What must a real estate professional do if they have a conflict of interest?

When a real estate professional encounters a conflict of interest, the appropriate course of action is to disclose the conflict to all affected parties. This practice upholds ethical standards in the industry and ensures that all parties have the information necessary to make informed decisions. Transparency is crucial in maintaining trust between clients and professionals.

Disclosing the conflict allows for open communication, enabling the parties involved to understand any potential biases that may affect the professional's judgment. This action aligns with the responsibilities of a real estate professional to serve their clients' best interests and to operate with integrity. By being upfront about any conflicting interests, the professional fosters a transparent relationship, which is essential for compliance with legal and ethical obligations in real estate practices.

Other options do not provide a viable solution to managing conflicts of interest effectively. Ignoring the conflict does not address the ethical obligations nor does it protect the interests of the clients. Seeking arbitration may be a step taken later in case a dispute arises but should not be the initial response to a conflict of interest. Refraining from making decisions without disclosure can lead to misunderstandings and issues, failing to ensure that all involved parties are adequately informed. Thus, disclosure is the most responsible and ethical approach in addressing conflicts of interest.