Question

Which of the following is NOT required for an unlicensed auctioneer to conduct an auction of real property?

(a) A principal broker is present at the auction.
(b) The Real Estate Purchase Agreement is used and filled out by a licensee.
(c) The earnest money is deposited in the broker's trust account.
(d) A principal broker has reviewed and initialed all documents prior to the auction.

Answer 1

An unlicensed auctioneer can conduct an auction of real property with certain requirements, excluding the use and filling out of the Real Estate Purchase Agreement by a licensee.

Step-by-step explanation:

The correct answer is (b) The Real Estate Purchase Agreement is used and filled out by a licensee. An unlicensed auctioneer may conduct an auction of real property, but certain requirements must be met under the law. These requirements generally include having a principal broker present at the auction, depositing the earnest money in the broker's trust account, and having a principal broker review and initial all documents prior to the auction. However, the use and filling out of the Real Estate Purchase Agreement by a licensee is not required for an unlicensed auctioneer to conduct the auction.