Robert is a buyer's agent in New York representing Amy, who is purchasing a condominium. During the transaction, Robert learns that the building's monthly maintenance fees will increase by 40% next month due to a special assessment. The seller and listing agent are unaware of this information. What should Robert do?
Correct Answer
B) Immediately inform Amy about the upcoming fee increase
Robert has a fiduciary duty to Amy as her buyer's agent. Information about a significant increase in carrying costs is material to the buyer's decision and must be disclosed immediately. This information directly affects the ongoing cost of ownership and Amy's ability to evaluate the purchase.
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Under New York agency law, which of the following actions would a buyer's agent be PROHIBITED from performing on behalf of a client?
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Susan is representing buyer James in New York. James asks Susan to explain the difference between the Property Condition Disclosure Statement and a professional home inspection. What should Susan tell James?