Idaho Real Estate Practice Exam

What must be true about a seller representation agreement in Idaho?

1. It can be verbal

2. It may allow for multiple listings

3. It requires a general market report

4. It must be documented and acknowledged in writing

The correct answer is: It must be documented and acknowledged in writing

In Idaho, a seller representation agreement must be documented and acknowledged in writing to be enforceable. This requirement ensures that both the seller and the broker have a clear understanding of their rights and obligations. A written agreement protects the interests of both parties by providing a formal record of the terms agreed upon, which can include the services that the broker will provide, the commission structure, and any other specific duties related to the sale of the property. Having a written agreement also safeguards against disputes that may arise regarding the terms of the representation, as it serves as a tangible reference that outlines the conditions of the relationship between the seller and the broker. This principle is in line with the regulations governing real estate practices in many states, including Idaho, which emphasize the importance of written documentation in professional agreements. In contrast, the other options do not correctly reflect the requirements for seller representation in Idaho. While verbal agreements may occur, they lack the legal standing and clarity that's provided by a written agreement. Furthermore, allowing for multiple listings is situational and would depend on the specific terms in the agreement rather than being a definitive feature of all seller representation agreements. A general market report, while potentially useful, is not a mandatory requirement for the validity of the agreement. Hence, the necessity