An agent has a duty of loyalty to which party?

Study for the ASU REA380 Exam 2. Prepare with flashcards and multiple choice questions, each question includes hints and explanations. Get ready for success!

The duty of loyalty is a fundamental principle in real estate agency relationships, which is primarily owed to the agent's client. This means that the agent must act in the best interests of their client, prioritizing the client's needs and objectives above all else in the transaction. This duty typically involves maintaining confidentiality, avoiding conflicts of interest, and providing full disclosure of relevant information.

An agent representing a client must ensure that their actions benefit that client, whether in negotiations or in the execution of duties. This loyalty remains a guiding principle throughout the entire course of their professional relationship.

While the agent may interact with buyers and sellers, their primary ethical obligation is to the client. In transactions involving both a buyer and a seller, agents must navigate their duties carefully, ensuring transparency while still upholding their loyalty to their respective client. Thus, the correct answer emphasizes the agent's commitment to their client as the cornerstone of their professional conduct.

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