Under the Real Estate Act, what is a 'brokerage' and what role does it play?
Correct Answer
B) A brokerage is a licensed business entity through which all real estate trades must be conducted; individual associates must be registered under a brokerage
Under the Real Estate Act, a brokerage is a licensed business entity that authorizes and supervises real estate trades. All licensed associates must be registered under a brokerage to practice. The brokerage holds the legal authority for real estate trades, and the broker is responsible for supervising all associates and ensuring compliance with regulations.
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