A real estate professional is engaged in a transaction brokerage relationship with both the buyer and the seller. The property is listed at $450,000, and the buyer initially offered $420,000. During negotiations, the buyer mentions to the agent that they are pre-approved for up to $470,000. The seller, in a separate conversation, states they would accept $440,000 as their absolute bottom line. What information can the real estate professional legally disclose to the opposing parties?

Question: A real estate professional is engaged in a transaction brokerage relationship with both the buyer and the seller. The property is listed at $450,000, and the buyer initially offered $420,000. During negotiations, the buyer mentions to the agent that they are pre-approved for up to $470,000. The seller, in a separate conversation, states they would accept $440,000 as their absolute bottom line. What information can the real estate professional legally disclose to the opposing parties?

Answer options:

• They can disclose the buyer's pre-approval maximum to the seller
• They can disclose the seller's bottom line to the buyer ✅ They can disclose the buyer's pre-approval maximum and the seller's bottom line to neither party
• They must disclose both pieces of information to ensure fairness

Correct answer: They can disclose the buyer's pre-approval maximum and the seller's bottom line to neither party

Explanation: In a transaction brokerage relationship, the real estate professional must not disclose confidential information that could harm the bargaining position of either party, such as a buyer's maximum price or a seller's minimum price, without express written consent. Both pieces of information fall under this protection.