Final answer:
A mortgage broker must use a dual agency disclosure form when representing both the buyer and seller in a transaction, disclosing the potential conflict of interest to get informed consent from both.
Step-by-step explanation:
In real estate transactions, a mortgage broker must use a dual agency disclosure form when they are representing both the buyer and the seller in the transaction. This situation is referred to as dual agency, and it requires the broker to obtain informed consent from both parties, disclosing the potential conflict of interest. Dual agency can be complex and is regulated by state laws, so the specific circumstances under which a dual agency disclosure is required can vary. However, the overarching principle is that all parties should be fully informed when a broker has a dual relationship in a single transaction.
The Information for Government Monitoring Purposes section you've provided is more commonly associated with the loan application process, rather than dual agency disclosures. This section is designed to ensure compliance with fair lending laws by collecting demographic information in a way that prevents discrimination.