AgencyIntermediateArizona Exam

The agency relationship between a broker and client is MOST commonly created by:

AVerbal agreement only
BA listing agreement or buyer broker agreementCorrect
CThe act of showing a property
DThe MLS listing alone

Why A listing agreement or buyer broker agreement Is Correct

Answer B: A listing agreement or buyer broker agreement

Agency is most commonly established through a written employment agreement — a listing agreement for sellers or a buyer broker agreement for buyers — which defines the relationship and scope of authority.

Exam Tip: Agency

Agency questions are among the most tested on the exam. Focus on the difference between client and customer, and memorize the fiduciary duties (OLD CAR). Watch for questions that try to blur the line between a general agent and a special agent.

Key Agency Terms in This Question

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