Difficulty: Medium

Average Score: 50%

Which of the following is a duty of a transaction broker to a seller with whom he is working?

Rationale

Account for monies received.

A transaction broker's primary role is to facilitate the transaction without advocating for either party's interests. This includes the responsibility to account for all funds received during the transaction process, ensuring transparency and adherence to legal and ethical standards.

A (Advocate for the sellers interests) YOUR ANSWER

A transaction broker does not represent the seller exclusively and therefore does not advocate solely for their interests. Instead, the broker serves as a neutral facilitator to assist both the seller and buyer in completing the transaction, which is a fundamental aspect of their role.

B (Account for monies received) CORRECT

This choice accurately represents a primary duty of a transaction broker. They must manage and account for all funds received during the transaction, ensuring that all financial aspects are handled appropriately and transparently, thus protecting both parties involved.

C (Seek the best price and terms) YOUR ANSWER

While a transaction broker aids in negotiations, they do not have the duty to seek the best price and terms for either party. Their role is to facilitate the transaction without bias, thus not prioritizing one party's interests over another's.

D (Counsel seller as to benefits and risks) YOUR ANSWER

A transaction broker does not provide personalized advice or counsel regarding the benefits and risks of a transaction. This duty typically falls within the scope of an agent representing the seller, whereas the transaction broker maintains a neutral position.

Conclusion

In the context of real estate transactions, a transaction broker facilitates the process while maintaining neutrality, which allows them to account for funds received as a key responsibility. By not advocating for any party, the broker ensures fair treatment and transparency, making accounting for received monies a fundamental duty in their role.

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