Humber/Ontario Real Estate Course 1 Exam Practice

In real estate, the term 'three-way relationship' commonly refers to:

1. The agency relationship involving brokerages, brokers, and salespersons.

2. Organized real estate.

3. The relationship between RECO, OREA, and CREA.

4. The legal relationship set out by a sole proprietorship, partnership, and corporation.

5. The relationship among buyers, sellers, and brokerages.

6. The connection between real estate agents, clients, and regulatory bodies.

The correct answer is: Organized real estate.

The term 'three-way relationship' in real estate typically refers to the connection among buyers, sellers, and brokerages. This relationship is foundational to real estate transactions, as it encapsulates the dynamic interactions that occur in a transaction where the brokerage acts as an intermediary facilitating communication and agreements between the buyer and seller. In this context, the brokerage plays a crucial role in representing either the buyer or the seller, guiding them through the process and ensuring that all parties are informed and aligned on the terms of the sale. This triadic relationship underscores the importance of open communication and mutual trust among all stakeholders involved in a real estate transaction, which is essential for facilitating successful deals and maintaining integrity in the market. The other options represent distinct relationships or configurations within the real estate sector but do not align with the concept of a 'three-way relationship.' Each alternative outlines different aspects of real estate operations or relationships that do not specifically focus on the buyer-seller-brokerage interaction. This understanding highlights why the correct answer focuses on the integral relationships that form the backbone of real estate transactions.