If a broker has an exclusive listing while also intending to buy the property for personal gain, what is most likely true?

When a broker holds an exclusive listing and intends to purchase the property for personal gain, it's essential for the broker to maintain transparency and adhere to ethical standards. Therefore, the broker must inform the seller fully about their intention to buy the property. This disclosure is critical, as it ensures that the seller understands the broker's dual role in the transaction and any potential conflicts of interest that may arise.

Additionally, the situation can lead others to perceive that the broker is making a secret profit, especially if the broker does not communicate their intentions clearly. By failing to disclose their intentions, the broker risks damaging their professional reputation and could potentially face legal repercussions.

Thus, both the requirement for full disclosure to the seller and the perception of making a secret profit are true in this scenario. This underscores the importance of transparency in real estate transactions, particularly when a broker might have a financial interest in the property they are representing.