Prime Realty has established designated agency for a transaction where agent Sullivan represents the seller and agent Patel represents the buyer. The buyer asks agent Patel if the seller would accept a lower price. How should Patel respond under Georgia designated agency law?
Correct Answer
D) Advise the buyer to make an offer at the price they're comfortable with
Correct: D - Advise the buyer to make an offer at the price they're comfortable with. Under designated agency in Georgia (O.C.G.A. § 43-40-25), agent Patel should advise the buyer to make an offer at their comfort level rather than trying to obtain confidential seller information. Why not A: This option is incorrect because "Ask the broker to find out the seller's minimum acceptable price" does not match the rule tested by the question. The correct answer is "Advise the buyer to make an offer at the price they're comfortable with". Under designated agency in Georgia (O.C.G.A. § 43-40-25), agent Patel should advise the buyer to make an offer at their comfort level rather than trying to obtain confidential seller information. Why not B: This option is incorrect because "Tell the buyer that designated agents cannot discuss pricing strategies" does not match the rule tested by the question. The correct answer is "Advise the buyer to make an offer at the price they're comfortable with". Under designated agency in Georgia (O.C.G.A. § 43-40-25), agent Patel should advise the buyer to make an offer at their comfort level rather than trying to obtain confidential seller information. Why not C: This option is incorrect because "Contact agent Sullivan directly to discuss the seller's price flexibility" does not match the rule tested by the question. The correct answer is "Advise the buyer to make an offer at the price they're comfortable with". Under designated agency in Georgia (O.C.G.A. § 43-40-25), agent Patel should advise the buyer to make an offer at their comfort level rather than trying to obtain confidential seller information.
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Related Topics & Key Terms
Key Terms:
Related Concepts
The highest legal obligation of trust and confidence owed by an agent to their principal, requiring the agent to act solely in the principal's best interest.
An agency relationship where the agent agrees to act on behalf of the principal without receiving compensation.
An agency relationship created by the conduct or actions of the parties rather than by a written or oral agreement.
More Ga Agency Brreta Questions
Under Georgia's BRRETA, which statement accurately describes a broker's obligations regarding confidential information when a dual agency relationship has been established?
Agent Lisa represents buyer Kevin under a written buyer brokerage engagement. During their property search, they encounter a home listed by Lisa's brokerage where Lisa would be the dual agent. What disclosure requirements must Lisa fulfill?
Under Georgia law, which of the following best describes how dual agency is created and what is required for it to be valid?
A Georgia broker realizes mid-transaction that dual agency may have been created without proper consent. Under BRRETA, which statement correctly addresses the consent requirements for dual agency?
In Georgia, when can a brokerage firm establish designated agency?
- → Under Georgia's BRRETA, which of the following accurately describes the legal effect of performing ministerial acts for a party in a real estate transaction?
- → Under Georgia's BRRETA, which of the following best describes the duties a licensee owes to a customer (a party who has NOT entered into a brokerage engagement)?
- → A newly licensed Georgia agent asks her broker to explain the primary obligation that distinguishes designated agency from dual agency when a single firm represents both parties. Which answer best describes this key distinction?
- → Under Georgia's BRRETA, which statement accurately describes the relationship between compensation and brokerage status?
- → Under BRRETA, which statement correctly describes the scope and effect of ministerial acts performed by a Georgia licensee?
- → Agent Sarah is working as a transaction broker for both buyer and seller in a residential sale. The buyer asks Sarah what she thinks the property is worth compared to the listing price. Under BRRETA, how should Sarah respond?
- → Under Georgia's BRRETA, which statement about dual agency is NOT correct?
- → Under Georgia's BRRETA, what distinguishes a 'client' from a 'customer' in a real estate transaction?
- → Under BRRETA, if a brokerage relationship needs to change from one type to another during the course of a transaction, what does Georgia law require?
- → A Georgia brokerage firm uses designated agency, assigning Agent Lopez to represent the seller and Agent Marsh to represent the buyer. Agent Lopez unexpectedly becomes unavailable mid-transaction. Which statement best describes the firm's obligations under BRRETA?
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