Your uncle, who has a second home in Bethany Beach, Delaware, is planning to sell it in the next few weeks. You are interested in buying this beachside property, so your agent negotiates a price for the house with your uncle's agent. This transaction is an example of

Question

Quizplus · Accepted Answer

The assumption of arm's-length transactions refers to the idea that both parties involved in a transaction (in this case, the buyer and seller) are acting in their own best interests and that the transaction is made at fair market value. The negotiation between the two agents is an example of this assumption.

Your Uncle, Who Has a Second Home in Bethany Beach