam Practice

How should Seller Piet handle a situation where potential buyers contact them directly during the holdover period?

1. Wait until the listing expires without informing anyone.

2. Notify the listing brokerage about this buyer inquiry.

3. Sell to the buyer and ignore the holdover period.

4. Reduce the asking price immediately to prompt a quicker sale.

5. Request the buyer to make an offer via the listing brokerage.

6. Negotiate directly with the buyer without the involvement of the brokerage.

The correct answer is: Notify the listing brokerage about this buyer inquiry.

Notifying the listing brokerage about the buyer inquiry during the holdover period is the appropriate action for Seller Piet. The holdover period is a specified duration following the expiration or cancellation of a listing agreement where the listing agent may still have rights to a commission if a buyer is connected to the property through their efforts. By informing the listing brokerage about direct contact from potential buyers, Seller Piet ensures compliance with the terms of the listing agreement. This action respects the relationship between the seller and the brokerage, maintaining ethical standards in real estate transactions. It also allows the brokerage to manage potential offers or negotiations appropriately, thereby safeguarding the interests of both the seller and the brokerage. This approach mitigates the risk of complications or disputes regarding commission claims associated with the holdover period. Furthermore, it aligns with the professional practices expected in real estate dealings, which prioritize transparency and cooperative communication.