Risk Management: Initial Contact to Accepted Offer (AL)

Overview

Disclose, disclose, disclose is a constant refrain in the real estate industry and is one that bears heeding. Properly disclosing agency relationships is critically important to protect both buyers and sellers, and licensees who fail to do so risk violating Alabama license law. This course provides a comprehensive overview of licensees' disclosure duties and examines key tenets of the Real Estate Consumers Agency and Disclosure Act (RECAD), advertising rules, proper trust fund handling, the doctrine of caveat emptor, misrepresentation, and recordkeeping requirements.

This three-hour course will help licensees learn and ultimately implement risk management best practices from the time they first interact with consumers to the closing of a transaction and beyond.

Learning Objectives

Upon completion, students will be able to:

  • summarize the RECAD requirements
  • explain how to comply with advertising rules
  • describe licensees' obligations to all parties in a real estate transaction
  • define caveat emptor and list exceptions to this rule
  • explain the rules that apply to property sold "as is"
  • identify permitted activities of unlicensed persons
  • explain the proper handling of trust funds and recordkeeping requirements
  • describe licensees' duties to provide an estimate of closing costs
  • summarize qualifying brokers' responsibilities and risk management best practices

Designed For

Alabama licensed brokers and salespersons.
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