Agency
If a New Mexico seller instructs their agent not to disclose a roof leak to buyers, the agent should:
AFollow the seller's instructions to protect confidentiality
BRefuse to withhold material facts from buyers and potentially withdraw from the listing✓ Correct
CDisclose it only to buyers who specifically ask about roof condition
DInclude it in an addendum that only the seller signs
Explanation
An agent cannot follow a client's instructions to withhold material defects from buyers. Doing so would violate the agent's duty to buyers (honest dealing) and potentially constitute fraud. The agent may need to withdraw.
Related New Mexico Agency Questions
- An exclusive right-to-sell listing in New Mexico means:
- Which of the following duties does a New Mexico transaction broker owe to both parties?
- A New Mexico listing expires without a sale. The seller then sells to a buyer who the listing broker introduced during the listing period. The listing broker is entitled to a commission if the listing agreement contained a(n):
- Under New Mexico law, a listing broker owes which duties to an unrepresented buyer?
- Which fiduciary duty requires a New Mexico agent to act in the client's best financial interest even at the expense of the agent's own financial gain?
- In New Mexico, a subagent is a licensee who:
- In New Mexico, which of the following would terminate an agency relationship by operation of law?
- In New Mexico, which of the following is an example of an agent properly fulfilling their duty of 'disclosure' to a buyer client?
Practice More New Mexico Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free New Mexico Quiz →