A seller instructs their listing agent to share the property's listing price only with the seller and the listing agent, and to withhold it from cooperating agents who have buyer clients. The property has been submitted to the MLS as an active listing. Under California MLS rules and ethical standards, how should the listing agent respond?
Correct Answer
C) Refuse, because withholding the price from cooperating agents on an active MLS listing violates MLS rules and undermines the seller's interest in maximum market exposure
Once a property is submitted as an active listing on the MLS, MLS rules — including NAR's Clear Cooperation Policy — require that the listing price be made available to all MLS participants. Withholding the price from cooperating agents with buyer clients directly limits market exposure, which conflicts with the listing agent's fiduciary duty to the seller under Cal. Civil Code §2079.16 to act in the seller's best interest. The agent should counsel the seller that this instruction is inconsistent with MLS participation rules and could harm the seller's ability to obtain the best price.
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Related Topics & Key Terms
Key Terms:
Related Concepts
Fair housing laws apply to a broad range of activities related to housing, including sale, rental, financing, and advertising.
A seller's disclosure statement is a form that sellers complete to inform buyers about the condition and history of the property, including known defects, past repairs, insurance claims, and environmental issues.
Many states and localities have fair housing laws that expand upon the protections offered by the federal Fair Housing Act.
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