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Real Estate
Texas Real Estate Brokerage
| Question | Answer |
|---|---|
| What is one of the main reasons a brokerage fails? | Lack of funds. It can take about 6 months to see funds start coming in for a new brokerage. |
| What are some cons to becoming a broker? | 1. less income at first 2. Increased responsibility 3. Increased Liability |
| List three advantages of becoming a broker. | Potentially more money Pride of ownership Centralized decision making Person of authority Respect for the owner/broker Helping others succeed |
| What is one of the most important attributes of a good broker? | Helping others succeed |
| How does a licensee’s liability change after becoming a broker? | If an agent commits a violation, the broker will likely also be held liable. This additional liability not only adds risk but also stress. |
| What is the Texas Real Estate Center? | publishes information about real estate trends and market fluctuations for the public. This information is generally free and accessible to anyone interested enough to investigate. |
| How many people does the US census bureau expect to add and by what date? | 10 million people by 2030 in Tx, 68 Million in US |
| MSA | Metropolitan Statistical Area |
| What type of area do most Texans live in? | Texas’ population is primarily urban. Nearly 64 percent of all Texans reside in one of the four major metropolitan statistical areas (MSAs). |
| Central Texas Triangle | runs from the Dallas–Fort Worth MSA along I-45 to the Houston MSA (which includes Conroe and The Woodlands), along I-10 to the San Antonio MSA (which includes Seguin), and along I-35 (which includes San Marcos, Austin, Temple and Waco). |
| Where will the most growth occur in Texas? | urban areas |
| Which state is the most housing-affordable high-growth state in the nation? | Texas |
| Growth Stage | The trend is for a real estate development to start with dirt at a low value. developer changes the dirt into streets, sidewalks, and sewers and sells the developed land to a builder. |
| During what process is the highest increase in value the property will likely ever see. This stage typically lasts 2 to 5 years. | The growth stage |
| Equilibrium Stage | very little changes. The homeowners remain stable. They raise their families, get to know each other, and have community events. The houses are kept up and values remain constant. |
| You will see the “pride of ownership” at the highest point during what stage? | Equilibrium Stage |
| How long can the Equilibrium stage last? | 3 years or as long as 50 years. |
| Decline Stage | The trend is for properties to start to devalue. The houses are getting older or are showing faulty construction. |
| Who is the one that will take pride in ownership the renter or owner? | OWNER |
| The downward trend in a decline state last how long? | 3-10 years |
| Revitalization | values in an area drop to levels that interest investors. An investor buys a house in the area, fixes it up, and sells it to a homeowner. |
| How does revitalization help a declining neighborhood? | new homeowner shows the pride of ownership to others in the area, and they too begin to fix up their homes. More investors buy then sell until prices rise. |
| How long does the upward trend in revitalization last? | 3-5 years |
| Why is the second equilibrium never as high in value as the first? | because the house has aged |
| What does it mean when we say the real estate industry is currently in a neutral market? | Supply and demand are about equal. |
| What does the Texas Real Estate Center say about the growth of the Texas population? | Texas’ population is projected to grow by ten million people, from about 23 million in 2005 to 33 million by 2030, a 43.5 percent increase or roughly 1.7 percent per year. |
| What happens during the equilibrium stage? | Very little changes. The homeowners remain stable. |
| What is revitalization? | Revitalization occurs when values in an area drop to levels that interest investors. An investor buys a house in the area, fixes it up, and sells it to a homeowner. |
| What do laws provide for us? | give us a relatively safe, reasonable environment in which to live and in which we, as individuals, can depend on the behaviors of those around us. |
| “Moral Character Determination.” is used for? | Based on the applicant’s answers, the commission will determine whether the person’s moral character complies with the commission’s moral character requirements. |
| What typically happens once society has decided on certain behaviors that are acceptable or not acceptable? | Most of the time these behaviors are codified in the law |
| How and where are moral laws learned? | From a variety of sources such as parents, church, teachers, friends, and generally, from any of those people who have influence over us as we are growing up |
| What is the lawful responsibility of a real estate licensee? | Protection of the public |
| How does Texas determine whether an applicant’s moral character complies with the Commission’s requirements? | Based on the applicant’s answers on the Moral Character Determination form |
| What pivotal tool helps you better map out where you intend to be in ten years, and provides you and your business with direction and guidance? | a business plan |
| Texas is the most _____________________ state in the nation | housing affordable |
| What is the prerequisite to the business plan? | The initial planning stage |
| Considerations for a good business plan? | purpose, positioning, profitability, location, services offered, number of staff, number of agents, type of real estate to be practiced, agency policies, office operation, fees, compensation |
| The purpose of a business plan? | know where they are going and what they have to do to get there |
| Steps in planning and goals for a business: | 1. Determining what you want as a goal is 2. Writing the goal down is the second thing 3. make a commitment to develop a plan of action |
| What are some questions to consider when setting your goals? | How much money do I want to make? How many closings ? How many listings? How many buyers? What segments of the market? |
| What is the time frame on long term goals? | more than 1 year |
| What does a Mission Statement answer? | Who am I? What are my strengths and weaknesses? What do I want my brokerage to be known for? What is my purpose for existing? |
| What do Objectives tell me? | How do I expect to accomplish my goals? How do I expect to be successful in what I do? |
| What is an Action Plan for? | What is my overall action plan to achieve my goals? What should be my daily, weekly and monthly activities, actions, and achievements? |
| What is my budget for? | What is my financial outlook? How do I expect to achieve my financial goals? How much money do I have to invest in myself and my business? |
| Describe the quality of toughmindedness as a good broker characteristic. | Good brokers tend to be low in sentimental attachments and comfortable with criticism. When the going gets tough, these brokers get tougher. |
| Why is it important for a broker to be empathetic? | Without empathy, a broker cannot build trust. And without trust, brokers will never be able to get the best effort from their salespeople. |
| What is the basis of the initial planning stage? | Having goals |
| Before you set goals, what must you analyze? | Your office, your sellers, your buyers, your salespersons, your staff, and yourself |
| factors that a broker must weigh to determine what is right for a particular brokerage: | Location, cost, equipment, leases, name recognition, and long-term viability. |
| How do you get a corporation, LLC, partnership or foreign corporation approved by Trec? | its designated officer, manager, or partner is individually licensed as an active Texas real estate broker, If the designated broker does not own at least 10% of the entity, the entity must maintain E&O insurance in the amount of $1 million. |
| If the designated broker owns 10% or more of the entity, the broker to provide what to Trec for application of brokerage? | needs to provide proof of ownership. |
| What are the 2 types of partnerships? | general and limited |
| general partnership | formed and all members of the partnerships are full partners. Each has the ability to bind the partnership to agreements and all share in profits and losses. |
| t or f General partnership is assumed if no partnership agreement limits these actions? | true |
| What is the most frequently formed partnership? | General partnership |
| Limited Partnership | Allow for one or more general partners to operate a business and multiple limited partners that invest in the business. |
| Who make the decisions and are liable for a limited partnership? | general partner(s) are the only ones that make business decisions for the partnership and are the only ones that are liable for the partnership. |
| How does a LLC brokerage work? | each member of the LLC must have a real estate broker’s license. Then each broker works separately and is responsible only for him or herself. |
| What are the benefits to running a brokerage as a llc? | Together they rent a suite or building that has room for 10 offices, a receptionist, bathrooms, etc. Share costs, although very few do this. |
| With the corporate business structure, if the designated broker dies, unlike a sole prop what happens? | the corporation remains active. The corporation is perpetual and lasts forever. |
| When can a limited partner become liable for more than just a limited partner? | if limited partner takes on a leadership role, directs the partnership in any management functions, then that limited partner may be considered by the courts as a general partner and assume liability. The limited partners must remain limited or “silent”. |
| Who typically runs a small-scale startup? | A single broker usually operates a small startup. |
| If you are interested in purchasing an existing brokerage, what can you accomplish by taking local brokers out to lunch? | You will establish a rapport with the target broker. You will position yourself as an option if a local broker wants to sell in the future. |
| What are the two types of partnerships and which one is the most frequently formed? | General and limited are the two types of partnerships and general is the most frequently formed. |
| What are three additional conditions of choosing a business structure? | Liability Cost and ease of setup Ease of operation |
| What are the pros and cons to having a private office at a brokerage? | Private offices might be prestigious, but they can also take away from the opportunity for office collaborations because the salespeople don’t have a chance to interact. |
| What two issues could hurt a brokerage that is named after the broker/owner? | It may be hard to recruit new and particularly experienced agents to the brokerage firm named after the broker/owner. It may make future resale difficult. |
| What should a broker do after choosing a name for the brokerage? | Go to the state offices and check against their records to be sure there is not another brokerage with the same or similar name. |
| What would be the minimum requirements for a conference room setup? | A long table and chairs for at least four people |
| What two types of items are typically stored in a brokerage office? | Infrequently needed items Past client files |
| Reasons Why Small Businesses Fail | lack of funds, experience, poor location, poor mgmt, over investment, poor credit, personal use of business funds, fast growth not ready, Competition, low sales |
| possible funding | Bootstrapping, Going into Debt, Friends and Family, Angel Investor, Venture Capitalists, Small Business Administration |
| the number 1 source of funds for starting a new business? | personal savings |
| Angel Investors | Person who invests in a company when it is still new and has the possibility of strong growth. The investor lends money in exchange for equity and the chance to guide the company. |
| downside is that an angel investor | hard to find. An angel investor wants thorough and frequent reporting, which may take a lot of your time. You are also giving away equity in your company. |
