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You have been provided a solid sales lead by your office, and have set up an appointment with the vendors. Before attending the appointment, you purchase a title search which shows that the property's registered owners are John Brown and Elizabeth Brown as joint tenants. When you arrive at the appointment, only Elizabeth is at home.
She tells you that John is quite happy for you to deal with her, and that he trusts her judgement.
1. How do you respond to this statement?
2. 30 minutes into the appointment, John shows up and joins yourself and Elizabeth. You discuss with them that you have appraised their property at $485k. John tells you they want at least $520k. You enter the $485k as the agent's estimate of price, and $520k as the vendor asking price. What is the PMAP (prescribed minimum advertised price)? Why? What does the PMAP mean in this case?
3. While filling in the sales agency agreement, you discuss the method of sale with John and Elizabeth. You suggest that the property should be sold at auction, however Elizabeth is strongly opposed to this idea. John is happy with going to auction. How would you handle this situation?
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