What is the nature of the relationship between a broker and their client?

The relationship between a broker and their client is defined as a fiduciary relationship. This means that the broker has a legal and ethical obligation to work in the best interests of their client. In a fiduciary capacity, the broker must provide loyalty, confidentiality, and full disclosure to the client. This relationship is built on trust and confidence, where the broker acts on behalf of the client and is expected to prioritize the client's needs and objectives above their own.

In contrast, the other types of relationships mentioned do not capture the essence of the broker-client dynamic. For instance, while an employee may have a duty to their employer, the specific trust and confidence inherent in a fiduciary relationship set brokers apart. Similarly, an independent contractor may operate under a less formal obligation, often lacking the same level of loyalty to the client. Lastly, a sub-agent typically represents the interests of the broker or the seller rather than the buyer's interests directly, which diverges from the core fiduciary responsibilities that a broker owes to their client.