Agency
In Colorado, a broker acting as a 'transaction broker' is sometimes described as providing 'limited representation' because:
AA. The broker only shows the property once
BB. The broker assists both parties with ministerial tasks without owing full fiduciary duties to either party✓ Correct
CC. The broker charges a lower commission
DD. Only one broker is involved in the transaction
Explanation
A transaction broker provides 'limited representation' — they assist both the buyer and seller with the mechanics of the transaction (document preparation, scheduling, coordination) but do not owe fiduciary duties of loyalty, confidentiality, or undivided loyalty to either party. They owe limited statutory duties: honesty, reasonable care, and accounting.
Related Colorado Agency Questions
- In Colorado, an 'exclusive right-to-sell' listing agreement gives the listing broker:
- Under Colorado's brokerage relationship statutes, which type of relationship is presumed unless otherwise agreed in writing?
- Under Colorado law, a buyer's agent who learns the seller is in financial distress and may accept less than asking price must:
- A Colorado broker is asked to provide a comparative market analysis (CMA) by a potential seller. By providing the CMA, the broker:
- Under Colorado law, which term describes a broker who assists both the buyer and seller in a transaction without representing either as an agent?
- In Colorado, a broker who 'abandons' their client during a transaction by suddenly becoming unavailable or failing to communicate may be found to have:
- In Colorado, a buyer who has not signed a buyer broker agreement and is working informally with a broker is considered:
- A Colorado broker who owes fiduciary duties to the seller should NOT:
Practice More Colorado Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free Colorado Quiz →