What should a broker do if a server, who is not a real estate licensee, provides a lead for a home sale?

Prepare for the Hawaii Real Estate Salesperson Exam effectively. Study with our engaging quiz featuring flashcards and multiple-choice questions, complete with hints and detailed explanations. Get ready to ace your exam with confidence!

When a broker receives a lead from a server who is not a licensed real estate salesperson, the broker must comply with Hawaii's real estate laws, which state that only licensed individuals can receive compensation for real estate transactions. Therefore, the broker is prohibited from paying the server for the lead because the server does not hold a valid real estate license. This underscores the regulatory framework designed to protect consumers and ensure that individuals involved in real estate activities are qualified and accountable.

In contrast, the other options suggest various scenarios under which compensation might be paid, but they do not align with the legal requirements. For instance, paying a server after funds are released from escrow or after the sale closes would still involve compensating an unlicensed individual, which is not permitted. Similarly, paying upon the signing of a valid sales contract does not change the fact that the server is not licensed to receive payment for such referrals. Hence, the correct course of action for the broker is to refrain from any payment to the server for the lead, ensuring compliance with legal standards in the industry.

Subscribe

Get the latest from Examzify

You can unsubscribe at any time. Read our privacy policy