When must a brokerage relationship be disclosed?

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A brokerage relationship must be disclosed prior to specific real estate assistance because this aligns with the requirement of informing clients about the nature of the relationship before significant actions take place. This requirement ensures that consumers are aware of who represents them and what duties or obligations exist, allowing for informed decision-making in real estate transactions.

Disclosing the brokerage relationship prior to specific assistance establishes transparency, as it clarifies the broker’s role, whether representing a buyer or seller, and the associated services being provided. It also helps protect the interests of all parties involved, as they are aware of who is working for whom in the transaction process.

In contrast, waiting until accepting escrow money, prior to the first face-to-face meeting, or within a set timeframe after initial contact may not sufficiently protect consumer interests or adhere to ethical standards expected in real estate practice. Therefore, the timing of disclosure relative to when real estate assistance begins is vital.

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