Question

In this hypothetical, is it permissible for a listing associate to negotiate the sale of her own listing to a buyer whom she also represents through her broker?

A) No. The listing associate may never negotiate any sale for their own listing.
B) No. The listing associate may not negotiate because one of the parties would have been at a disadvantage.
C) Yes. The listing associate may negotiate any sale with anyone they wish to get the property sold.
D) Yes. The listing associate may negotiate any sale so long as there are two brokers involved.

Answer 1

The answer is B) No. The listing associate may not negotiate because one of the parties would have been at a disadvantage.

Step-by-step explanation:

The correct answer to this question is B) No. The listing associate may not negotiate because one of the parties would have been at a disadvantage.

When a listing associate represents both the seller and the buyer in a transaction, it is called dual agency. While dual agency is allowed in some states, the listing associate is still required to act in the best interests of both parties.

If the listing associate were to negotiate the sale of her own listing to a buyer she also represents, it could create a conflict of interest. One of the parties may not receive the fair representation and advocacy they deserve. This is why it is generally considered unethical for a listing associate to negotiate the sale of her own listing to a buyer she also represents.