Agency Relationships and Disclosures Flashcards
7 cards from real Arkansas Real Estate License practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.
Read the first 7 Agency Relationships and Disclosures flashcards as text
In Arkansas, when must a licensee provide the 'Working With Real Estate Agents' disclosure form to a buyer?
Answer: At the first substantive contact
Arkansas law requires licensees to provide the agency disclosure form at the first substantive contact with a prospective buyer.
A seller's agent learns that the seller is going through a divorce and must sell quickly. What is the agent's duty regarding this information?
Answer: Keep it confidential as it could weaken the seller's negotiating position
A seller's agent has a fiduciary duty of confidentiality to the seller and must not disclose information that would harm the seller's bargaining position.
Under Arkansas law, a dual agency occurs when:
Answer: One brokerage represents both the buyer and seller in the same transaction
Dual agency in Arkansas occurs when the same brokerage represents both the buyer and the seller in a single real estate transaction.
What is a 'designated agency' arrangement in Arkansas?
Answer: A broker assigns one licensee to represent the buyer and a different licensee to represent the seller within the same firm
Designated agency allows a broker to designate different agents within the same firm to represent the buyer and seller, avoiding dual agency conflicts.
Which of the following best describes a 'transaction broker' in Arkansas?
Answer: A licensee who facilitates a transaction without representing either party as a fiduciary
A transaction broker in Arkansas assists both parties in completing a transaction without acting as a fiduciary agent for either side.
An Arkansas buyer's agent must disclose which of the following to their buyer-client?
Answer: Known material defects in the property
A buyer's agent has a duty to disclose all known material facts, including property defects, that could affect the buyer's decision.
In Arkansas, if a buyer's agent learns that the buyer intends to demolish the property after purchase, must the agent disclose this to the seller?
Answer: No, this is confidential client information protected by the buyer's agent's duty of loyalty
A buyer's agent owes loyalty to the buyer and must keep buyer's plans confidential, as disclosing them could harm the buyer's negotiating position.