Final answer:
A firm practicing designated agency must disclose the name of the agent representing the buyer to the seller at the time the offer is submitted to the seller. This ensures transparency and helps identify any potential conflicts of interest in the transaction. Option D is correct.
Step-by-step explanation:
In the realm of real estate transactions, the practice of designated agency involves the independent representation of both the buyer and the seller by two agents within the same brokerage. A critical aspect of maintaining transparency and upholding the integrity of agency relationships in this model is the timely disclosure of the agent representing the buyer to the seller. This disclosure is paramount and should occur precisely when the offer is submitted to the seller.
Designated agency aims to provide distinct representation for both parties involved in a real estate transaction, emphasizing the importance of clear communication and transparency. By disclosing the identity of the buyer's agent to the seller at the point of offer submission, potential conflicts of interest are identified, and both parties can navigate the transaction process with a comprehensive understanding of the agency relationships at play.
This disclosure ensures that the rights of each party are respected throughout the real estate transaction, fostering an environment of trust and ethical conduct. Establishing clarity in agency representation at the outset of the offer submission underscores the commitment to fair dealing, allowing for informed decision-making by all parties involved in the real estate transaction.