Affiliate Broker Tennessee (TN PSI) National Practice Exam `

When Moira has delivered a counter-offer to potential buyers, by when must they respond?

1. By the end of the week

2. Whenever they want

3. By the time and date specified in the counter-offer

4. Within 24 hours

The correct answer is: By the time and date specified in the counter-offer

The correct answer is that the potential buyers must respond by the time and date specified in the counter-offer. A counter-offer is essentially a new offer made in response to an original offer, and it creates a new set of terms for the negotiation. When a counter-offer is issued, it typically includes specified terms, including the timeframe in which the other party is expected to respond. This timeframe is crucial because it establishes a deadline, ensuring that both parties are clear about the period in which negotiations can continue. Responding within this specified timeframe helps maintain clarity and momentum in the transaction process, and it shows respect for the efforts made by both sides to reach an agreement. While other answers may imply flexibility in timing or set arbitrary deadlines, they do not reflect the formal requirements that are standard in real estate negotiations. The established timeframe from the counter-offer ensures both parties remain aligned and aware of their obligations in the negotiation process.