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Authorized Relationships DisclosuresNo_brokerage_relationshipEASY

Broker Chen is working with a buyer under no brokerage relationship. During a property showing, the buyer notices a crack in the foundation and asks Chen if this is a serious structural issue. What should Chen do?

Correct Answer

B) Recommend the buyer consult with a qualified structural engineer

Correct: Under no brokerage relationship, the licensee cannot provide opinions or advice and should refer the buyer to qualified professionals. Why not A: Giving opinions exceeds ministerial acts and could create liability. Why not C: Researching and providing analysis would constitute advice. Why not D: The listing agent's opinion would not be appropriate professional guidance.

Answer Options
A
Give an opinion based on experience with similar properties
B
Recommend the buyer consult with a qualified structural engineer
C
Research comparable properties with similar issues
D
Contact the listing agent for their opinion

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Related Topics & Key Terms

Key Terms:

no_brokerage_relationshipproperty_defectsprofessional_referrals
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