What best describes a broker's duty toward their principal regarding the transaction process?

A broker's duty toward their principal encompasses multiple responsibilities, one of the most critical being the obligation to keep the principal informed of every transaction step. This duty ensures that the principal is aware of developments, decisions, and actions taken in relation to the property transaction. By providing continuous communication regarding offers, counteroffers, negotiations, and any pertinent information, the broker enables the principal to make informed decisions throughout the process.

This transparency is essential for maintaining trust and a healthy working relationship. It empowers the principal to understand how their interests are being handled and allows them to provide necessary input or direction. Keeping the principal informed also aligns with the overarching fiduciary duty that brokers have, which includes loyalty, disclosure, and accountability. Thus, the broker's role is centered on advocating for the principal's best interests while ensuring they are actively engaged and aware of the current status of their transaction.