AgencyIntermediateCalifornia Exam

A seller's agent who learns the seller is willing to accept less than the listing price must:

ADisclose this to the buyer immediately, per standard fiduciary practice in the industry
BKeep this information confidential from the buyerCorrect
CReport it to the DRE, under standard California agency practice
DDisclose it in the MLS listing, as commonly applied in brokerage relationships

Why Keep this information confidential from the buyer Is Correct

Answer B: Keep this information confidential from the buyer

The duty of confidentiality requires a seller's agent to keep the seller's bottom-line price confidential from buyers. Disclosing it would be a breach of fiduciary duty.

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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