| Venture Capitalists | individuals with money to lend that count on terrific returns. They usually don't bother with beginning, untried businesses. |
| The downside to Venture Capitalists: | they usually only invest in established companies. You must be willing to give up significant control of your business, and you must have a "fast growth" company. You must also have an aggressive exit strategy. |
| How does the SBA help with capital? | They have relationships with lenders. They will need a business plan before they will consider giving you money. |
| Other than capital, what else does the small business admin do? | Offer classes and mentors to help you grow your business. |
| List five possible funding sources. | Bootstrapping Going into debt Friends and family Angel investors Venture capitalists |
| What three types of experts are important to have on your professional team? | Lawyer Accountant Financial advisor |
| What function can a payroll service provider perform? | Take over the responsibilities of a Human Resource (HR) department and handle payroll and tax deposits and tax returns and reports. |
| If you could have only one support person in your brokerage, what role would that person typically play? | Receptionist/secretary |
| What things are proactive and place you in charge of your life? This is the map that gets you where you want or need to be. | Written goals |
| first step towards setting your goals is: | conduct an analysis of your office, yourself and your sellers and buyers. |
| The most important aspect of a good broker is: | wanting to create and see success in other people. |
| Two issues that could hurt the brokerage by naming a real estate brokerage after the broker/owner: | It may be hard to recruit new and particularly experienced agents. Resale- the potential buyer may not like or be allowed to continue with the name. |
| A good support team consists of who? | lawyer, accountant, insurance, and IT |
| How do you go about The Interview? | Being fair, unbiased, request a resume, standard set of questions for everyone, Have the interviewee perform one or more of the tasks in job description. |
| The minimum amount of people required to form a partnership is? | 2 |
| Once a broker selects the name, what would be the one thing they would NOT do next? | If the chosen name is already in use, immediately select a new name to save time |
| The best time to think about selling a brokerage is when? | Before you open it |
| What type of business structure is the easiest to set up and the fastest to get operational? | Sole proprietorship |
| What characteristic is required for a broker to build and maintain powerful relationships? | Socially bold |
| What is the prerequisite step before writing the business plan? | The Initial Planning Stage |
| Primum non nocere | ethics, First do no harm |
| what is the difference between legal and ethical? | Legal is the lowest standard and ethical is the highest standard. |
| Ethics | a system of moral principles by which human actions are judged right or wrong, good or bad. |
| A list of business ethics for the Real Estate license holders: | CANON 1 – Fidelity CANON 2 – Integrity CANON 3 – Competency CANON 4 – Consumer Information CANON 5 – Non-Discriminatory Actions |
| Fidelity | Represent the interests of his client, be faithful and observant to trust placed in him, place no personal interest above that of his client |
| Integrity | discharge of his responsibilities, including employment of prudence and caution, so as to avoid misrepresentation by acts of commission or omission. |
| Competency | It is the obligation of a real estate agent to be knowledgeable as a real estate brokerage practitioner. |
| In what areas should a real estate agent be competent? | market conditions, national, state, and local issues and developments, Exercise judgment and skill in the performance of his work. |
| what complaints will TREC investigate? | TREC will only investigate a “written” complaint. |
| What must be displayed in Brokers office for the protection of the public? | Provide link, labeled "Texas Real Estate Commission Consumer Protection Notice", in at least a 10 point font, in a readily noticeable place on the homepage of the business website |
| Non-Discriminatory Actions | real estate professional must take no action against any persons with regard to their race, color, religion, national origin, sex, ancestry, familial status, or disability. |
| NATIONAL ASSOCIATION OF REALTORS® (NAR) was founded as what and when? | National Association of Real Estate Exchanges (NAREE) on May 12, 1908 |
| Why was NAR established? | “to unite the real estate men of America for the purpose of effectively exerting a combined influence upon matters affecting real estate interests.” industry regulation - some were not acting in best interest of clients |
| code of ethics was adopted in: | 1913 as the "Golden Rule". |
| The term REALTOR® | identifying real estate agents as members of the National Real Estate Boards and subscribers to its code of ethics, was first used in 1916. |
| Political Action Committees (PAC) | Fights for real estate professional rights and the rights for private property owners. |
| Golden Rule | Do unto others as you would have them do unto you. |
| Salespersons should give advice only on what information? | pricing, marketing, purchasing, and negotiating |
| List the five canons of ethics developed by TREC | Fidelity Integrity Competency Consumer Information Non-Discriminatory Practices |
| What Is NAR’s main ethics rule? | The Golden Rule which says to “do unto others as you would have them do unto you.” |
| Law | Body of rules of a society that are enforceable through a system of courts. Laws may be created by legislatures or in common law jurisdictions. |
| private law | regulate relations between individuals |
| Public law | between individuals and the state |
| International Law | between different nation states |
| chattel | Movable property roughly corresponds to personal property |
| overlord | stronger person |
| vassal | weaker person |
| fief | Usually a piece of land but could be a given right to earn money |
| feudal system of government | system of granting and holding fiefs or feuds |
| allodial system | without obligation to any person of ownership in which land could be held by individual citizens |
| Section 1101.004 | if a person acts as a broker or a salesperson in performing any real estate act for another person, with the expectation of being paid, that person needs to have a real estate license. |
| Texas Real Estate Broker-Lawyer Committee | shall draft and revise contract forms that are capable of being standardized |
| standardized TREC forms help to what? | expedite real estate transactions, minimize controversy, use of contracts as uniform, safeguards to protect the principals, prevent real estate license holders from practicing law |
| Broker-Lawyer Committee is made of of who? | 13 members with 6 brokers appointed by TREC, 6 lawyers appointed by the state bar of Texas, and 1 public member appointed by the Governor of Texas. |
| How are contracts established and put into use? | Broker-Lawyer Committee drafts the contracts and the Texas Real Estate Commission promulgates (adopts) those contracts for use by the license holders of the state. This keeps the writers and the approvers different to protect against inherent bias. |
| SUBCHAPTER H | discusses all the licensing requirements for both salespersons and brokers regarding any possible past criminal history, having good moral character, and meeting all the education, experience, and examination requirements. |
| The Deceptive Trade Practices Act (DTPA) | Protects consumers against false, misleading, and deceptive business and insurance practices, unconscionable actions, and breaches of warranties. |
| If it is found that the conduct of the defendant was committed knowingly what are the punitive damages via DTPA? | the award may be three times (treble) the amount of actual damages. These treble damages are called punitive (punishing) damages. |
| Unconscionable Action | an action that takes advantage of the lack of knowledge, ability, experience, or capacity of a person to a grossly unfair degree or one in which there is a gross disparity between the value received and the consideration paid. |
| Certain factors must be in place to commit fraud, they are: | Reliance, intent, and damage |
| no repairs | like a waiver (as-is) we need to be sure to use the words no repairs if a seller refuses to do any work on the property. |
| Caveat Emptor | buyer beware, This does not work, so do not try it. Under DTPA, the buyer does not have to show due diligence. The seller must disclose every material defect. |
| Protection from DTPA: | Inspections, sellers disclosure, Information given by the government that you have no reason to believe is false |
| develop a list from inspectors licensed how? | by the real estate commission and use their license numbers |
| Why were real estate laws enacted? | To protect the public from unscrupulous real estate practitioners |
| What are the two main issues regarding whether a person needs to be licensed to sell real estate? | if the real estate act is on behalf of someone else if there is an expectation of compensation |
| When is the Deceptive Trade Practices Act typically used to bring a suit against a real estate person? | When property defects are discovered after the buyer takes possession of the property or when the salesperson has made a misrepresentation concerning a property. |
| Name three defenses that would probably work in a DTPA lawsuit | Having an inspection report Having a seller’s disclosure statement Having information given by the government that can be assumed to be true |
| National Association of REALTORS® was founded | as the National Association of Real Estate Exchanges on May 12, 1908 in Chicago. |
| The National Association of Real Estate Exchanges' objective: | "to unite the real estate men of America for the purpose of effectively exerting a combined influence upon matters affecting real estate interests." |
| Code of Ethics was adopted in: | 1913 |
| The block "R" logo was adopted when? | 1973 |
| The block "R" logo was adopted | placing the interests of a client above that of the agent. |
| Fiduciary duties include: | duty of performance, reasonable care, obedience, loyalty, accounting, confidentiality, and disclosure |
| Who can use the REALTOR® designation? | Only real estate professionals who are members of NAR can use the designation. |
| What does the duty of loyalty mean? | The agent must put the interests of the client above his/her own interests. |
| What duty requires the broker and all real estate agents of that broker to follow the lawful instructions of their client? | obedience |
| What does the duty of accounting require? | Any money accepted in trust for another or on behalf of another must be promptly remitted to the person or deposited in a trust or escrow account according to the terms of an agreement. |
| The most common actions falling under the banner of unfair competition include: | antitrust predatory pricing trademark infringement passing off misappropriation of trade secrets trade libel tortious interference |
| Antitrust violations | unfair competition when 1 competitor attempts to force others out of market or prevent from entering through tactics such as predatory pricing or obtaining exclusive purchase rights to elements of business needed to offer a competing real estate service |
| Predatory pricing | pricing strategy where a real estate service is set at a very low price, intending to drive competitors out of the market, or create barriers to entry for potential new competitors. |
| Trademark infringement and passing off | occurs when a real estate company uses a name, logo, or other identifying characteristics to deceive consumers into thinking that they are buying the real estate services of a competitor. |
| The Lanham Act | the primary federal trademark statute of law in the United States. The Act prohibits a number of activities, including trademark, trademark dilution, and false advertising. |
| Trademark infringement | a violation of the exclusive rights attached to a trademark without the authorization of the trademark owner or any licensees (provided that such authorization was within the scope of the license). |
