Ace the Arizona Real Estate Exam 2026 – Unlock Your Property Dreams!

Question: 1 / 1505

What type of agency relationship exists between a broker and their salesperson?

General

The agency relationship between a broker and their salesperson is typically termed a general agency relationship. In this context, the salesperson is authorized to act on behalf of the broker in specific areas, such as showing properties, negotiating sales, and interacting with clients, but this authority is limited to activities within the scope of real estate transactions brokered by the employing broker.

A general agency relationship is characterized by the broader scope of authority received by the agent (the salesperson) to conduct various activities on behalf of the principal (the broker). This type of relationship means the salesperson can undertake transactions and deal with clients without having to consult the broker for every decision, as long as those actions align with the broker's operations.

Other options like special agency are typically formed in scenarios where one party authorizes another to act on their behalf for a specific purpose or transaction, such as representing a seller in a particular real estate deal. Ostensible agency arises from the behavior or actions of the parties that imply an agency relationship, which may not have been formally established, while fiduciary relationships involve a high obligation of loyalty and trust, generally existing between agents and their clients rather than between brokers and salespersons. Thus, it is clear why general agency correctly describes the relationship between a broker and a

Get further explanation with Examzify DeepDiveBeta

Special

Ostensible

Fiduciary

Next Question

Report this question

Subscribe

Get the latest from Examzify

You can unsubscribe at any time. Read our privacy policy