If a seller complains about their agent showing competing properties, what is true?

Study for the Rockwell Fundamentals Test. Utilize flashcards and multiple-choice questions with explanations. Be fully prepared for your exam experience!

The assertion that the seller's agent is not breaching the duty of loyalty is grounded in the understanding of the agent's responsibilities and the nature of real estate transactions. In most circumstances, agents are tasked with representing the interests of their clients while also adhering to ethical and legal standards. Showing competing properties does not inherently violate the duty of loyalty, as agents are often required to explore various options for their clients to best serve their needs.

In practice, agents will show competing listings to provide a broader market perspective, which ultimately benefits the seller by allowing them to compare properties and understand their competition. This also aids in setting a competitive price for their own property. The duty of loyalty, while critical, is interpreted within the context of acting in the best interests of the client, which can include presenting multiple options.

The concept of a conflict of interest may arise under different circumstances, but merely showing competing properties—when done ethically and transparently—does not constitute such a conflict unless the agent has a personal stake in those properties or benefits in a way that compromises their client's interests. Additionally, showing competing properties with permission could be relevant depending on the specifics, but it's not a universal requirement as long as the agent operates within the agreed-upon duties and scope of representation

Subscribe

Get the latest from Examzify

You can unsubscribe at any time. Read our privacy policy