AgencyIntermediateCalifornia Exam

Subagency in real estate refers to:

AA second agent hired after the first agent quits, as commonly applied in brokerage relationships
BAn agent who represents the seller through cooperation with the listing brokerCorrect
CAn unlicensed assistant helping a licensed agent, consistent with typical listing agreement terms
DA property manager who works under a broker, per standard fiduciary practice in the industry

Why An agent who represents the seller through cooperation with the listing broker Is Correct

Answer B: An agent who represents the seller through cooperation with the listing broker

Historically, cooperating brokers/buyer's agents were subagents of the listing broker (and therefore the seller). Today, most buyer's agents represent the buyer, not the seller, but subagency can still exist by agreement.

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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