Under which condition is it permissible for a broker to suggest a title insurance company located in the same building?

A broker can suggest a title insurance company located in the same building if that company agrees to provide buyers with a discount on services. This scenario promotes fairness and transparency in the transaction, ensuring that the clients benefit from lower costs. Real estate brokers have a responsibility to act in the best interests of their clients, and helping them save money when possible aligns with this duty.

When a title company offers discounts, it not only incentivizes clients to choose that service but also demonstrates a competitive advantage that can effectively serve the clients' needs. It’s essential in real estate practice to ensure that any recommendations made are based on the potential benefits to the client rather than personal interest or other motivations.

Other conditions, like promotional giveaways or a personal relationship with the title company, may raise ethical questions or could be viewed as conflicts of interest, detracting from the goal of serving the client's best interests. While having the best reviews may indicate a quality service, it does not justify the recommendation if it doesn't directly relate to cost savings or benefits for the client. Thus, the emphasis on the discount underscores a commitment to the financial well-being of the buyer.