| Infringement | may occur when one party, "infringer", uses trademark identical or confusingly similar to a trademark owned by another party, in relation to real estate services which are identical or similar to the products or services which the registration covers. |
| Trademark Counterfeiting Act of 1984 | criminalized the intentional trade in counterfeit goods and services. |
| Misappropriation of trade secrets | occurs when one competitor uses espionage, bribery, or outright theft to obtain economically advantageous information in the possession of another. |
| Uniform Trade Secrets Act (UTSA) | Promulgated in an effort to provide legal framework to better protect trade secrets for U.S. companies operating in multiple states. |
| Economic Espionage Act of 1996 | deals with a wide range of issues, including not only espionage but also the insanity defense and U.S. Sentencing Commission reports regarding encryption or scrambling technology. |
| Trade libel | spreading of false information about the quality or characteristics of a competitor's real estate services, is prohibited by common law and the Texas Real Estate License Act and the National Association of REALTORS® Code of Ethics. |
| Defamation | communication of a false statement that harms the reputation of an individual person, business service, group, government, religion, or nation. Made to someone other than the defamed. |
| Tortious interference | occurs when one competitor convinces a party having a relationship with another competitor to breach a contract with, or duty to, the other competitor is also prohibited by common law. |
| 2 categories of Tortious interference | 1. specific to contractual relationships (irrespective of whether they involve business) 2. specific to business relationships or activities (irrespective of whether they involve a contract). |
| unconscionable action | Taking advantage of a person's lack of knowledge, ability, experience, or capacity of a person to a grossly unfair degree. Gross disparity between the consideration given and the consideration paid. |
| How many FTC offices are there and where are they? | 8, NY, Chicago, Cleveland, Las Angeles, San Francisco, Seattle, Atlanta, Dallas |
| Gramm-Leach-Bliley Act | requires financial institutions to ensure the security and confidentiality of customer information and give consumers the option of how they want their info shared. |
| Children’s Online Privacy Protection Act | meant to give parents control over information online companies can collect about their children and how such information can be used. |
| Identity Theft Data Clearinghouse | houses the federal government's centralized repository for consumer identity theft complaints |
| FTC Consumer Response Center | Counselors respond to consumer complaints and inquiries received by telephone, mail, and online. |
| FTC Consumer Sentinel: | It now contains over 6.6 million fraud and identity theft complaints from the FTC and various law enforcement and private sector partners. The site also provides other information useful for investigations and prosecutions. |
| FTC Operations: | The division administers the core financial, administrative, and consumer redress activities of the Bureau. |
| What is the purpose of the Office of Technology Research and Investigation? | To conduct independent studies and investigations, identifies the consumer protection issues associated with new technologies, and provides technical expertise and training to BCP staff. |
| If a licensee convinced a client of a competing broker to terminate a listing agreement with that broker, the licensee would be guilty of what? | Tortious interference |
| What steps does the Federal Trade Commission’s Bureau of Consumer Protection take to protect consumers from unfair business practices? | Rcv's complaints & conducts invest, Brings litigation against companies & ppl, Develops rules, Educate consumers and business people about their rights |
| Which FTC Division is responsible for enforcing the Fair Credit Reporting Act?` | The Division of Privacy and Identity Protection |
| Department of Justice | enforces regulations governing public accommodations and state and local government services. |
| Title III | prohibits private places of public accommodation from discriminating against individuals with disabilities. |
| Examples of public accommodations | privately-owned, leased, or operated facilities like hotels, restaurants, retail merchants, doctor’s offices, golf courses, private schools, day care centers, health clubs, sports stadiums, movie theaters, and so on. |
| If you can’t tell whether an animal is a service animal, you may ask only two questions: | (1) is the animal a service animal needed because of a disability? and (2) what work or task has the animal been trained to perform? |
| Bootz’s Law | Rights and responsibilities of persons with disabilities, including with respect to the use of service animals that provide assistance to those persons and provides penalties for the violation of those rights. |
| Fair Housing Act | Protects all in residential housing. |
| list of federally-protected classes | Familial Status, Race, National Origin, Color, Handicap/Disability, Religion, Sex |
| Who are Fair housing/discrimination complaints filed with? | HUD/FHA |
| t or f if the person is part of a drug or alcohol rehabilitation program, the landlord cannot discriminate against the person and must consider them for the rental? | True |
| What agency enforces the Americans with Disabilities Act? | Department of Labor |
| The Southwest ADA center services which five states? | Texas Louisiana Arkansas Oklahoma New Mexico (This is Region 6) |
| What protected class was added by the 1988 amendments to the Civil Rights Act of 1968? | Handicap (disability) |
| What types of residential housing may be exempt from Fair Housing Laws under certain circumstances? | A building with no more than four units (a four-plex) and the owner is living in one of the units A single-family home |
| Agency | Relationship that is created when a person, the principal, authorizes a second person, agent, to act on their behalf. |
| fiduciary duties | (OLD CAR) Obedience, loyalty, disclosure, confidentiality, accounting, and reasonable care |
| Express Agency | most obvious type of agency where the parties "express" the fact that they want to form an agency relationship. |
| How do you set up or express agency? | They either shake hands on an oral understanding (never a good idea), or they seal it with a contract that specifies exactly what each party is to do. |
| Implied Agency | Formed when the actions of the parties indicate that they have mutually consented to an agency. In fact, the persons involved may not have consciously planned to form an agency relationship. |
| Agency by Estoppel (also called ostensible agency or apparent agency). | Starts with actions of parties involved, rather than written agreement. On the surface, an agency relationship appears to exist. Someone is showing your property and you do not stop him. It appears he is your agent. |
| Estoppel | Legal doctrine by which a person is prevented from asserting rights or facts that are inconsistent with a previous position or representation made by act, conduct or silence. |
| ratification | the adoption or confirmation of an act already performed on behalf of a person without prior authorization. |
| Universal agent | agent's authority and power is virtually limitless. The agent can contract, sign, move monies---anything that the principal can do. |
| When is the universal agent used? | it may be necessary if a person becomes incapacitated and needs someone to act for him/her. |
| General agent | agent is authorized to represent the principal in a narrow range of matters that are specific to a particular business activity, like a property manager. |
| Special (specific) agent | person is authorized by the principal to perform a specific thing or conduct a specific transaction. A real estate broker is usually a special agent, because the broker has such limited authority. |
| What type of agency exists between broker and sales agent? | GENERAL: The agent can work performing real estate services (limited scope) for the broker and can bind the broker to contracts (listing and buyer contracts). The broker wants the agent to have multiple transactions (sales). |
| SPECIAL AGENT LIMITATIONS | Limited scope Single transaction One time Cannot bind |
| vicarious liability | is created not because of the actions of the parties, but because of the agency relationships between the parties |
| Intermediary agent | practice of broker representation of both parties with direct representation from individual agents, all under the same brokerage. |
| intermediary with appointments | In Texas, this practice of appointing two different agents from the brokerage to represent each of the parties in the transaction |
| Dual agent | practice of representing both the buyer and the seller in the same transaction. Texas Real Estate Commission does not recognize dual agency and therefore this type of agency cannot be practiced in Texas. |
| Facilitator, Transaction broker, non-agent, or counselor | practice of representing neither party in a real estate transaction. In this type of agency, the licensee is not the agent of the seller or the buyer, but is acting in a neutral position. |
| Prospecting could include what for a brokerage? | looking for new agents, looking for certain areas of town where you want to grow, seeking sellers and buyers, searching for competing firms to acquire |
| Who is the best office to determine if advertising wording is acceptable? | HUD |
| When was The Truth-in-Lending Act (REG Z) was enacted and why? | in 1969 to “assure the meaningful disclosure of credit terms so that the consumer will be able to compare more readily the various credit terms available to him/her to avoid the uniformed use of credit. |
| REG Z only applies to who in real estate? | Where the potential consumer will use the property as a principal dwelling. |
| If your advertisement promotes the sale of the following types of real property, you do not need to comply with REG Z: | Vacant land, Business or commercial real estate, Industrial real estate, Residential rentals with three or more units, Farms and ranches primarily used for agricultural purposes (Reg Z is for residential) |
| If you write advertisements for fixed-rate loans, you must also advertise: | Annual percentage rate Simple interest rate Down payment (amount) Monthly payment (exact amount) Loan term (length) |
| How is an implied agency formed? | By the actions of the parties indicate they have mutually consented to an agency, even if it was not done consciously. |
| What are the three types of agency authority? | Universal General Specific |
| According to Fair Housing Law, what should an agent do when writing an advertisement to avoid any violation? | The agent should describe the property, not the seller, landlord, or appropriate buyers and tenants. |
| According to the Statute of Frauds a TX real estate contract must be done how? | Contracts for the sale of real property or a lease for more than a year be in writing in order to be enforceable. |
| 4 essential elements for a valid contract | competent parties, legal subject matter, consideration and mutual assent |
| Consideration | The obligation that each party makes to the other in order to make the contract enforceable. |
| To have enforceable mutual assent on a real estate purchase agreement you need: | in writing, signed by all parties, not confusing, entered into freely, communicated to all parties. |
| When did the seller's disclosure start? | 1996 |
| Why was Lead originally added to paint? | to speed up drying, increase durability, maintain a fresh appearance, and resist moisture that causes corrosion. |
| What is the harm in Lead based paint? | Behav prob, delay in physical and mental devel, atten deficits, kidney prob, lost appetite, tiredness, stomach ache, constipation, insomnia, high BP, irritability, poor muscle coord, nerve damage, learning dis., seizures & death |
