Agency
A buyer is shown a home by the listing agent. Later the buyer returns and asks the listing agent to help write an offer. The listing agent should:
ARefuse to write the offer and refer the buyer to another agent
BExplain the agency relationship options, obtain necessary written consents for dual agency (or designated agency), and then assist as appropriate✓ Correct
CProceed without disclosure since the buyer is already familiar with the home
DTell the buyer to hire their own attorney instead
Explanation
The listing agent must fully disclose the agency relationship, explain dual agency and its implications, obtain written informed consent from both parties, and only proceed after all disclosures and consents are in place.
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Related Arkansas Questions
- In Arkansas, which written document typically establishes the seller's agency relationship with a listing broker?Agency
- The agency relationship between a listing broker and seller is typically created by:Agency
- What does it mean when a listing agent is said to have an 'exclusive' agency relationship with the seller?Agency
- In a traditional seller agency relationship, the licensee's fiduciary duties run primarily to:Agency
Key Terms to Know
Agency
A legal relationship in which a licensee (agent) acts on behalf of a principal (buyer or seller) in a real estate transaction.
Dual AgencyA situation where a single real estate agent or brokerage represents both the buyer and the seller in the same transaction.
Fiduciary DutyThe highest legal duty an agent owes to a principal — requiring the agent to act in the principal's best interest above all others.
Listing AgreementA contract between a property owner and a real estate broker that authorizes the broker to market and sell the property.
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