A real estate associate, David, is interested in purchasing a property that his brokerage has listed. What specific disclosure requirements must David fulfill before making an offer on this property?

Question: A real estate associate, David, is interested in purchasing a property that his brokerage has listed. What specific disclosure requirements must David fulfill before making an offer on this property?

Answer options: ✅ David must disclose in writing to the seller that he is a licensed real estate associate and is buying the property for himself.

• David only needs to disclose his license status if the seller asks.
• David must refer the seller to another brokerage for unbiased advice.
• David is prohibited from purchasing any property listed by his own brokerage.

Correct answer: David must disclose in writing to the seller that he is a licensed real estate associate and is buying the property for himself.

Explanation: RECA Rules Section 55(1) requires a real estate professional who is purchasing a property that they or their brokerage are involved in selling, to disclose in writing to the seller, before entering into the purchase agreement, that they are a licensed professional and are purchasing the property for their own benefit, ensuring transparency.