Idaho Real Estate Practice Exam

In the context of real estate transactions, what does the term "vendor" refer to?

1. The buyer of the property

2. The seller of the property

3. A real estate agent

4. A bank or financial institution

The correct answer is: The seller of the property

In real estate transactions, the term "vendor" specifically refers to the seller of the property. This terminology is commonly used in various legal and industry contexts, indicating the party that offers the property for sale and has ownership rights over it. The vendor is responsible for conveying the property title to the buyer, who is often referred to as the "vendee." Understanding this terminology is essential for anyone involved in real estate, as it helps clarify the roles and responsibilities of the parties in a transaction. The other options represent different roles within a real estate transaction. The buyer, typically known as the vendee, stands on the opposite side of the transaction from the vendor. A real estate agent serves as an intermediary and does not actually own the property being sold. Banks or financial institutions are involved as potential lenders but do not typically have ownership of the property being transferred. This distinction reinforces the understanding that the vendor is specifically the seller in the context of real estate transactions.