Question

What is the only real estate brokerage relationship that is NOT required to be in writing?

A. Single agency

B. Designated agency

C. Transaction broker

D. No brokerage

Answer 1

(C) Transaction broker

This relationship is called, among other things, a transaction broker, or facilitator. Some states permit a type of nonagency relationship with a consumer. These relationships vary considerably from state to state, both as far as the duties owed to the consumer and the terminology used to describe the relationship. Very generally, in these relationships, the duties owed to the consumer are less than the complete, traditional fiduciary duties, but in most states which allow for this type of relationship, the licensee still owes fiduciary duties to the consumer.