Idaho Real Estate Practice Exam

If a buyer wishes to see an in-house listing but does not want to enter a buyer representation agreement, what is required from the salesperson?

1. The agreement must be verbal and documented

2. A written agreement must be provided

3. The buyer can be shown the property freely

4. A written presentation of terms is mandatory

The correct answer is: A written agreement must be provided

In this scenario, if a buyer expresses interest in viewing an in-house listing but is not willing to enter into a buyer representation agreement, the salesperson is required to provide a written agreement. This written agreement serves to clarify the relationship between the buyer and the salesperson, ensuring that both parties understand the expectations and obligations involved. A written agreement is essential in real estate transactions to protect both the buyer's and the salesperson's interests, establish the terms of the interaction, and ensure that the buyer is aware of the nature of the services being provided. Without this agreement, there could be misunderstandings about representation, liability, and the responsibilities of the salesperson regarding fiduciary duties. While there are situations where a verbal understanding could be noted, having a written documentation is the standard practice and safeguards against potential disputes that may arise later on. This aligns with real estate best practices and regulations that encourage transparency and clarity in the transactions. In this context, the other options do not fulfill the requirement needed when the buyer does not wish to enter into a representation agreement, reinforcing the necessity of having a written agreement to maintain a professional standard within the practice.