Alabama Real Estate Salesperson Exam — All Questions

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2 questions

Alabama Agency Relationships & RECAD

Under the Alabama Real Estate Consumers Agency and Disclosure Act (RECAD), when must a licensee provide the required written brokerage services disclosure?

  • a.Only at closing
  • b.At the time of first substantive contact (the first meeting or communication about a specific property or the consumer's needs)
  • c.Only when the consumer signs a purchase contract
  • d.Never, because Alabama does not require agency disclosure

RECAD requires the licensee to provide a written disclosure of brokerage services (the 'Real Estate Brokerage Services Disclosure') at the first substantive contact with a consumer, describing the types of brokerage relationships available before confidential information is shared.

Alabama Agency Relationships & RECAD

Under Alabama's RECAD, which brokerage relationship allows a licensee to assist a buyer and a seller in a transaction as customers without being the agent, fiduciary, or advocate of either, provided it is disclosed?

  • a.Single agency
  • b.Subagency
  • c.Designated single agency
  • d.Transaction facilitator

Under Alabama's RECAD, as amended effective October 1, 2025 (Act 2025-380 / HB 382), the recognized brokerage relationships are single agency, dual agency, designated single agency, and transaction facilitator. A transaction facilitator (formerly called a 'transaction broker') assists one or more parties as customers without being the agent, fiduciary, or advocate of either party. Subagency is no longer recognized in Alabama.

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