Agent Rachel is working with buyer couple, the Nguyens, helping them search for a home in Newark, Delaware. The Nguyens tell Rachel in confidence that they are willing to pay up to $380,000 for the right property, but they want to start with an offer of $350,000. Rachel finds a property listed by a different brokerage. In this scenario, what is Rachel's agency relationship with the Nguyens?
Correct Answer
C) Rachel is the Nguyens' buyer's agent, owing them full fiduciary duties including confidentiality
Under 24 Del. C. § 2973, Rachel is acting as the Nguyens' buyer's agent and owes them full fiduciary duties, including the duty of confidentiality. This means Rachel must not disclose the Nguyens' maximum price of $380,000 or their negotiating strategy to the seller or listing agent. The fact that the property is listed by a different brokerage does not change Rachel's agency status with her buyer clients.
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Related Topics & Key Terms
Key Terms:
Related Concepts
The legal obligation to reveal information that could affect a party's decision to enter into or the terms of a real estate transaction.
The extent of power and actions an agent is authorized to perform on behalf of the principal, as defined by the agency agreement.
The fiduciary obligations owed by a listing agent to the seller, including marketing the property, presenting all offers, and protecting the seller's confidential information.
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