Texas Real Estate Brokerage Sales Apprentice Education (SAE) Practice Exam

Which two components are included in the duty of reasonable care for real estate agents?

1. Integrity and competency

2. Trust and loyalty

3. Knowledge and communication

4. Transparency and fairness

The correct answer is: Integrity and competency

The duty of reasonable care is a critical aspect of a real estate agent's responsibilities toward their clients and the transaction process. Among the components, integrity and competency are fundamental. Integrity refers to the agent's adherence to moral and ethical principles, ensuring they act honestly and transparently in all dealings. This creates a foundation of trust between the agent and their client, as clients rely on agents to provide truthful and accurate information. Competency involves having the necessary skills, knowledge, and professional ability to perform the tasks required effectively. This includes understanding market conditions, property values, and the nuances of real estate transactions. An agent must be proficient in navigating legal contracts, negotiation tactics, and other complexities to best serve their clients' interests. Combining integrity and competency ensures that a real estate agent can provide sound advice and act in ways that are both ethical and effective, fulfilling their duty of reasonable care. The other options, while related to important aspects of professional conduct, do not specifically embody the core of reasonable care in the same manner.