Humber/Ontario Real Estate Course 4 Exam Practice

What is a duty of care for a client in real estate?

1. Owed both clients and customers for everything the brokerage does.

2. Not implied when dealing with a buyer or seller.

3. To customers is limited to exercising skill and care.

4. Includes all things done and should be done for the client.

5. Limited to actions specified in the listing agreement.

The correct answer is: Includes all things done and should be done for the client.

The concept of duty of care in real estate refers to the obligation an agent has towards their client to act in the client’s best interests and to provide services with a reasonable standard of skill and diligence. This means that the duty of care encompasses all actions taken on behalf of the client, including providing accurate information, advising on market conditions, and ensuring that the client is protected legally and financially throughout the transaction process. This answer reflects the comprehensive nature of the agent's responsibilities. It acknowledges that the duty of care is not limited to a specific set of actions or stipulated terms but extends to all conceivable support that a client might reasonably expect from their agent. This expectation is rooted in the fiduciary relationship between the agent and the client, which is designed to provide trust and assurance that the agent will prioritize the client's needs and interests. In contrast, other options fail to fully capture the breadth of the duty of care. Options that imply limitations or restrictions on what constitutes the duty of care underestimate the expectations that clients rightfully have when entering into a professional relationship with a real estate agent. Therefore, recognizing the duty of care as inclusive of all necessary actions reinforces the agent's role as a dedicated advocate for their client.