Agent Maria represents seller John in listing his Phoenix home for $450,000. During negotiations, the buyer's agent asks Maria if John would accept $420,000. John previously told Maria confidentially that he would accept any offer above $415,000 due to financial difficulties. How should Maria respond?
Correct Answer
C) Tell the buyer's agent to submit the offer and she will present it to her client
The correct answer is C. Maria must maintain client confidentiality and cannot disclose John's confidential information about his minimum acceptable price or financial situation. She should encourage all offers to be submitted in writing for proper presentation. Option A is incorrect because it violates client confidentiality by revealing John's minimum price. Option C is incorrect because it could harm her client's interests by encouraging a higher offer when the current offer might be acceptable. Option D is incorrect because it breaches confidentiality by disclosing personal financial information.
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Related Topics & Key Terms
Key Terms:
Related Concepts
In real estate, a client is someone to whom the agent owes fiduciary duties through an agency relationship, while a customer is a third party to whom the agent owes only honesty and fair dealing.
An arrangement where a brokerage assigns separate agents within the firm to represent the buyer and seller in the same transaction, allowing each client to have dedicated representation.
A situation where a single agent or brokerage represents both the buyer and the seller in the same real estate transaction.
More Az Agency Disclosures Questions
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