A Massachusetts real estate consumer, Patricia, meets with salesperson Greg at Greg's office to discuss a specific condominium unit that Greg's brokerage has listed. This is their first in-person meeting about this property. Greg provides Patricia with the mandatory written agency disclosure form, which Patricia reads and signs. Greg then explains that his brokerage represents the seller. Under 254 CMR 3.00, what agency relationship does Greg have with Patricia at this point in time?
Correct Answer
B) Greg represents the seller, and Patricia is an unrepresented customer, not a client
Under 254 CMR 3.00, providing the mandatory written agency disclosure form and explaining that the brokerage represents the seller establishes that Greg is a seller's agent. Patricia, who has not signed a buyer representation agreement and has not been offered or accepted buyer representation, is an unrepresented customer (also called a customer, not a client). Greg owes Patricia honesty and disclosure of material facts but does not owe her the full fiduciary duties of a buyer's agent.
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Related Topics & Key Terms
Key Terms:
Related Concepts
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.
An agency relationship created by a clear, explicit agreement between the principal and agent, either orally or in writing.
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