Which of the following is considered a breach of the fiduciary duty of a broker?

Prepare for the VanEd National Real Estate Exam. Study with interactive quizzes and detailed explanations. Get ready to ace your test with confidence!

A breach of fiduciary duty occurs when a broker fails to act in the best interests of their client. In this case, concealing offers from the seller directly undermines the broker's obligation to provide full disclosure and transparency. Brokers have a responsibility to keep their clients informed, especially regarding any offers received.

When brokers withhold this information, they are failing to fulfill their fiduciary duty, as the seller is deprived of the opportunity to make informed decisions regarding the sale of their property. This lack of transparency can significantly impact the seller's ability to negotiate and ultimately results in a violation of trust that is essential to the broker-client relationship.

In contrast, keeping the seller informed about offers, providing market analysis, and advising on proper pricing are all actions that enhance the client's position and reflect the broker's duty to act in the client's best interest, thereby upholding the fiduciary relationship.

Subscribe

Get the latest from Examzify

You can unsubscribe at any time. Read our privacy policy