| How much time do Sellers need to provide homebuyers to conduct a paint inspection or risk assessment for lead-based paint? | 10 days. Parties may mutually agree, in writing, to lengthen or shorten the time period for inspection. Homebuyers may waive this inspection opportunity. |
| How do you remediate the LBP paint? | paint over it and keep the paint fresh |
| Who was the Sherman trust act named for? | Senator John Sherman |
| Anti Trust laws prohibit: | Price Fixing Group Boycotts Market Allocation Tie-in Arrangements |
| When is it okay to call someone on the do not call national registry? | calls made when an established business relationship exists |
| What is a established business relationship in regards to the do not call list? | When the caller had a transaction with the receiver within the last 18 months; or The customer has made an inquiry with the caller’s firm in the last 3 months. |
| What are the time periods it is okay to make cold calls? | Mon - Sat 9:00 am and 9:00 pm Sun - 12:00 pm to 9:00 pm |
| Safe Harbor | created to protect real estate brokerages |
| t or f Solicitation faxes must also include a toll-free number for the consumer to call to remove his/her fax number from their list. | true |
| what is the penalty for violation of a fax law? | class C misdermenaor |
| What are the four essential elements of a valid contract? | Competent parties Legal subject matter Consideration Mutual assent |
| What must a broker disclose to his/her client? | The broker must disclose any information that could affect the client’s decision regarding a property. |
| T or F - The broker must disclose any information that could affect the client’s decision regarding a property. | true |
| What is meant by an “established business relationship” exemption? | The do-not-call and do-not-fax rules do not apply to calls made and faxes sent when an established business relationship exists. |
| What does the real estate market being up mean? | the prices are going up |
| When supply is constant what is true? | If demand for property is high, prices for property are high If demand for property is low, prices for property are low. |
| When demand is constant | If the current supply of property is high, prices for property are low. If the current supply of property is low, prices for property are high. |
| What is a seller’s market? | occurs when the seller has most of the bargaining power and there are a great many potential buyers and very few houses in inventory for sale. |
| What is a buyer’s market? | occurs when the buyer has most of the bargaining power and there are a great many potential sellers and very few buyers available for them. |
| Characteristics of a Seller’s Market | Multiple offers Few days on the market – short market time Prequalified or cash No contingencies that may hinder the sale High earnest money deposit No personal property included Full price/over price offers |
| Characteristics of a Buyer’s Market | Few offers Long market time Buyers ask for everything Lower earnest money deposits Low ball offers |
| Where do you analyze the market? | NAR Research Resource Guide, realtor.org |
| How do you use existing home sales price and volume statistics from NAR? | If the trends are indicating a market decrease or increase, then the agent may want to advise his/her client to adjust the list price in accordance. |
| What does the pending home sales index from NAR tell us? | The reason the pending home sales index is greater than the existing home sales is because the market is increasing. |
| Housing Affordability Index | measures whether or not a typical family earns enough income to qualify for a mortgage loan on a typical home at the national and regional levels based on the most recent monthly price and income data. |
| Commercial Lending Survey provides insights for what? | into REALTORS®' commercial financing conditions. The report details liquidity conditions, market impact, funding sources, and respondents' comments. |
| Commercial Real Estate Market Survey | measures activity in the commercial real estate markets. It is designed to provide members with an overview of the market performance, sales and rental transactions, current economic challenges, and future expectations. |
| Real Estate Center | a group of economists commissioned by the Texas Real Estate Commission to track real estate data and report that data to the public. |
| What is the nation’s largest publicly-funded organization devoted to real estate research | The Real Estate Center |
| What publications does Real Estate Center offer in Texas? | News Talk Texas and Tierre Grande |
| When demand is constant and the supply of homes is low, what happens to the prices? | The selling prices are high. |
| What are the characteristics of a buyer’s market? | Few offers Long market time Buyers ask for everything Lower earnest money deposits Low ball offers |
| What is the NAR Research Resource Guide? | A guide to the surveys, reports, data, and products that NAR Research has created, updated for the current year |
| What kinds of reports does the Texas Real Estate Center provide that could be useful to brokers and agents? | Reports on housing activity, rural land, building permits, employment, and population |
| How long and how many points do you need to apply for brokers license? | 3600 pts and be active 4 out of 5 years. |
| qualities of a leader | eye on the future, show originality, innovative, willing to make decisions, firm but respectful, self-esteem and integrity, good communicators |
| Who are more doers, Managers or Leaders? | Managers |
| qualities of managers: | administer, ask how and when, focus on systems, do things right, rely on control, watch bottom line, copy others |
| financial information the broker needs to make an accurate analysis includes: | balance sheet, acct rec, income stmt, listings taken, pending sales, complete sales, current agents, per person production, stat info sheets |
| What should analysis of the competition include? | Production numbers, number of associates, years in business, number of locations, and business structure |
| What should a broker know about a competitor’s commission structure? | what commission rate the competition charges its clients the competitor’s commission split structure with its agents |
| What is the difference between leaders and managers? | Leaders are conceptual thinkers; managers are doers. |
| What are some of a brokerage’s back office systems? | Accounting, purchasing, payroll, marketing, scheduling, maintenance, and hiring/firing |
| What does a business plan help you do? | First and foremost, it will help you define your goals and objectives based on concrete information. |
| Helpful steps for writing a business plan | Define your goals & objec., Define svcs, Know your wants, Recognize skills, weaknesses and experiences you have, Determine image, Plan into future, Develop goals, understand your market, identify your compet., marketing, |
| Who can you use your business plan with? (A.B.I.L.L.) | Accountants Banks Investors Lawyers Lenders |
| cover sheet for business plan | Date plan made, brokerage name, POC's name, address, website, phone number and email of POC |
| Statement of Purpose | Defines purpose and vision of your company. This is a good place to include your Mission Statement. Make this paragraph concise and to the point. |
| Why is a table of contents used in a business plan? | to give the reader direction of where to find information |
| Executive Summary | brief synopsis (two pages maximum) of the business concepts that will give the reader a clear initial understanding of your business, its strength, and validity. Write this at the end but present it at the beginning. |
| What goes under the company on the business plan? | captures your strategy, identity, and philosophy. It is about your past, your present, and your future. Describe your company's history Here is where you provide the background of the business. |
| What financial statements do you need for your business plan? | Cash Flow, Income Statement, and Balance Sheet |
| What is the main use of a business plan? | To define the goals and objectives of the business based on concrete information |
| What is an Executive Summary and when should a broker write it? | Business concepts that give the reader initial understanding, business' strength, and validity. The broker should write it last and present it first. |
| What should the broker include in the Company Section of the business plan? | Company history Company strategy Management team |
| What statement shows profit and loss? | Income Statement |
| What does the Cash flow statement show? | cash available |
| Balance Sheet | It shows assets and liabilities. It is your businesses net worth. |
| What measures whether or not a typical family earns enough income to qualify for a mortgage loan on a typical home at the national and regional levels based on the most recent monthly price and income data? | Housing Affordability Index |
| When analyzing her competition, what are the two parts of commission structure that a broker should know? | Client’s commission and agent’s commission |
| Decision theory | concerned with calculating consequences of uncertain decisions. used to describe decision processes in various fields, such as economics, mathematics, and psychology, real estate brokerage on a higher level than just Pascal’s calculation of expected value |
| Risk management | concerned with making decisions to manage uncertainties and their consequences. |
| 3 ways a broker can limit risk: | Avoidance Transfer Reduction |
| If the broker does have in-house accounting functions, how often should broker have outside account firm evaluate his accounting? | At least 1 time per year |
| what is the best way to transfer risk to someone else? | Insurance |
| What is the simplest risk reduction a broker can take? | education |
| How often should a broker offer safety training | at least quarterly |
| Why should you avoid advertising that a property is vacant? | This may attract unwanted attention from the wrong kind of people. |
| How does registration help in safeguarding an office? | Anyone that comes into the real estate office should register at the front desk. Helps you keep up with who has been in your office. |
| What are the three ways of limiting risk? | Avoidance, Transfer, Reduction |
| What is the best way to transfer risk? | Get insurance. |
| Where should an agent carry his/her cell phone and why? | An agent should clip it on or carry it in his/her pocket where it is readily available to phone for help if needed. |
| What is a panic word? | A word that everyone in the office knows to use in an emergency situation |
| Where should you meet a first time client? | always in a public place. Never in a vacant house for the first time. |
| How are panic words used and why? | They are used when an agent feels threatened. He may call someone and use the panic work and as code for they are in trouble so the other person will call the police. |
| promulgated | generically means that the contract has been “approved” or “agreed to” by the Texas Real Estate Commission and is mandated for use for all real estate license holders. |
| ambiguous contract | its meaning is uncertain and doubtful or is reasonably susceptible to more than one interpretation. |
| When arranging to show a property to a consumer the agent has never met, where should the agent meet that person? | For safety sake, they should meet at the office or at a public place before going to the showing. |
| What information should a broker keep on an agent ID form? | Personal address; all appropriate telephone numbers; make, color, and license number of the agent’s car; and a complete physical description of the agent, including height and weight, color of hair and eyes |
| What is transaction oversite? | Reviewing all contracts for certain items to be sure the brokerage is protected against any potential liability |
| How do clients show their agreement with all the provisions of the contract? | By initialing each page, initialing any changes, and signing the last page of the contract |
| What valuables should be removed before an open house? | jewelry, guns, collectibles, cameras, or any other valuables they would not want to lose. Also, they should remove the prescription drugs from the medicine cabinet. |
