What is Dual Agency?

Occasionally an agent is requested to represent both buyer and seller in the same transaction. This creates an obvious conflict of interest because confidentiality to one prevents full disclosure to the other.

In this case, both buyer and seller are asked to allow the agent to modify the fiduciary duties.

However, before clients are asked to allow this, each must understand the real effects on the interests of each party in the transaction. Each must then provide written informed consent for the agent to operate as a dual agent.

When the listing agent lists the home, the seller signs consent to allow the agent to represent the buyer for the home.

However, if you are the buyer just entering an open house it may or may not be okay with you to have reduced representation in the transaction. Again, this is why the host of the open house must disclose to you that she is representing the seller’s interests.