Wisconsin Real Estate License FREE Wisconsin Real Estate License Contracts and Approved Forms Questions and Answers 2 — Questions and Answers
Question 1: Under Wisconsin law, which approved form must be used when a buyer wants to make an offer contingent on the sale of their current property?
- Contingency for Sale of Buyer's Property addendum (Correct answer)
- Notice of Buyer's Termination
- Inspection Contingency addendum
- Counter-Proposal form
Correct answer: Contingency for Sale of Buyer's Property addendum
The WB-40 Contingency for Sale of Buyer's Property addendum is the approved form for making an offer contingent on the buyer selling their existing property.
Question 2: In a Wisconsin WB-11 Residential Offer to Purchase, what happens if the buyer fails to deliver earnest money within the time specified?
- The offer becomes voidable at the seller's option (Correct answer)
- The offer is automatically void
- The buyer must pay a penalty fee
- The seller must extend the deadline by 5 days
Correct answer: The offer becomes voidable at the seller's option
If earnest money is not delivered within the specified time, the seller may void the offer, but it is not automatically terminated.
Question 3: Which Wisconsin approved form is used to amend the terms of an accepted offer to purchase after mutual acceptance?
- WB-40 Amendment to Offer (Correct answer)
- WB-41 Notice Relating to Offer to Purchase
- WB-44 Counter-Proposal
- WB-45 Cancellation Agreement
Correct answer: WB-40 Amendment to Offer
The WB-40 Amendment to Offer is the approved form used to modify terms of an already-accepted offer with both parties' consent.
Question 4: When must a Wisconsin real estate licensee provide a buyer with the approved Consumer Notice form?
- At the first substantive contact with the buyer (Correct answer)
- At the time of writing an offer
- After the offer has been accepted
- Only if the buyer requests representation
Correct answer: At the first substantive contact with the buyer
Wisconsin Administrative Code requires licensees to provide the Consumer Notice at the time of first substantive contact with a prospective buyer.
Question 5: In a Wisconsin commercial real estate transaction, which approved form is used instead of the WB-11?
- WB-15 Commercial Offer to Purchase
- WB-14 Commercial Offer to Purchase (Correct answer)
- WB-12 Commercial Listing Contract
- WB-13 Commercial Offer to Purchase
Correct answer: WB-14 Commercial Offer to Purchase
The WB-14 is the approved form for commercial offers to purchase in Wisconsin, distinct from the residential WB-11.
Question 6: What is the primary purpose of the WB-36 Buyer Agency/Tenant Representation Agreement in Wisconsin?
- To establish exclusive buyer agency representation (Correct answer)
- To disclose dual agency to the buyer
- To terminate a listing agreement
- To authorize a licensee to show properties only
Correct answer: To establish exclusive buyer agency representation
The WB-36 establishes the terms of exclusive buyer agency representation between the buyer and the brokerage firm.
Wisconsin Real Estate License FREE Wisconsin Real Estate License Contracts and Approved Forms Questions and Answers 2
Under Wisconsin law, which approved form must be used when a buyer wants to make an offer contingent on the sale of their current property?