medium · National Real Estate Exam agency

A buyer's agent is helping a client find a property. The agent sees a house that fits the buyer's needs but discovers it is owned by the agent's own parents.

What is the agent's fiduciary obligation?

  1. The agent only needs to disclose the family relationship if the buyer directly asks about it.
  2. The agent must disclose the relationship to the listing broker only, not the buyer.
  3. The agent should decline to show the property entirely to avoid any conflict of interest.
  4. The agent must disclose the family relationship to the buyer before the buyer makes an offer.

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