46. A buyer-broker locates a property that is listed with another broker. The buyer makes an offer through the buyer-broker and an agreement of sale results. In this situation, the buyer-broker is acting as a:
Answer: C
The buyer-broker is acting as a representative of the buyer and owes no fiduciary obligations to the seller.
In this scenario, the buyer-broker is primarily representing the interests of the buyer, which means they owe fiduciary duties to the buyer and not to the seller.
A) subagent of the listing broker
This option is incorrect because a subagent acts on behalf of the listing broker and owes fiduciary duties to the seller. In this case, the buyer-broker is not representing the seller but rather the buyer.
B) referring broker with the listing broker
This choice is also incorrect. A referring broker typically does not engage in the transaction directly but refers clients to another broker. The buyer-broker is actively involved in the transaction by facilitating the offer and agreement of sale.
C) representative of the buyer and owes no fiduciary obligations to the seller
This option is correct. The buyer-broker is directly representing the buyer's interests in the transaction and does not have any fiduciary obligations to the seller, as their primary duty is to the buyer.
D) representative of the seller and owes no fiduciary obligations to the buyer
This option is incorrect because the buyer-broker is not representing the seller. Instead, they are focused on the buyer's needs and interests, which means they owe fiduciary duties to the buyer, not the seller.
Conclusion
The correct answer, C, accurately reflects the role of the buyer-broker in this situation as a representative of the buyer, with no obligations to the seller. Options A, B, and D misrepresent the nature of the buyer-broker's role, failing to recognize their primary fiduciary responsibility to the buyer. Therefore, C is the only option that aligns with the established principles of agency in real estate transactions.