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In this tutorial, Joe from Prep Agent discusses the formation of agency relationships in real estate, an important topic for the real estate license exam. He emphasizes the need to understand the universal methods of establishing these relationships, while noting that it's wise to consult state laws for specific regulations. The primary method highlighted is the express agreement, which can be formed through oral or written communication between the licensee and the principal. However, the enforceability of oral agreements may differ by state. Typically, written agreements such as listing agreements or buyer’s agency agreements are used to formalize these relationships.
