Steven Approached an Agent of Any Lands Brokerage Ltd

question 34

Essay

Steven approached an agent of Any Lands Brokerage Ltd.,Johnson,for his assistance in finding a home to purchase.Steven explained that the maximum monthly payment he could make under a mortgage was $1,100 and he wanted Johnson to find him a home with a mortgage he could assume such that the payment could not exceed this sum.Johnson did not have listings that suited Steven's needs,and as he was aware that Steven did not know where to turn,he offered to search the Multiple Listing Service for a suitable property.Steven asked him to do so.Any Lands Brokerage Ltd.was a member of the local Multiple Listing Service,and received the listing of cards for various properties that described their attributes,including the existing mortgages.Based on the information that was contained on the MLS cards,Johnson picked a house for Steven,which Steven later purchased.Johnson's attention had been drawn to this particular property as the listing card showed a mortgage which could be assumed at 8% with a monthly payment of $1,125 and a term that expired the next year.As matters turned out,the vendors were in receipt of a special mortgage rate and subsidy from the Canada Mortgage and Housing Corporation for as long as they occupied the premises and when the house was sold the mortgage rate would increase from 8% to 12 ¾%.A month after closing Steven discovered that the payment expected of him was,in fact,$1,600 per month rather than $1,100.Steven brought a suit against the agent,Johnson,and Any Lands Brokerage Ltd.for the difference of his payments for the remaining term of the mortgage.Discuss the issues raised in this case and the arguments upon which each party will rely.

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Definitions:

Situation (SWOT) Analysis

A strategic planning method used to evaluate the Strengths, Weaknesses, Opportunities, and Threats involved in a project, business venture, or an organization's overall strategic positioning.

Planning Phase

The initial stage in a project or strategy where objectives are defined and approaches are determined.

Diversification Analysis

The process of identifying and implementing new business opportunities outside a company's current products, services, or markets to reduce risk.

Marketing Plan

A detailed strategy for identifying target markets and how to reach them, outlining marketing objectives, tactics, and measures of success.