PocketLaw | Georgia Code | Duties of Broker Engaged by Buyer

Duties of Broker Engaged by Buyer

Checkout our iOS App for a better way to browser and research.

A broker engaged by a buyer shall:
1. Perform the terms of the brokerage engagement made with the buyer;
2. Promote the interests of the buyer by:
  1. Seeking a property at a price and terms acceptable to the buyer; provided, however, the broker shall not be obligated to seek other properties for the buyer while the buyer is a party to a contract to purchase property, unless the brokerage engagement so provides;
  2. Timely presenting all offers to and from the buyer, even when the buyer is a party to a contract to purchase property;
  3. Disclosing to the buyer adverse material facts of which the broker has actual knowledge concerning the transaction;
  4. Advising the buyer to obtain expert advice as to material matters which are beyond the expertise of the broker; and
  5. Timely accounting for all money and property received in which the buyer has or may have an interest;
3. Exercise ordinary skill and care in performing the duties set forth in this subsection and such other duties as may be agreed to by the parties;
4. Comply with all requirements of this chapter and all applicable statutes and regulations, including but not limited to fair housing and civil rights statutes; and
5. Keep confidential all information received by the broker during the course of the engagement which is made confidential by an express request or instruction from the buyer unless the buyer permits such disclosure by subsequent word or conduct, or such disclosure is required by law; provided, however, that disclosures between a broker and any of the broker's affiliated licensees assisting the broker in representing the buyer shall not be deemed to breach the duty of confidentiality described above.
A broker engaged by a buyer shall timely disclose to a prospective seller with whom the broker is working as a customer and who is selling property which will be financed either by a loan assumption or by the seller's providing a part or all of the financing all material adverse facts actually known by the broker concerning the buyer's financial ability to perform the terms of the sale and, in the case of a residential transaction, the buyer's intent to occupy the property as a principal residence. Brokers shall not knowingly give prospective sellers false information; provided, however, that a broker shall not be liable to a seller for providing false information to the seller if the broker did not have actual knowledge that the information was false and discloses to the seller the source of the information. Nothing in this subsection shall limit the obligation of the prospective buyer under any applicable law to disclose to the prospective seller all adverse material facts actually known by the buyer concerning the buyer's financial ability to perform the terms of the sale and, in the case of a residential transaction, the buyer's intent to occupy the property as a principal residence. No cause of action shall arise on behalf of any person against a broker for revealing information in compliance with this subsection. Violations of this subsection shall not create liability on the part of the broker absent a finding of fraud on the part of the broker.
A broker engaged by a buyer in a real estate transaction may provide assistance to the seller by performing ministerial acts of the type described in Code Section 10-6A-14; and performing such ministerial acts shall not be construed to violate the broker's brokerage engagement with the buyer nor shall performing such ministerial acts for the seller be construed to form a brokerage engagement with the seller.
A broker engaged by a buyer does not breach any duty or obligation by showing properties in which the buyer is interested to other prospective buyers.

(Code 1981, §10-6A-7, enacted by Ga. L. 1993, p. 376, § 1; Ga. L. 2000, p. 929, § 1.)

Download our app to see the most-to-date content.