What is the key difference between a client and a customer in real estate transactions?

The key difference highlighted in the correct choice revolves around the nature of the relationship established between the real estate professional and the individuals involved in the transaction. A client is someone with whom a formal agency relationship is established. This means that the real estate professional is legally and ethically obligated to provide services that prioritize the client's best interests, which includes loyalty and confidentiality.

In contrast, a customer refers to someone who may be engaging with the real estate professional in a more casual manner, often without the formal obligations tied to loyalty and confidentiality. The professional might provide assistance, but the same level of fiduciary duty does not exist. Therefore, the client is granted specific rights and protections that a customer does not receive, making the relationship with a client much more protective and involved.

This distinction is crucial in the real estate industry, as it defines how agents communicate with and represent the interests of the people they are working with during transactions. Understanding this difference helps ensure that agents operate within legal and ethical boundaries when serving their clients and customers.