| Contents Insurance | personal property located in the building. This could be the furniture, copiers, computers, printers, and anything else that could be in a real estate brokerage. |
| When does a broker not need errors and omissions insurance in Texas? | When they are set up as a sole prop. |
| What are good guidelines for riding with potential clients to a showing? | Agents should take their own car and have the prospects follow in their own car or meet them at the property. |
| What should agents do when guests come to an open house? | Register each guest, getting at least a name and contact information if possible |
| List 6 types of insurance that a brokerage should consider having | Liability Key person Building Contents Business car Errors and omissions |
| What is errors and omissions insurance? | Insurance that protects professional practitioners against liability claims made by clients and/or customers |
| What should an agent do when guests enter an open house? | Have them register on a sign-in sheet |
| Where should an agent park when showing a house? | At the curb in front of the property |
| what is the best way for the broker to track how the brokerage is doing? | through financial statments |
| a broker should have the following three types of financial statements: | cash flow, income statement, balance sheet |
| cash flow statement | Record of cash available at different points in time. It helps highlight the differences between when a sale is made, cash comes in, and bills are paid. |
| how is cash flow different from income statment? | cash flow is a more immediate record. |
| three categories of cash flow statement: | operating cash flow, investing cash flow and financing cash flow. |
| operation cash flow | are those related to a brokerage's operations, that is, its day-to-day business. |
| investing cash flow | relate to its investments in other brokerages through acquisition |
| financing cash flow | relate to a brokerage's creditors |
| Free cash flow | a company's operating cash flow minus capital expenditures. This is the money that can be used to pay off debt and expand the business. |
| The income statement | referred to as the profit and loss stmt (P&L), stmt of operations, or stmt of income., shows the profitability of a brokerage during the time interval specified in its heading. The period of time stmt covers is chosen by the brokerage and will vary |
| elements of an income statement | revenues and expenses |
| balance sheet | shows assets and liablities, net worth, consistent increase in net worth indicates good financial health; conversely, net worth may be depleted by annual operating losses or a substantial decrease in asset values relative to liabilities. |
| Net worth | the amount by which assets exceed liabilities. Net worth is a concept applicable to real estate agents as well as real estate brokerages as a key measure of how much an entity is worth. |
| Debt to Equity Ratio FORMULA | TOTAL LIABLITITES/TOTAL EQUITY |
| higher debt to equity ratio indicates: | more creditor financing (bank loans) is used than investor financing. |
| how much capital should a broker have to start a small brokerage just larger than the mom and pop (M&P) brokerage? | about 6 months capital |
| What is free cash flow? | A company's operating cash flow minus capital expenditures. This is the money that can be used to pay off debt and expand the business. |
| What elements does an income statement contain? | Revenue and expenses |
| What does the balance sheet show? | Assets and liabilities |
| What is the most frequent reason for the failure of a small brokerage? | Lack of funds |
| two types of financing for brokers | individual financing and professional lending |
| equity partner | lenders will ask for the same qualifications of a typical lender, but could vary on certain risks because of the potential of having continuing revenue from the equity interest. |
| how does repayment at a 12% interest and a 6% equity position work for and equity partner? | broker would treat the loan and interest the same as any expense and once the brokerage moves into profit, the lender would get 6% of any profits. |
| Real Estate Investment Syndicates | is a business venture in which people pool their resources to start-up a real estate brokerage. This structure permits people with only modest capital to invest in large-scale operations. |
| General Operating Budget | a plan to set out spending for a real estate brokerage. Without a spending plan, a broker can run through all the money necessary to run a real estate brokerage successfully. |
| financial prioritization is another term for what? | budgiting |
| Given the revenue and expenses of $155,000 and $63,000 respectively, what is Miller Associates Income? | $92,000 |
| What business structure would require the smallest startup resources? | Mom and Pop Shops |
| Creditors view a higher debt to equity ratio as risky, why? | Because creditors have invested more in the business than investors |
| What are two types of funds for starting a business operation? | Individual financing and funds from professional lenders |
| Why might a real estate professional be a good source of investment funds? | Many real estate professionals want to own a real estate brokerage but do not want to manage it. |
| What is an equity partner? | An equity partner is a person or company that puts up the capital for an entity and then wants payback and an equity interest into the company. |
| What is a general operating budget and why is it important? | A plan to set out spending for a real estate brokerage. Without a spending plan, a broker can run through all the money necessary to run the brokerage successfully. A budget will tell the broker how much and when to make expenditures. |
| When does a lease have to be in writing? | leases for more than a year (a year and a day) must be in writing to be enforceable. This is in accordance with the Statute of Frauds. |
| lessee will gain three of rights of the owner when they are leasing, what are they? | possession, use, and exclusion |
| typical term for a commercial lease | 1 year or more. The average lease terms can last from 1 to 10 years long but have been known to be for durations lasting up to 99 years. |
| how much notice should LL give tenant before entering property? | 24 hours |
| what are the legitimate reasons a LL can enter a property? | making repairs, doing maintenance, or showing the property to prospective future tenants. |
| What are the exceptions to a LL not being able to enter a property that he has leased to a tenant? | illegal drug use, damage, breaches of the lease, abandoned the property |
| How long is an estate for years normally? | may endure for any length of term, but typically it is a twelve (12) month lease At the end of the term, the estate automatically terminates, without any requirement of notice. |
| how is a termination in TX done for an estate for years? | either or both the landlord and the tenant must give notice to the other at least thirty (30) days prior to the termination date. The notice should be in writing to protect all parties. |
| Period-to-Period | also called a periodic tenancy, period auto renews for an indefinite time, subject to timely payment of rent. At the end of period, if the LL accepts another regular payment of rent, the leasehold is considered to be renewed for another period. |
| How is termination in TX done for Period-to-period lease? | In Texas the notice must be given thirty (30) days prior to the lease termination date or the lease will automatically extend for another lease period. |
| Estate at Will | also called a tenancy at will, has no definite expiration date and hence no "renewal" cycle, or specified termination date, provided rent is paid on time |
| How is termination in TX done for Estate at will? | can only terminate with a thirty (30) day notice to vacate. |
| What is the difference between estate at will and period to period? | with the Estate from Period to Period, the notice must be given at a specific time or the lease extends. With the Estate at Will, once the notice is given, it is thirty (30) days from that date. |
| commercial lease categories | retail, office, warehouse, ground, and mixed use leases |
| Gross lease | tenant will be responsible for paying the lease amount and personal expenses of the leased space but the landlord is responsible for taxes, insurance, and maintenance on the entire property. |
| Net lease | tenant will pay base rent and a percentage (depending upon the number of tenants) of the fees (usually the taxes). If there is only one tenant, then that tenant can negotiate with the taxing authority on the amount. |
| Net Net lease (double net) | same as net lease but more expenses are paid by tenants (usually insurance is added next) |
| Net Net Net lease (Triple-net) | tenant pays most fees and other expenses for the property, including maintenance. |
| Land Lease | tenant leases bare land and builds on the property. Improvements go to the owner when the lease is over. |
| What three rights of ownership will a lessee gain? | Possession Use Exclusion |
| According to the Statute of Frauds, why must a lease for longer than a year be in writing? | It must be in writing to be enforceable. |
| What does Texas require the landlord and tenant to do when the lease is an estate for years? | Either or both the landlord and the tenant must give notice to the other at least thirty (30) days prior to the termination date. |
| With which type of lease does the tenancy period automatically renew for an indefinite period of time? | With the period-to-period lease, periodic tenancy, subject to timely payment of rent. |
| Tenant improvement deductions | improvements should result in rent reductions |
| Finish Out Clause | typical office rental space is a large shell with restrooms and that may be it. Finish out is the completion of the rest of the space. |
| Seasoned lease | when the broker has paid on time and met all of the other terms of the lease for a specific time period – usually at least a year. This may allow broker may be able to free up some of that deposit. |
| What can a broker possible use in lieu of actual money deposit? | letter of credit from the bank |
| letter of credit | when a banker puts in a letter that the bank will pay the amount of money indicated on the letter. The money does not actually change hands unless the broker is in default on the lease. |
| What is a finish-out clause? | The description of how the space will be completed to the specs of the tenant, who will do the finishing, and who will be paying for what parts of the finishing work. |
| What is the first consideration when planning to open a brokerage? | location |
| After determining a location, what is the next critical factor to consider? | Amount of square footage needed |
| 2 challenges to using a franchise | fees, loss of independence |
| Define virtual office. | An agent working from home or car, using technology almost exclusively and only occasionally going into a physical office. |
| What kinds of things might a virtual office need? | Conference rooms for client meetings, shared desks, and phone bank |
| What things should a broker monitor to help control expenses? | Number of agents Number and salaries of staff members Brokerage financials Office supplies Utilities Copies |
| Advantages of leasing office equipment | Less up front cost Maintenance program Latest equipment available on the market Typically lower payments than buying |
| Disadvantages of leasing office equipment | No equity Pressure to buy the most expensive Not economically feasible for small ticket items |
| Where should the broker be placing most of the brokerage dollars for advertising? | the Internet |
| Texas Real Estate Commission requires the brokerage name how on web site | on each page |
| what size should broker name be? | it must be larger than the name of any associate of the firm. |
| For what items does a brokerage need storage space? | need storage for yard signs, spare furniture, supplies, cleaning equipment, and files. |
| What are the advantages of leasing office equipment? | Less up front cost Maintenance program Latest equipment available on the market Typically lower payments than purchasing |
