Humber/Ontario Real Estate Course 2 Exam Practice

What must an advertisement featuring commission rates as low as a specific percentage include?

1. A clear disclosure to explain terms

2. Details about comparable dollar amounts

3. Information about average commission rates

4. Just the percentage, as it is unambiguous

The correct answer is: A clear disclosure to explain terms

In Ontario, an advertisement featuring commission rates as low as a specific percentage must include a clear disclosure to explain terms. This requirement is in place to ensure that consumers are informed about the conditions and terms associated with the advertised commission rate. By providing a clear disclosure, potential clients can understand any limitations, exclusions, or qualifying factors that may apply to the stated percentage. This transparency helps in preventing misunderstandings or misinterpretations during real estate transactions. Options B, C, and D are not mandatory requirements when advertising commission rates in Ontario. Details about comparable dollar amounts, information about average commission rates, and just listing the percentage without any clarification may not provide consumers with enough context or understanding of the actual terms and conditions associated with the advertised rate. Therefore, option A, which mandates a clear disclosure to explain terms, is the correct choice in this scenario.