Tennessee Realtor State Practice Exam 2025 - Free Real Estate Practice Questions and Study Guide

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What is true about a consumer who is working with a real estate licensee but hasn’t signed an agency agreement?

The consumer must work exclusively with that licensee

The consumer can only sign a dual agency agreement

The consumer is free to sign an agreement or work with any other licensee

A consumer who is working with a real estate licensee but has not signed an agency agreement maintains their freedom to choose how they wish to proceed with their real estate needs. Without a signed agency agreement, the consumer is not bound to work exclusively with that particular licensee and can explore other options. This means they can choose to sign an agreement with another licensee or continue to seek representation elsewhere.

In real estate, agency relationships are established through written agreements that specify the rights and responsibilities of both the licensee and the consumer. Until such an agreement is in place, the consumer has the liberty to explore various options, ensuring they have the flexibility to find the best representation for their needs.

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The consumer loses the right to negotiate

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