| What does TREC require on brokerage webpages? | TREC requires the brokerage name on EACH page of a website. The Commission states that the name must not be deceptive and it must be larger than the name of any associate of the firm. |
| In a gross lease, the tenant is responsible for paying the lease amount and personal expenses while the landlord is responsible for paying what? | Taxes and insurance |
| Small Business Administration puts out these three essential marketing items: | Research and Strategy Marketing Materials Marketing Methods |
| What questions do you need to answer about your budget? | What marketing materials do you plan to develop? How much do you want to do? How much money do you want/need to spend? |
| Marketing examples | Internet, mark, milers, mo. mailers, Qtrly newsletter, Newspaper ads, magazine articles, personal brochures, Radio/television, personal brochures, For sale signs, bus benches, Canvassing neighborhoods, Business cards, Phone or in person |
| What questions do you need to ask yourself when preparing a marketing budget? | What marketing materials do you plan to develop? How much do you want to do? How much money do you want/need to spend? |
| What monthly expenses are typically not very flexible? | Utilities, automobile, rent, and overhead are usually expenditures that are not very flexible. |
| List five potential sources you could choose to focus on in your marketing. | First-time home buyers Expired listings For-sale-by-owners Empty nesters Investors |
| When designing a marketing tool, where should you keep your focus? | On you and your company |
| networking opportunities | Professional associations, open house, volunteer service, Conventions, school functions, Social opportunities, Business luncheons, Interoffice contacts, Immediate family, Friends and relatives, Past clients, local business |
| What ways have proven to be the best for marketing? | brochures, newsletters, directmail |
| mission stmt | Shares you philosophies about life and work |
| What is the purpose of networking? | To share information, establish business contacts, and make contacts that can enhance your career. |
| What is a marketing disclosure agreement? | information is subject to broadcast on the Internet, not only on the MLS, but on other public sites such as realtor.com. |
| What are the more common and inexpensive ways of communicating with potential customers and clients? | Email, texting, voicemail, and other electronic means of communication |
| Space permitting, what would be a good thing to include in your marketing materials? | mission stmt |
| reasons to do a newsletter | They are constant, update your Sphere, reason to call, great handout at open houses, comfortable way to contact FSBOs and expireds, valuable and useful information |
| What things should you include in a brochure? | bold graphics, mission statement, specialties, experiences, education, qualities, and the benefits all these traits bring to your clients |
| advertisement | is a written or oral statement which induces or attempts to induce a member of the public to use the services of a real estate licensee. |
| Rebates | If a licensee advertises a rebate of a portion of the licensee’s commission, the advertisement must disclose that the rebate is subject to the consent of the party the licensee represents in the transaction. |
| Association of Real Estate License Law Officials (ARELLO) | Their status is to assist real estate regulators with their statutory laws and administrative rules, education and licensing, and investigations and disciplinary actions. |
| Who assesses the real estate market and tries to be proactive in their responses to what is happening. | ARELLO |
| ARELLO published a white paper | proposed cross-jurisdictional guidelines on Internet regulatory issues as they pertain to the real estate industry. The white paper is called "ARELLO Best Practices Internet Guidelines." |
| What are three “do’s” to remember when designing a newsletter? | Use column format and only one page (printed both sides). Use pictures or graphs to break up the words. Identify your audience. Speak directly to them. |
| What kinds of things would you include in a brochure? | You could include your mission statement, along with your specialties, experiences, education, qualities, and the benefits all these traits bring to your clients. Testimonials from satisfied clients are also a good thing to show. |
| About how many mailings would it take before a person might start to recognize you and actually read your message? | Three mailings |
| CAN-SPAM | Emails to large group of ppl for marketing purposes |
| opt out messages | must be in all advertisement emails. Must remove the person within business 10 days. |
| punishment for deceptive advertising emails? | up to $11,000, and subject to laws banning false or misleading advertising. |
| FTC | The nation's consumer protection agency |
| Enforces criminal sanctions | DOJ |
| The correct form for copyright notice is: | "Copyright [dates] by [author/owner]" Website owners can use C in a circle © instead of "Copyright." |
| Anti-Cybersquatting Act | intended to strengthen the rights of trademark owners as they expand their businesses onto the Internet. |
| Who does the CAN-SPAM Act not apply for real estate agents? | Real estate licensees who are writing to their clients or customers about their individual transaction are exempt from CAN-SPAM. |
| How does the CAN-SPAM Act apply to real estate agents | This Act deals with emails that licensees may send out to their entire database of clients advertising their services or listings or products. |
| Why do companies monitor the employees using the company network? | checking their online listings, staying aware of their competitors' listings, technology is being used right, Checking email communication, searching for jobs |
| What information in a website listing is protected by copyright law? | do not protect basic facts about listed properties, their size or features. However, the law does protect graphics and highly-detailed, creative descriptions of listings. |
| Management | A kind of leadership where achievement of organizational goals is paramount. Involves achieving the goal no matter what it takes. |
| Leadership | Influencing the behavior of an individual or group, regardless of the reason. Visionaries who concern themselves with people and can influence and inspire towards the end result |
| 3 basic skills a leader should maintain | Technical Skills Human Skills Conceptual Skills |
| Technical Skills | The understanding of all phases of the operation of the real estate business over which the leader is responsible. |
| Human skills | Understanding and observation, ability to perceive the thoughts and actions of others. The leader will portray a level of sensitivity that builds trust and loyalty from the followers. |
| manager attributes | administer, ask how and when, focus on systems, do things right, eye on the bottom line, copy, rely on control |
| Where do leaders and managers get their power? | Managers get power from the position. Leaders get power through influence. |
| leadership qualities | vision, encourage, work through changes, self-improvement, Good coaches and mentors, enpower others |
| EXTRINSIC MOTIVATION | comes from the outside. Example: One reason that I go to work is that I need to make a living in order to survive. |
| INTRINSIC MOTIVATION | comes from within. Example: Another reason that I go to work is that I get a great deal of satisfaction when I accomplish a difficult task |
| Maslow's Hierarchy of Needs | determines that we all have this set of needs that we are constantly trying to satisfy. But if the lower needs have not been satisfied, we cannot go onto the next step |
| Maslow's Pyramid? | Self Actualization Needs: to grow, to create Ego Needs: self esteem, status Social Needs: acceptance, respect Safety and Security Needs: to protect self from present, and future danger Physiological needs: food, shelter, air |
| Hygiene or Dissatisfiers | work conditions, Policies and administrative practices, salary and benefits, supervision, status, job security, Co-workers, Personal life |
| Motivators or Satisfiers | recognition, achievement, advancement, growth, responsiblity, job challenge |
| What was Herzberg's theory about hygiene and motivators? | hygiene factors must be present in the job before the motivators can be used to stimulate that person. |
| McClelland's Hidden Motives | The need for achievement The need for affiliation The need for power Neither is more powerful than the other and will vary from person to person. |
| McGregor - Theory X and Theory Y | McGregor felt that companies followed one of the two approaches. X theory and Y theory |
| McGregor Theory X | People don't like work and will avoid it, they must be controlled or threatened to do work, they don't want responsibility, and want security above all else |
| In Theory X assumptions, what is management's role? | to coerce and control employees. |
| McGregor Theory Y | Work is natural, People are not lazy, they are committed to objectives, they learn to take responsibility, can use their abilities to solve org problems, and have potential |
| In Theory Y assumptions, what is management's role? | to develop the potential in employees and help them to release that potential towards common goals. |
| A license has been expired for 90 days or less may renew? | by paying to the commission a fee equal to 1-1/2 times the required renewal fee. |
| A license has been expired for more than 90 days but less than six months may renew how? | Pay to the commission a fee equal to two times the required renewal fee |
| A person's license has been expired for six months or longer may renew how? | may not renew the license. The person may obtain a new license by submitting to reexamination and complying with the requirements and procedures for obtaining an original license. |
| situations in which a salesperson’s license could be automatically and immediately put on inactive status: | broker dies, broker’s license is inactivated, broker is a corporation and the corporation dissolves |
| two types of motivation. | Extrinsic motivation comes for outside of oneself. Intrinsic motivation comes from within. |
| What does contemporary leadership theory suggest about business performance? | Open communication, supportiveness, consensual decision making, achievement, and success, outperform businesses that emphasize competition, restrictiveness, and rules that reward conformity. |
| When the sponsorship of a salesperson ends, what should the broker do? | immediately notify the commission that the sponsorship has ended |
| What does mandatory continuing education include? | The mandatory continuing education (MCE) consists of two commission-developed courses including a 3-hour legal update course and a 3-hour legal ethics course. |
| notice to consumers and service recipients of the availability of payment from the trust account for aggrieved persons must be posted. What other information must be included? | The commission's name, mailing address, and telephone number; and Any other information required by commission rule." |
| a real estate licensee shall use only those contracts promulgated by the Texas Real Estate Commission except with the following exceptions: | licensee is a principal, not an agent, United States government requires a different form, When the contract form has been prepared by the property owner or prepared by an attorney and required by the property owner. |
| What do the rules say about a complaint lodged against a salesperson? | The complaint will also be against the broker who was sponsoring the licensee at the time of the alleged violation. |
| What do the rules say about a licensed attorney? | A licensed attorney is exempt from needing to have a real estate license but cannot sponsor real estate salespersons or serve as the designated officer of a licensed business entity unless the attorney is also a licensed real estate broker. |
| What does the Texas Broker Lawyer Committee do? | drafts and revises contract forms that are capable of being standardized to expedite real estate transactions and minimize controversy. Their contracts are approved for use by TREC. |
