Although the Function of Commercial Brokerage Is the Same as That

question 9

Multiple Choice

Although the function of commercial brokerage is the same as that of residential brokerage, the activities of commercial brokers usually differ considerably from those of residential brokers due to fundamental differences in these two markets. All of the following statements regarding commercial brokerage are true EXCEPT:

• A) Relative to residential transactions, commercial transactions tend to be larger
• B) The parties in commercial mortgage transactions are typically less knowledgeable than those in residential transactions.
• C) An important part of the commercial broker's service is to provide the prospective buyer with reports that enable him to complete due diligence for the property
• D) Commercial brokers are often required to lower their commission in order to negotiate compromises between buyers and sellers when they reach an impasse over price.

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Definitions:

Discriminating

Making a distinction in favor or against someone or something based on the group, class, or category rather than according to actual merit; often refers to unfair treatment based on prejudice.

Same-Sex Marriage

The legally recognized union between two individuals of the same sex, affording them the same rights and obligations as heterosexual marriage.

Recognized

Acknowledged or given formal acceptance as valid, legitimate, or worthy of attention.

Charter Banks

Financial institutions founded and operating under a charter or authority granted by a governmental or regulatory body, often with specific objectives or operations.