seller0101, Home Seller in San Jose, CA

do the real estate agent buy a property has to disclose they are liscenced real estate agent to the seller?

Asked by seller0101, San Jose, CA Tue Mar 15, 2011

I just curious, due to a lot of agents are buying properties for flip.

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Answers

10
A real estate licensee who acts solely as a principal when buying or selling property need
NOT disclose the existence of his real estate license. The disclosure of a sales agent’s or
broker’s license is only required when the individual holds himself out as an agent in a
transaction with the expectation of a fee.

California real estate law does not explicitly state a licensee need not disclose their license status when acting as a principal in a real estate sales transaction. Likewise, there is no specific mandate that a DRE licensee must disclose their license status when acting solely as a principal in a real estate sales transaction. This ostensible lapse in real estate law is due to the fact that the law focuses strictly onthe definition of agency duties and the rights and limitations pertaining to the use of a real estate license. The law does not address the comportment of principals in real estate transactions. Thus, real estate law governing the use of a DRE license only controls when one acts in the capacity of an agent. Individuals acting as principals in real estate transactions are not subject to the rules governing licensees, regardless of their status as a real estate sales agent or broker.
1 vote Thank Flag Link Thu Mar 13, 2014
John's answer is correct regarding an agent that is a Realtor. Here is the information directly from the National Association of Realtors Code of Ethics:
Article 4
REALTORS® shall not acquire an interest in or buy or present offers from themselves, any member of their immediate families, their firms or any member thereof, or any entities in which they have any ownership interest, any real property without making their true position known to the owner or the owner’s agent or broker. In selling property they own, or in which they have any interest, REALTORS® shall reveal their ownership or interest in writing to the purchaser or the purchaser’s representative. (Amended 1/00)


Standard of Practice 4-1

For the protection of all parties, the disclosures required by Article 4 shall be in writing and provided by REALTORS® prior to the signing of any contract. (Adopted 2/86)
1 vote Thank Flag Link Wed Mar 16, 2011
My ilsting agent a transaction broker did not disclose his buyer was and aggressive realeste investment company and a broker. I have a contract that does not disclose his liscense. My agent took the entire commission denying the buyer had a liscense. All along I was questioning my listing agent but he would not give me a straight answer. He told me if was obligated to sell. I know i was taken advantage of. What kind of recourse can I take. Closing was Oct 11, 2013.
Flag Sun Oct 27, 2013
The question specifically asks about a "licensed Real Estate Agent" not a REALTOR.
0 votes Thank Flag Link Fri Mar 14, 2014
If the agent is a Realtor - a member of the local, state and National Association of Realtors - it is a requirement of the Code of Ethics that a Realtor disclose their Realtor status when buying or selling for their own account.
0 votes Thank Flag Link Wed Mar 16, 2011
Legal or not I always disclose not matter what just to clear the air. Not a bad habit for a pro. Why be coy?
0 votes Thank Flag Link Tue Mar 15, 2011
When in doubt always disclose

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The Michael Group - Dallas Business Journal Top Ranked Realtors
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0 votes Thank Flag Link Tue Mar 15, 2011
Nate,

Yes, it must be disclosed. The logic is that a licensed person should know market value and not take advantage of a potential seller.
0 votes Thank Flag Link Tue Mar 15, 2011
Nate,

I am a CA real estate broker and it is required to disclose on the contract if you have an active license.
Web Reference: http://fglick.com
0 votes Thank Flag Link Tue Mar 15, 2011
is it an requirement or optional to disclosed or not. Since the agent is only buying not selling.
0 votes Thank Flag Link Tue Mar 15, 2011
My understanding is yes, I would always disclose, in writing, to a Seller that I am a licensed real estate agent when making an offer to purchase a real estate property. As I am licensed in more than one state, I actually name the states that I am licensed in.
0 votes Thank Flag Link Tue Mar 15, 2011
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