Real Estate · General Principles of Agency

An agent who represents the buyer is called a:

Correct answer

Buyer's agent (or buyer's broker)

  1. A Listing agent
  2. B Buyer's agent (or buyer's broker)
  3. C Dual agent
  4. D Transaction broker

Why this is the answer

An agent who represents the buyer in a real estate transaction is called a buyer's agent or buyer's broker. They owe fiduciary duties (OLD-CAR) to the buyer. A listing agent represents the seller. A dual agent represents both parties in the same transaction (allowed in some states with full informed written consent of both; in some states, dual agency is prohibited). A transaction broker (or facilitator) represents neither party as a fiduciary but assists in completing the transaction; they owe a duty of fairness and honesty to both sides. The role must be clearly disclosed in writing before substantive negotiations begin so all parties understand who represents whom.
Source: Real Estate Principles, Types of Agency

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