Humber/Ontario Real Estate Course 2 Exam Practice

What is a buyer's option under an Agreement of Purchase and Sale signed under seal?

1. The buyer has the option to withdraw the offer at any point up to the time that the seller accepts it.

2. The buyer cannot withdraw the offer once it has been presented to the seller.

3. The buyer can withdraw the offer once it has been presented to the seller, but only if there are competing offers.

4. The buyer must clearly understand that the irrevocable clause becomes binding immediately upon signing the agreement.

5. The buyer can only modify the offer price but not the terms.

6. The buyer can withdraw the offer only after 24 hours.

The correct answer is: The buyer has the option to withdraw the offer at any point up to the time that the seller accepts it.

When an Agreement of Purchase and Sale is signed under seal, the buyer has the option to withdraw the offer at any point up to the time that the seller accepts it. This means that until the seller officially accepts the offer, the buyer can change their mind and revoke the offer without any consequences. Options B, C, D, E, and F are incorrect because under an Agreement of Purchase and Sale signed under seal, the buyer does not have the limitations or conditions stated in those options.