Before you read
Test yourself first: 5 questions
Question 1 of 5
Undisclosed dual agency is:
Answer: A. Representing both parties without the informed written consent of each is illegal and breaches loyalty/disclosure duties.
Question 2 of 5
What is the key difference between a client and a customer in an agency relationship?
Answer: B. The client (principal) is owed full fiduciary duties; a customer is a non-represented party owed only honesty, fairness, and disclosure of material defects.
Question 3 of 5
A listing agent who, without a buyer-agency agreement, also helps a buyer write an offer on the agent's own listing risks creating:
Answer: B. Advising both the seller-client and an unrepresented buyer can create an implied or undisclosed dual agency if loyalties shift without proper disclosure and consent.
Question 4 of 5
Most state agency laws require that an agency disclosure be made to a consumer:
Answer: B. Agency disclosure is generally required at or before the first substantive contact about a specific property so the consumer understands who the agent represents.
Question 5 of 5
As a general principle of agency disclosure, when should a licensee disclose to a consumer whom they represent in the transaction?
Answer: B. Agency relationships should be disclosed at the earliest practical opportunity, typically before any confidential information is exchanged - at or before first substantive contact.
Keep the streak going with more questions like these, each with a full rationale.
What you need to know
The disclosure is informational: signing it does not create agency, it just acknowledges the conversation. Substantive contact means discussing motivation, price, or terms — an open-house greeting isn't; a buyer confiding their maximum budget is. Practicing beyond disclosed status (advising a customer like a client) invites both license discipline and civil liability. When status changes mid-deal (say, to disclosed dual agency), a NEW written consent is required from everyone.
Agency Disclosure — When & How: FAQs
Is Agency Disclosure — When & How on the real estate exam?
Yes. Agency & Fiduciary Duties is a scored domain on the real estate licensing exam, and this topic appears in the national portion.
Is this cheat sheet free?
Yes — every page on Cinna RE's resource library is free to read, print and share. The app adds practice questions, mock exams and a readiness score.
