Colorado Sales License Practice Test 2025 – Your All-in-One Guide to Passing the Exam!

Question: 1 / 400

What is a real estate broker's primary fiduciary duty to their client?

To maximize profits for themselves

To act in the best interest of the client

A real estate broker's primary fiduciary duty to their client is to act in the best interest of the client. This principle is foundational in the relationship between a broker and their client, emphasizing that the broker must prioritize the client's needs and objectives above their own. This duty fosters trust and confidence, ensuring that the client feels secure in their decision-making process.

Fulfilling this fiduciary duty involves providing competent advice, maintaining confidentiality, and fully disclosing any relevant information that may affect the client’s decisions in a transaction. A broker acts as an advocate for their client, which means making decisions and taking actions that align with the client's best interests, whether it is negotiating a sale, providing market insights, or navigating the complexities of a transaction.

The other choices reflect different aspects of the real estate process but do not encapsulate the primary fiduciary responsibility. For instance, maximizing profits for themselves contradicts the duty to prioritize the client's needs. Securing the lowest possible price can be a goal in certain situations, but it does not always align with acting in the best interest of a client who might prioritize other factors. Ensuring compliance with zoning laws is part of the broker's role but is secondary to their duty to protect and promote the client's interests throughout the

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To secure the lowest possible price

To ensure compliance with zoning laws

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