When a broker provides advice to a homeowner without a written contract, what type of agreement is established?

When a broker provides advice to a homeowner without a written contract, an implied agreement is established. An implied agreement arises from the conduct and actions of the parties involved, suggesting that there is an understanding or agreement without explicit written or verbal confirmation. In the context of real estate, if a broker engages with a homeowner and starts giving advice or services, it can be assumed that there is an expectation of compensation or a formal agreement, even if nothing is documented. This is particularly relevant in real estate transactions where verbal communications and actions can create binding expectations.

Having an implied agreement is significant because it indicates that the actions and behaviors of the broker and the homeowner create certain obligations, even in the absence of formalized paperwork. This can open discussions about potential compensation or the nature of the relationship between the broker and the homeowner, which is critical in real estate dealings.

Conversely, options such as written agreements and express agreements require formal documentation or clear verbal articulation of terms, neither of which is present in this scenario. An oral agreement, while it might seem applicable, typically refers to verbal contracts that are explicitly negotiated rather than assumed by actions. Thus, the most fitting term to describe the situation of receiving advice without a written contract is an implied agreement.