Humber/Ontario Real Estate Course 1 Exam Practice

Which example does NOT require registration to trade in real estate under the Real Estate and Business Brokers Act (REBBA)?

1. Auctioneers during their auctioneering activities.

2. A financial institution dealing with real estate it owns.

3. Property managers leasing under the Residential Tenancies Act.

4. Salespersons trading on behalf of a brokerage.

5. A lawyer in the course of representing a client.

6. A government official selling expropriated land.

The correct answer is: Auctioneers during their auctioneering activities.

The correct answer identifies auctioneers during their auctioneering activities as the example that does not require registration to trade in real estate under the Real Estate and Business Brokers Act (REBBA). Auctioneers are typically engaged in the process of selling goods, including real estate, in a competitive bidding environment. Their role is primarily to facilitate the auction process, rather than act as a broker or salesperson regarding real estate transactions. Therefore, they operate under different regulations than those governing real estate brokers or salespersons. In contrast, options such as property managers, salespersons trading on behalf of a brokerage, and lawyers representing clients typically require registration because they involve regular real estate trading activities or provide services that require a certain level of expertise and consumer protection. Financial institutions managing their own real estate would still be operating within the purview of REBBA due to the nature of real estate transactions they engage in. Government officials selling expropriated land are often subject to different regulations, but their role also falls under certain trading definitions necessitating oversight.