An Alberta real estate agent discovers their brokerage is also the property manager for a building where they are showing units to buyers. What disclosure is required?
Correct Answer
C) Written disclosure of the potential conflict of interest
RECA requires written disclosure of any potential conflicts of interest, including when a brokerage has multiple business relationships that could affect the transaction. This ensures buyers can make informed decisions.
Why This Is the Correct Answer
Option C is correct because RECA regulations mandate written disclosure of all potential conflicts of interest. When a brokerage serves as both the buyer's representative and the property manager, this creates a material conflict that must be disclosed in writing. The Real Estate Act requires agents to act in their clients' best interests, and written disclosure ensures buyers understand the brokerage's dual role and can make informed decisions about proceeding with the transaction.
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