In the context of dual agency, who must the agent disclose representation to?

In the context of dual agency, who must the agent disclose representation to?

• A. Only the buyer
• B. Only the seller
• C. All parties involved in the transaction
• D. Only the mortgage lender

Answer: (C)

In the context of dual agency, the agent must disclose representation to all parties involved in the transaction. This requirement arises from the need for transparency and fairness in real estate dealings. When an agent represents both the buyer and the seller in a transaction, it is crucial for the agent to inform both parties of their dual role to avoid any conflicts of interest and ensure that both parties can make informed decisions. By disclosing dual agency, the agent helps to clarify their responsibilities and the potential limitations of the representation being offered. This disclosure allows both the buyer and seller to understand that the agent has obligations to both sides, which can affect negotiations and the flow of information. Therefore, full disclosure to all involved parties maintains trust and upholds ethical standards in real estate transactions.

In the context of dual agency, the agent must disclose representation to all parties involved in the transaction. This requirement arises from the need for transparency and fairness in real estate dealings. When an agent represents both the buyer and the seller in a transaction, it is crucial for the agent to inform both parties of their dual role to avoid any conflicts of interest and ensure that both parties can make informed decisions.

By disclosing dual agency, the agent helps to clarify their responsibilities and the potential limitations of the representation being offered. This disclosure allows both the buyer and seller to understand that the agent has obligations to both sides, which can affect negotiations and the flow of information. Therefore, full disclosure to all involved parties maintains trust and upholds ethical standards in real estate transactions.