What must a real estate agent do if they have a conflict of interest?

A real estate agent must disclose any conflict of interest to all parties involved to uphold ethical standards and maintain transparency in the transaction. This requirement is fundamental because it ensures that all parties are aware of any potential biases or interests that may affect the agent's ability to represent them impartially. By disclosing the conflict, the agent allows the clients to make informed decisions regarding their representation and can choose how to proceed in light of that information.

Transparency in dealing with conflicts fosters trust and ensures compliance with legal and professional obligations, reinforcing the integrity of the real estate profession. Additionally, failing to disclose a conflict of interest can lead to serious legal implications and damage the agent's reputation.

The incorrect options either suggest actions that would not adequately address the ethical responsibilities of the agent or imply a lack of communication that could lead to misunderstandings or legal ramifications.