Agency
In Tennessee, a listing agent who learns from the seller that the basement floods after heavy rain must:
AKeep this information confidential to protect the seller
BDisclose this material defect to prospective buyers✓ Correct
COnly disclose it if the buyer specifically asks about flooding
DDisclose it only after a contract is signed
Explanation
Material defects — including known flooding issues — must be disclosed to prospective buyers. Failure to disclose known material defects constitutes misrepresentation and violates Tennessee license law.
Related Tennessee Agency Questions
- Tennessee's agency laws require all licensees to avoid 'self-dealing.' Self-dealing means:
- In Tennessee, a broker's duty to a seller under a listing agreement includes all of the following EXCEPT:
- A Tennessee licensee who is offered cash 'under the table' from the seller to steer a buyer away from other listings should:
- An agency relationship is generally terminated by all of the following EXCEPT:
- A buyer's agent in Tennessee who learns the buyer is being transferred and must purchase within 60 days should:
- In Tennessee, an 'open listing' allows the seller to:
- In Tennessee, the duty of confidentiality to a client means the broker may NOT disclose:
- Tennessee's property disclosure laws create what type of duty for the listing agent?
Practice More Tennessee Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free Tennessee Quiz →