| When may a broker act as an intermediary? | When the obtain written consent from each party. Written consent of the parties states the source of any expected compensation to the broker. |
| When the broker sponsors a salesperson, the broker should notify the commission of this fact, submit the fee, and request a new license within | 10 days |
| A broker may act as an intermediary between parties to a real estate transaction if the broker obtains written consent from each party to do so and under what other condition? | The written consent of the parties states the source of any expected compensation to the broker. |
| A broker who represents a party in a real estate transaction or who lists real estate for sale under an exclusive agreement for a party is that party’s what? | agent |
| The two vital pieces of information to remember when determining if someone needs a real estate license are (1) if a person is acting on behalf of another (not on their own account), and (2) | if that person receives a valuable consideration for their work in assisting the homebuyer/seller. |
| Who is specifically forbidden from undertaking to draw or prepare documents fixing and defining the legal rights of the principals to a transaction? | Any Licensee |
| National Association of REALTORS® advises that the majority of a broker's time be spent how? | recruiting |
| What is the average turn over rate in a brokerage? | 30-50% |
| What should a broker include in a recruiting presentation? | A list of all the things that his/her company offers that is better than what other companies in the area are offering |
| What are some external recruiting strategies? | career seminar at local real estate school, Write a congratulatory letter to all who pass test-call 3 days ltr, Take top producer to lunch every month, friends, Place classified ads. Sponsor a career booth at colleges and univ. Monster, linked-in |
| What is the real purpose of the screening process? | To pick the right person for the right job, or to find that one very special person |
| The application form should include: | name, address, phone number, schooling, any special courses, Employment history - 10 years, References, Character references, Hobbies, pastimes |
| how much time should be allowed for an interview? | 2 hours to fully explore their potential |
| "Halo" effect | one specific aspect of the person's physical appearance or personality overshadows all other factors |
| steryotyping | persons tend to be classified automatically into one personality category or another based on their physical appearance. |
| interviewing potential danger signals | tendency not to finish things; over commitment to other activities; frequent changes in employment, lifestyle or address; "knowing everything" and not needing any training |
| Why is it imperative that the broker/manager asks exactly the same questions of every candidate? | Could potentially create discrimination charge against the broker/manager. By asking exactly the same questions of everyone, no one can later charge that they were discriminated against. |
| During the interview, what types of characteristics should the interviewer be looking for? | Motivation; understanding of philosophies and purposes and goals of the company; and a confirmation that the applicant understands his/her responsibility to achieve personal and professional goals. |
| What does the manager base his/her hiring decision upon? | Upon matching all the factual, objective information that he/she accumulated against the performance specifications he/she had drafted early in the hiring process |
| If the salespersons are independent contractors, what should be addressed in their business agreement? | That the broker does not monitor nor direct their business affairs provide any benefits or insurance provide any withholding of their taxes expect anything of the agents but adherence to all laws and good will to the broker |
| What is the foundation for a successful brokerage recruitment plan? | Careful examination of the broker's mission statement and long-term goals |
| A non-productive sales associate is what when it comes to cost? | expensive for the broker to carry because of the desk cost. |
| What best describes the relationship between attrition rates and recruitment? | When the attrition rate is high, a brokerage needs to recruit more. |
| Office policy manual purpose: | clear understanding, fix controversies before they arise, build confidence by managers as well as salespeople know the rules, Prohibit favoritism, in the absence of management allow staff to function |
| The policy manual is a reflection of what? | Mission statement |
| What is the single most important supplement to the training of sales staff and should be easily used? | Policy manual |
| What goes on the 1st page of the office policy manual? | Statement of Purpose. Place your business mission statement along with any additional statements or thoughts that you have regarding your philosophies and the intended direction of your business. |
| If written properly, the job description can help you how? | can serve as an interview and selection tool and later as an evaluation tool to measure the individual's performance. |
| When writing the policy manual, what should the broker leave room for? | Additions and revisions, management and staff can contribute ideas and suggestions for future editions. |
| policy statement | reflects the broker's attitude toward that particular item; i.e., a statement of philosophy. Helps staff understand why the broker takes a certain position on a particular situation. |
| procedure statement | an explanation of how the broker (and management) wants that particular situation to be handled. |
| Policy Manual Receipt | very last item that should be in your office policy manual is a receipt for the manual acknowledging that the agent read the manual and understood it. If possible, give your agents a copy for each of their desks. |
| What’s the difference between a policy statement and a procedure statement? | The policy statement reflects the broker's attitude toward that particular item. The procedure statement is an explanation of how the broker (and management) wants that particular situation to be handled. |
| What might a broker include in the “broker responsibilities” section of the policy manual? | Obligations to the staff and salespersons What happens if the broker’s license becomes inactive ( obligations to the salespersons) Procedures for ending the sponsorship of a salesperson |
| What is important for the manual to say about paying fees to unlicensed persons? | The policy should clearly describe Texas law which states that the licensee may pay a portion of the fee or commission to the client within the transaction. |
| What can the policy manual address regarding safety? | Procedure for maintaining safety in office. Codes for keeping agents safe who are in field, Info about current office training. Any written policy regarding safety that distributed to all persons in the office. |
| What can end you up in court as an agent? | Failing to disclose, not acting in client’s interest, attempting to act as a mortgage broker, showing outside familiar area, Offering legal advice, misleading, client alleges negligence, fraud, or breath of duty, fin. info not safe, bad/no inspectors |
| negligence | one party alleges another party did not properly exercise utmost duty of care, and/or when clients make claims that the agent should have known something and disclosed it instead of not mentioning it at all. |
| Errors and Omission Insurance: | policy can cover part of all of any costs associated with future lawsuits, including legal fees, lost business income, and future judgments against the broker |
| negligent hiring claim | Claim that an employer should have done a more thorough background check on the employee before hiring them which might have uncovered past employment problems and possible criminal backgrounds. |
| negligent retention claim | Plaintiff alleges employer failed to fire a worker who management knew, or should have been known, had troubles with being honest, violent, and engaging in ongoing sexual harassment or bullying or co-workers. |
| The Texas Commission on Human Rights Act (TCHRA) | prohibits employment discrimination on the basis of race, color, disability, religion, sex, age, and nation of origin. |
| What’s the difference between a policy statement and a procedure statement? | Policy statement: reflects broker's attitude toward that particular item. Procedure statement: explanation of how the broker (and management) wants that particular situation to be handled. |
| What might a broker include in the “broker responsibilities” section of the policy manual? | Obligations to the staff and salespersons What happens if the broker’s license becomes inactive (obligations to the salespersons) Procedures for ending the sponsorship of a salesperson |
| What is important for the manual to say about paying fees to unlicensed persons? | Describe TX law which states licensee may pay a portion of the fee or commission to client within transaction. If licensee intends to share commission to a party licensee does not represent, licensee must first obtain consent of their client |
| What can the policy manual address regarding safety? | safety in the office , keeping agents safe who are in the field, office training on safety, safety that is distributed to all persons in the office |
| KSA | |
| Brainstorming | creative way to get everyone involved in the meeting and, better yet, in finding solutions to problems. In a brainstorming session, every idea (no matter how ridiculous) is written on the board. |
| What’s is a broker’s challenge regarding sales meetings? | challenge each week to come up with something new and innovative that will keep everyone's attention, be beneficial to what they do, and motivate them to want to do better. |
| Why is an agenda important for a sales meeting? | It gives everyone in the meeting a sense of timing, direction, and attention. |
| What things might be good for a salesperson to include in a personal resource notebook? | Listings, Brokerage listings - remember, listing agents should keep confidential any personal information of the sellers, Administrative issues, sales techniques |
| What is important for a broker to do regarding training for seasoned agents? | a lot of one-on-one time; maybe a monthly lunch, a monthly round of golf, just anything to create that closeness that keeps the bond solid. great opportunities for training. |
| nonverbal communication includes: | emails, texts, social media, and written letters, contracts, addendums, disclosures, and forms, body language, eye movements, and short or uncomfortably long term silence. |
| How much statistically is our non verbal communication? | 80-90% |
| 3 "C" Rule | context, clusters, and congruence. |
| Context | Environment where situation is taking place and any history between the people. (agents and clients with a 10-year history together are more likely to joke ) |
| Clusters | analyzing different instances of communication between parties instead of just one instance. On a chilly day, the customer may have his hands crossed to stay warm as opposed to being closed-minded or upset |
| Congruence | Nonverbal actions or body language matching verbal tones. Someone who appears upset with their head down, arms and legs crossed and answers with short and loud words like “I’m fine” can give the agent a reason to question spoken words. |
| When developing a professional image, what is the most paramount attribute? | Consideration for others |
| What do you do if you have an appointment to show an occupied home and your prospective buyer decides for some reason not to view the home? | Promptly call and explain the situation to the occupant. If you cannot contact the occupant, call the listing brokerage and explain the situation to them. |
| What if you don’t know the answer to a client’s question? | If you don't know an answer, say you don't know the answer but you will find out. Then do so, and communicate that answer as soon as possible. |
| How should you deal with other real estate agents? | Always identify yourself and your license status when speaking with another licensee. Respond to other agent's calls, faxes, emails and texts promptly. |
