What is a primary purpose of an agency disclosure in real estate transactions?

The primary purpose of an agency disclosure in real estate transactions is to inform the buyer of the agent's duties. This disclosure is essential because it clarifies the nature of the relationship between the agent and the parties involved in the transaction. By providing clear and transparent information about whom the agent represents, it helps buyers understand their rights and the level of service they can expect.

Understanding the agent's responsibilities fosters trust and transparency in the transaction process, allowing the buyer to make informed decisions. It also sets the expectations regarding loyalty, confidentiality, and the obligations the agent has towards their client. This clarity is fundamental in real estate dealings, as it affects the dynamics of the transaction and the interactions among all parties involved.

The other options do not accurately reflect the primary purpose of agency disclosure. While protecting the seller's interests or enhancing negotiations may be outcomes of having a clear agency relationship, they are not the core purpose of the disclosure itself. Similarly, the disclosure does not aim to prevent buyers from making offers; instead, it empowers them with the necessary knowledge about their agent's role.