Humber/Ontario Real Estate Course 3 Exam Practice

When Seller Morris shows concern about filling out the seller property information statement (SPIS), which of the following is a valid objection?

1. Seller Morris is obligated to complete the form, as real estate ethics require all sellers to provide an SPIS to potential buyers upon request.

2. Seller Morris's concern is valid as the SPIS requires more disclosures than legally mandated.

3. Salesperson Hall informs Seller Morris that the form must be filled out but only available to buyers making offers.

4. Salesperson Hall should inform the seller that without the completed SPIS, representation would not be effective.

The correct answer is: Seller Morris's concern is valid as the SPIS requires more disclosures than legally mandated.

The correct choice highlights that Seller Morris’s concern about filling out the seller property information statement (SPIS) is valid because the SPIS indeed calls for more disclosures than what is legally mandated. This emphasizes the nature of the SPIS as a tool to provide potential buyers with a comprehensive understanding of the property, including its condition and any issues that may not be required to be disclosed by law. Sellers may feel apprehensive about completing the SPIS due to the potential liability or implications of disclosing certain information about their property. Understanding this context regarding the SPIS can help sellers make informed decisions about filling out the form. While it is designed to protect buyers and enhance transparency in the real estate transaction, it can indeed create uncertainties for sellers who may be wary of sharing too much information that could lead to complications later on. Therefore, Seller Morris's hesitations are grounded in legitimate concerns about the extent of the information that needs to be shared and the potential consequences associated with its disclosure.