If a licensee makes a promise in order to induce anyone to purchase, what two elements must it include?

• A. In writing and include the other party's signature
• B. In writing only
• C. Must be notarized
• D. Must be approved by RE Council

Answer: (A)

The key idea is that promises designed to induce someone to buy must be clearly documented and consented to. Specifically, the licensee’s promise must be in writing and must include the other party’s signature. Having it in writing creates a definite record of what is being promised, the terms, and the intent to induce the purchase, which helps prevent misunderstandings and misrepresentation. Requiring the other party’s signature provides actual assent to the inducement, showing they agree to the promise and its terms.

Notarization isn’t required for this purpose, and approval by the Real Estate Council isn’t a step in making the promise valid. If the promise is only spoken, there’s no binding record or verified consent.