| unlicensed assistant duties | hanging lock boxes, delivering keys, delivering papers, planting signs, and similar unlicensed activity, County recorders offices, zoning offices, sewer districts, water districts, etc |
| can an unlicensed assistant make appointments? | yes, but only if licensee has already had an initial contact with them |
| what role can an unlicensed assistant play at an open house? | distribute preprinted literature written by the licensee, BUT can give no additional information concerning the property or financing and cannot become involved in negotiating |
| What can a licensed assistant do? | Everything an unlicensed assistant can do and cold calling, Farm an area, Answer questions on listings, title issues, financing, closings, etc., Show properties, Prepare a Comparative Market Analysis, manage rental properties, explain contracts. |
| records retention schedule | Detailed document that identifies, describes, and defines time requirements for a state agency or private employer such as a real estate brokerage firm. TX must submit file to governing agency. |
| Where do TX brokers submit their records retention schedule file? | Texas Real Estate Commission. (TREC) |
| Brokers must keep documents for at least how long after the closing of a real estate transaction? | 4 years. |
| What is the rare exception to maintaining records for real estate transaction? | "Act of God” or natural disaster: fire, flood, tornado, or hurricane partly or completely damaging the building where records were stored. |
| What types of records must be maintained for a real estate transaction? | disclosures, Commission agreements, Work files, contracts and addendums, Receipts and disbursements of compensation, prop mgmt, Appraisals, Sponsorship agreement |
| employment-at-will | the employer or employee has the right to end the employment relationship without reason or giving notice. |
| What is one of the most critical aspects of having an unlicensed assistant? | monitoring and supervising their activities. A personal assistant can very easily slip over into activities for which a license is required. Then either the salesperson or the broker can be in trouble for not scrutinizing the activities enough |
| How is an unlicensed assistant paid? | can be paid by either the broker or by the real estate professional. However, the assistant can only be compensated at a predetermined rate which is NOT contingent upon the closing of a real estate transaction. |
| expense | The depreciation of assets is an expense |
| Cost | Buying a building or buying equipment is a cost for an asset, costs of buying assets are not expenses |
| you need to have an accounting system for two main reasons: | to keep records of various income tax reports you need to make and for good managerial control. |
| When determining correct balance sheet relationships, there are three common relationships to be considered: | ratio of assets to liabilities assets minus liabilities Assets minus liabilities = equity ÷ assets = equity ratio. |
| Income statement | also called profit and loss statement.It will be the operating statement. Its income portion of the statement should reflect all sales commissions into the company plus any other forms of revenue. |
| Expense portion of the income stmt shows what? | both operating costs (those costs necessary for the operating of the business) and non-operating costs (interest expenses, debt, income taxes, etc.). |
| Net income | income remaining after all expenses have been paid |
| EBIT | income remaining after deducting only operational expenses (does not include interest and taxes) is called Earnings Before Interest and Taxes . measures the business decisions and the efficiency of operation with which the company functioned. |
| Operational Expenses | Earnings Before Interest and Taxes (EBIT) |
| Interest Formula | Interest = Earnings Before Taxes (EBT) |
| Taxes Formula | Taxes = Net Income |
| If EBIT is a negative number, what is true? | the operation has produced a loss |
| If EBIT is "0", what is true? | the company has broken even |
| If EBIT is positive, what is true? | the company has made a profit from operations. |
| What does knowing where your money comes from and where it goes do for a broker? | Gives a broker the opportunity to address those areas where changes can easily be made-both in income and in outgo |
| What is the difference between a cost and an expense? | Buying a building or buying equipment is a cost for an asset. The depreciation of those assets is an expense. |
| What is net income? | The income remaining after all expenses have been paid |
| What real estate expenses are relatively fixed expenses? | salaries for staff and management fees advertising communications rental or purchase fees other operating expenses, such as property taxes, auto expense, insurance |
| To determine his company's net worth, Broker Carl must subtract what? | liabilities from assets |
| Which income calculation measures the business decisions and operation efficiency of Howzer Real Estate? | EBIT (Earnings Before Interest and Taxes) |
| What must be done to determine a brokerage's annual cash flow? | the total expenses (variable and fixed) are subtracted from the net income. |
| Activity Logs for agents can include what? | Date/time range: Description: “Cold Call local business owners for potential commercial lease agreement listings.” How agent felt completing the task? “Happy” "Nervous” “Relieved” “Energized”? Importance: “Low”, - “High” |
| percentage of the commission that an agent receives may be based on two things: | their level of experience and the types of splits that the competition is offering their real estate agents. |
| The most productive employees tend to be what kind of listeners? | good listeners |
| effective listening techniques | Eye Contact, be attentive and relaxed, Open Minds and Open Doors, Don’t Interrupt, Mirroring People, What is a person’s favorite spoken word, Empathy and Compassion |
| What kind of things will be in an effective marketing plan? | networking, and neighborhood canvassing plan which may include the placement of print and digital media ads, cold calling, attending networking events, and knocking on doors in targeted neighborhoods. |
| The guidelines categorize discriminatory advertising into three groups: | 1. contains words, phrases, symbols, or visual aids 2. uses media or content such as human models or logos to indicate an illegal preference or limitation. 3. Fair Housing policies in discriminatory advertising that are prohibited. |
| Understanding the market | Looking at records of listings and sales, Looking at deed transfers, Studying the number of building permits issued, Checking out the "by owner", pop growth, tax load |
| What should a community be made up of to stay healthy and viable? | residential, commercial, and industrial, ppl need a place to live, shop and work |
| What is the difference between horizontal and vertical expansion? | Horizontally, means adding salespersons or opening more offices, but keeping your identity. Vertically means adding another dimension to the brokerage: property management dept, commercial dept, etc. |
| What seven areas should a broker analyze when making a decision about expansion? | Demand for housing Population growth or decline Commercial facilities Zoning Taxes Natural resources Competition |
| Why is it important to analyze the taxes in the area of a possible expansion? | Tax can determine whether the area is a good place to expand. Lower taxes might seem ideal, but it may have no interest in growth. High taxes could discourage people from living there. |
| centralize | where everything is kept under the direct control of the broker |
| decentralize | where total autonomy is given to the branch |
| Horizontal expansion usually refers to the opening of a branch office. What does Texas law say about a branch office? | A license is required for each branch office maintained by the broker, and the license certificate for each branch office must display the address at which the broker's office is located. |
| What does a broker need to know about opening a large branch office? | It is not an inexpensive proposition. It will take about as much money as it took when opening the main office. |
| What are the two main methods of control that the broker must choose between when deciding to open a new office? | Centralization and decentralization |
| What is the most important aspect of opening a branch office? | Hiring a good manager |
| What are some things to watch for before going into a merger or acquisition? | Current sales, management, Location and competition, obligations, debts, contracts, commission splits, identity, Assets, knowledge of trained staff |
| What kind of expansion is an acquisition or merger? | Vertical |
| What are six options for a vertical expansion? | Residential Brokerage Appraisals Commercial and Investment Property Management Farm and Land Syndications |
| Expanding into property management is a natural outgrowth of doing what? | Selling commercial property or multi-unit properties that need to have rental/lease services offered |
| What is a good tool to use when training a new manager so that they have a clear understanding of your expectations? | The comprehensive job description |
| When does a broker need to apply for a branch office license? | If he maintains more than one place of business |
| What might be the best compensation method for an office manager? | Base salary and commission |
| What is the purpose of a mission statement? | It helps you identify who you are |
| Licensee Jane has asked her personal assistant, Sally, to call Jane's past clients and "touch base." Does Sally need to have a real estate license to make these calls? | Yes, doing cold calling is an activity for which you need to have a license. |
| Having a written business plan helps you to: | stay focused on your goals |
| Never sign documents on behalf of your client without: | a power-of-attorney from your client. |
| A dual agency is a(n): | limited representation. |
| One of the main duties of the Texas Real Estate Broker-Lawyer Committee is to: | draft standardized real estate forms. |
| Discriminatory advertising consists of: | preferences and limitations. |
| "First dollar defense: means: | the broker or salesperson pay only the deductible in an E&O claim. |
| In the Canons of Professional Ethics and Conduct for licensees, Article 3 is similar in nature to the fiduciary duty of reasonable care. What is the subject of Article 3? | competency. |
| For a real estate licensee in the state of Texas, the No-Call laws are enforced by the: | Federal Trade Commission (FTC) |
| When hiring support staff, the first person the broker should consider hiring is | receptionist. |
| In which agency relationships will there be no signed contract? | implied |
| An agency by estoppel arises how? | by the actions of the parties involved, rather than by a written agreement |
| Is a person with AIDs protected under the ADA? | Yes, AIDs is protected even though it may not be a visible impairment. |
| Knowledge, Skills, and Abilities analyses are used to judge what? | what a licensee does each day. |
| In writing your goals for your business plan, one of the first things you write is/are your: | mission statement |
| Is there a danger in having pictures of your listing on your web site? | No, as long as limitations are set. |
| Steering is an illegal practice which: | limits options for the buyer. |
| When a broker acts as an intermediary, it means that: | the broker is limited in providing all the fiduciary duties. |
| Having a seller's disclosure statement is the same as: | transferring risk. |
| A short-term goal should be what? | measurable |
| The main value of the Agent Itinerary form is that: | the office will know approximately where and when the agent will be. |
| A DBA is a(n) | artificial name. |
| Is the document that is given to the customer upon first contact called the "Information about Brokerage Services? | Yes, this document discloses all the possible agency relationships. |
| In determining the correct balance sheet relationships, the equity ratio is: | assets minus total liabilities divided by assets. |
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