An agent representing a buyer learns confidential information about the seller's motivation to sell quickly due to financial hardship. How should this information be handled?
Correct Answer
D) Use the information to negotiate a lower price for their buyer client
When representing a buyer, an agent has a fiduciary duty to use all legally obtained information to benefit their client's position in negotiations. The seller's motivation is relevant market information that can be ethically used to negotiate better terms for the buyer client.
Why This Is the Correct Answer
When representing a buyer, an agent has a fiduciary duty to use all legally obtained information to benefit their client's position in negotiations. The seller's motivation is relevant market information that can be ethically used to negotiate better terms for the buyer client.
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An agent learns that their client's property has undisclosed water damage in the basement. What is the agent's ethical obligation?
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