What happens to money and property related to a transaction after a brokerage agreement ends?

The correct response indicates that the licensee must account for any money and property related to a transaction after a brokerage agreement concludes. When a brokerage agreement ends, any funds held in a trust account or money collected in connection with that agreement must still be tracked and appropriately managed. This is crucial for ensuring that all parties involved, including buyers, sellers, and the brokerage, can see clear records of transactions and arrangements.

This accountability is important because it protects clients and ensures compliance with legal and ethical standards in real estate transactions. Licensees have a responsibility to handle and account for client funds transparently, reflecting their obligations under real estate laws and regulations.

The other choices do not accurately describe the responsibilities of a licensee at the termination of a brokerage agreement. For example, money does not automatically get transferred to the buyer, nor is it simply kept by the sponsoring broker without proper accounting. Forfeiture to the state would only occur under specific circumstances outlined by law, which does not apply at the end of a standard brokerage agreement. Proper accounting safeguards against misuse or misallocation of funds and maintains the trust of clients in the real estate process.