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Alberta Real Estate Licensing Exam Practice · Question

A broker operating a real estate small boutique brokerage is the sole licensee and works with a limited number of clients. If this broker wishes to represent both a buyer and a seller in the same transaction, what type of agency would they be entering into if Alberta rules permitted it, given their sole licensee status?

If permitted, a single licensee representing both the buyer and the seller in the same transaction would constitute dual agency. However, dual agency by a singl

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Question: A broker operating a real estate small boutique brokerage is the sole licensee and works with a limited number of clients. If this broker wishes to represent both a buyer and a seller in the same transaction, what type of agency would they be entering into if Alberta rules permitted it, given their sole licensee status?

Answer options: ✅ Dual Agency

  • Designated Agency
  • Sole Agency
  • Sub-agency

Correct answer: Dual Agency

Explanation: If permitted, a single licensee representing both the buyer and the seller in the same transaction would constitute dual agency. However, dual agency by a single licensee is generally not permitted in Alberta due to insurmountable conflicts of interest. Alberta primarily operates under Designated Agency.

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