In a broker-client relationship, if you are hired to sell a house, the seller is considered your what?

In a broker-client relationship, when you are hired to sell a house, the seller is considered your client or principal. This classification is essential in real estate transactions as it establishes the basis for the fiduciary duties you owe to the seller. As a client, the seller has engaged your services and expects you to act in their best interests, which may include providing them with your expertise, advice, and guidance throughout the selling process.

This relationship is characterized by trust and confidentiality, and it creates a legal obligation for you, as the broker, to prioritize the seller's needs and goals over other interests. The term "principal" highlights the seller's role as the primary party in this arrangement, emphasizing their authoritative position in decision-making regarding the property. Understanding this designation is crucial for managing the relationship effectively and adhering to the ethical standards expected in real estate practice.