Mississippi Real Estate Broker Exam — All Questions

Under Mississippi agency rules, when must a licensee disclose whom the licensee represents?

• a.Only after the closing has occurred
• b.Only if the other party asks
• c.Early in the relationship, in writing, before confidential information is shared✓
• d.Within 30 days after the deed is recorded

Mississippi requires licensees to disclose their agency relationship in writing early in the relationship, before a consumer shares confidential negotiating information. Disclosing agency at closing or only on request would defeat the purpose of letting consumers understand who represents them while they still can protect their negotiating position.

A Mississippi licensee wants to represent both the seller and the buyer in one transaction. This dual agency is permitted only if:

• a.Both parties give informed written consent✓
• b.The purchase price is under a set dollar amount
• c.The buyer and seller use the same lender
• d.The responsible broker files a form with the county

Dual agency is allowed in Mississippi only with the informed written consent of both the seller and the buyer. Because a dual agent cannot fully advocate for either side or disclose one party's confidential information to the other, written consent from both is required. Price thresholds, a shared lender, or a county filing are not the governing conditions.

To an unrepresented customer, a Mississippi licensee still owes the duty to:

• a.Keep the customer's negotiating position confidential
• b.Advocate exclusively for the customer's interests
• c.Obey the customer's lawful instructions
• d.Deal honestly and disclose known material defects✓

Even without an agency relationship, a licensee owes a customer honesty and disclosure of known material defects. Confidentiality, loyalty and advocacy, and obedience are fiduciary-type duties owed to a client the licensee represents, not to an unrepresented customer. A supervising broker must understand which duties attach to clients versus customers.