A Colorado buyer signs a buyer agency agreement. The buyer's agent learns the seller is in financial distress and must sell quickly. Must the buyer's agent disclose this to the buyer?
Why Yes, this is material information beneficial to the buyer that the agent must disclose Is Correct
Answer B: Yes, this is material information beneficial to the buyer that the agent must disclose
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
A legal relationship in which a licensee (agent) acts on behalf of a principal (buyer or seller) in a real estate transaction.
Buyer's AgentA real estate licensee who represents the buyer's interests in a transaction, owing fiduciary duties to the buyer.
LienA financial claim against a property that serves as security for a debt or obligation, giving the creditor the right to foreclose if unpaid.
People Also Study
Related Colorado Questions
- A Colorado listing broker discovers a material defect after the listing agreement is signed. Under the seller's agency, the broker's duty is to:Agency
- A Colorado buyer's agent's duty to promptly communicate all offers and relevant information to their client reflects:Agency
- Under Colorado law, a buyer's agent who learns the seller is in financial distress and may accept less than asking price must:Agency
- A Colorado broker who fails to disclose a known material fact about the property has potentially breached which duty?Agency
- A Colorado listing contract gives the broker the exclusive right to sell. The sellers find their own buyer independently. Under an exclusive right-to-sell listing:Contracts
- A Colorado property is sold for $525,000 with a 5.5% commission. The listing broker and buyer's broker split the commission 50/50. The listing associate receives 60% of their office's share. How much does the listing associate earn?Real Estate Math
- A Colorado commercial tenant occupies 2,000 sq ft in a 10,000 sq ft building. Under a net lease, they pay their pro-rata share of property taxes of $25,000/year. What is the tenant's annual tax contribution?Real Estate Math
- A Colorado seller tells their broker they don't want to sell to buyers with school-age children. The broker should:Fair Housing
Key Terms to Know
A legal relationship in which a licensee (agent) acts on behalf of a principal (buyer or seller) in a real estate transaction.
Buyer's AgentA real estate licensee who represents the buyer's interests in a transaction, owing fiduciary duties to the buyer.
LienA financial claim against a property that serves as security for a debt or obligation, giving the creditor the right to foreclose if unpaid.
Listing AgreementA contract between a property owner and a real estate broker that authorizes the broker to market and sell the property.
Study This Topic
Practice More Colorado Real Estate Questions
1,400+ questions covering all exam topics. Start free — no signup required.
Take the Free Colorado Quiz →