Question

Before showing a property, allowing a buyer to sign an offer to buy, or a seller to sign a listing agreement, a licensee must provide the party with a written brokerage relationship form when acting in the capacity of ________ _______, _______ relationship.

1. single agency
2. no brokerage

Answer 1

A licensee must provide a written brokerage relationship disclosure in the capacity of either a single agency or a no brokerage relationship before engaging in certain real estate activities to ensure that the individual or firm understands their rights and obligations in the contract regarding their property.

Step-by-step explanation:

Before showing a property, accepting an offer to buy, or signing a listing agreement, a licensee (real estate agent) must provide the involved party with a written brokerage relationship disclosure, when acting in the capacity of a single agency or under a no brokerage relationship. This property refers to the right of the involved party, either an individual or a firm, to enter into contracts concerning their property—that is, they must own the property to legally enter into a contract regarding it.

In the case of a single agency, the agent represents either the buyer or the seller, but not both. In a no brokerage relationship, the agent does not represent either the buyer or the seller. Either way, this disclosure ensures that the party is fully informed of the type of relationship they are entering with the agent and the associated rights and obligations.