Final answer:
Disclosure is required when a mortgage broker also serves as the real estate broker in a transaction. This ensures transparency, prevents conflicts of interest, and is consistent with ethical standards in real estate practices.
Step-by-step explanation:
When a mortgage broker is also the real estate broker in a residential real estate transaction, this dual role must indeed be disclosed. This requirement is part of the transparency and ethical standards expected in real estate and lending practices. Such disclosure is necessary to prevent conflicts of interest and to ensure that all parties involved in the transaction are aware of any potential biases or dualities in representation.
The information regarding government monitoring for loans, as mentioned, is for ensuring compliance with equal credit opportunity, fair housing, and home mortgage disclosure laws. While this is separate from the requirement to disclose a dual role as a mortgage and real estate broker, it does reflect the overarching principle of providing necessary information for fair and lawful practices in finance-related activities.