Brian is a buyer's agent representing client Linda who wants to purchase a condominium unit in a new development in Queens. The developer is offering a 421-a tax abatement that will expire in 8 years. Linda asks Brian to explain how this will affect her future carrying costs. What should Brian advise Linda?
Correct Answer
B) Linda should consult with a tax professional to understand the specific impact of the expiring abatement on her future tax obligations
The 421-a tax abatement is a complex tax benefit that phases out over time, and its expiration will significantly impact Linda's future property tax obligations. Brian should recommend that Linda consult with a tax professional or attorney who can provide specific advice about the financial implications of the expiring abatement, as this involves detailed tax law analysis beyond a real estate agent's expertise.
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A buyer's agent in New York learns during negotiations that her client's absolute maximum purchase price is $25,000 above the client's initial offer. Without the client's authorization, sharing this information with the listing agent would violate which fiduciary duty?
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