Oregon Broker PSI Practice Exam

Who can legally provide a seller with an estimate of the property's sale price to obtain a listing?

1. A real estate broker and principal broker

2. A broker's assistant with no license

3. A home appraiser

4. An unlicensed friend of the seller

The correct answer is: A real estate broker and principal broker

A real estate broker and a principal broker are legally authorized to provide a seller with an estimate of the property's sale price in the process of obtaining a listing. These professionals have the necessary training, expertise, and legal framework to assess market conditions, analyze comparable properties, and provide a well-founded estimate of the property's value based on current real estate practices. Brokers and principal brokers have access to specific tools and resources, such as multiple listing services (MLS) and market analysis reports, that allow them to give accurate and reliable pricing estimates. This understanding of the market is essential for pricing the property competitively and ethically in order to facilitate a successful sale. In contrast, other individuals mentioned in the choices may lack the proper qualifications or licenses required to provide such estimates legally. While home appraisers can determine property values, they typically do this in a more formal context, such as for financing or legal purposes, and not specifically for obtaining a listing. An unlicensed individual or a broker’s assistant without a license does not have the legal authority to perform seller pricing estimates or engage in the licensed practice of real estate, thereby making their estimates potentially unreliable and unenforceable.