A seller listed their property for $480,000. Buyer A offered $475,000, conditional on financing. Buyer B offered $470,000 cash, with no conditions. The seller issued a counteroffer to Buyer A, setting the price at $478,000 and requesting a higher deposit. Buyer A is considering this. What ethical obligation does the seller's agent have regarding Buyer B's offer?

Question: A seller listed their property for $480,000. Buyer A offered $475,000, conditional on financing. Buyer B offered $470,000 cash, with no conditions. The seller issued a counteroffer to Buyer A, setting the price at $478,000 and requesting a higher deposit. Buyer A is considering this. What ethical obligation does the seller's agent have regarding Buyer B's offer?

Answer options: ✅ The agent must present Buyer B's offer to the seller immediately and truthfully.

• The agent must wait until Buyer A responds to the counteroffer before presenting Buyer B's offer.
• The agent can advise the seller to ignore Buyer B's offer since a counteroffer is outstanding.
• The agent is only obligated to present offers that are superior to the current negotiation.

Correct answer: The agent must present Buyer B's offer to the seller immediately and truthfully.

Explanation: Under the Real Estate Act and RECA Rules, a real estate agent is obligated to promptly present all offers and counteroffers received to their client (the seller), truthfully and objectively, regardless of any ongoing negotiations or other offers. Failure to do so would be a breach of fiduciary duty and professional conduct.