Oregon 30-Hour Real Estate Law Practice Test

What should a seller's agent do when they receive an offer from a buyer?

1. Negotiate terms without informing the seller

2. Present the offer to the seller

3. Refund the buyer's earnest money

4. Reject the offer on behalf of the seller

The correct answer is: Present the offer to the seller

When a seller's agent receives an offer from a buyer, the correct course of action is to present the offer to the seller. This is a fundamental responsibility of the seller's agent, as they are obligated to act in the best interest of their client, the seller. Presenting the offer ensures that the seller is fully informed about the proposal put forth by the buyer, allowing them to make a decision based on all available information. By presenting the offer, the seller's agent facilitates an important part of the negotiation process. The seller can consider the offer's terms, assess its viability, and decide whether to accept, counter, or reject the offer. This transparency is crucial because it empowers the seller to make informed decisions regarding their property sale. Not presenting the offer or attempting to negotiate without the seller's knowledge would go against the agent's fiduciary duties, which include loyalty, confidentiality, and full disclosure. It is vital that the seller is involved in the decision-making process regarding offers on their property, so they can weigh the terms and implications as they see fit.