Sales agent Torres is hosting an open house for a listing. During the event, 15 people walk through the home. Three of those visitors begin asking Torres detailed questions about the property's price, square footage, and neighborhood schools. Under TREC rules regarding the IABS, what must Torres do?
Correct Answer
B) Provide the IABS only to the three visitors who engage in substantive dialogue
Under TREC Rules §531.20, the IABS must be provided at the first substantive dialogue about a specific property. Visitors who simply walk through without engaging in substantive conversation do not trigger the requirement. The three visitors asking detailed questions are engaging in substantive dialogue.
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Related Topics & Key Terms
Key Terms:
Related Concepts
An agency relationship created by the conduct or actions of the parties rather than by a written or oral agreement.
The legal obligation to reveal information that could affect a party's decision to enter into or the terms of a real estate transaction.
The extent of power and actions an agent is authorized to perform on behalf of the principal, as defined by the agency agreement.
More Texas Agency Law Questions
A Texas license holder represents a landlord and is leasing commercial office space. The license holder shows the space to a prospective tenant from a large corporation. The corporate tenant has its own tenant representation broker. Must the landlord's license holder provide the IABS to the tenant?
A Texas license holder provides the IABS form to a buyer at their first meeting. Two weeks later, the buyer contacts the license holder about a different property. Must the license holder provide the IABS again?
A married couple visits an open house together. Sales agent Foster provides the IABS to the wife but not the husband. If both spouses are interested in purchasing the property, has Foster satisfied the IABS requirement?
Agent Parker provides the IABS to Buyer Harris at the first showing. Later, Harris signs a buyer representation agreement with a completely different brokerage firm. When Harris contacts Parker about another property, Parker's firm still has a listing on, must Parker provide the IABS again?
In Texas, a sales agent who is assigned by the intermediary broker to communicate with and carry out instructions of one party in a transaction is known as a(n):
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