Agency
A buyer's broker agreement that includes an 'exclusivity' provision means the buyer agrees to:
AOnly purchase the specific property they are currently viewing
BWork exclusively with that broker for a specified period and not purchase real estate through another broker✓ Correct
CPay a higher commission rate than non-exclusive agreements
DOnly tour properties listed by the buyer's broker's firm
Explanation
An exclusive buyer's agency agreement means the buyer agrees to work only with that specific broker for a defined period. If the buyer purchases a property during that period, the broker is entitled to compensation — even if another agent shows the property.
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Key Terms to Know
Agency
A legal relationship in which a licensee (agent) acts on behalf of a principal (buyer or seller) in a real estate transaction.
Dual AgencyA situation where a single real estate agent or brokerage represents both the buyer and the seller in the same transaction.
Fiduciary DutyThe highest legal duty an agent owes to a principal — requiring the agent to act in the principal's best interest above all others.
Listing AgreementA contract between a property owner and a real estate broker that authorizes the broker to market and sell the property.
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