Why Dual Agency is Awful For Buyers And Sellers

Dual Agency in Real Estate is BAD!

When you are buying or selling a home and working with a real estate agent it is expected that the agent you've chosen will be going to bat for you on every occasion. If you are buying a home it's referred to having a buyer's agent. Likewise, if you are selling your house it's known as a seller's agent.

Most real estate transactions are conducted this way. There is a level playing field where both buyer and seller have true representation. There is a third type of agency known as dual agency which is downright ugly. In fact, in some states dual agency has been banned. If you are a buyer or seller reading this, you should understand you never want YOUR real estate agent to participate in dual agency.

There are no benefits to a buyer or seller in dual agency. The only party who benefits from such relationship is the real estate agent. You know what happens because of this fact? Agents misrepresent and don't explain dual agency properly.

Here is what you need to know - when you allow dual agency your real estate agent is no longer allowed by law to give you any advice. Are you hearing me loud and clear on this? NO ADVICE!! This means they cannot counsel you at all on what to offer if you are a buyer. If you are a seller they cannot give you any thoughts on how the buyer's offer should be countered.

Buyers and sellers are on their own. The agent becomes a neutral party in the transaction. In the article at Maximum Real Estate Exposure, you will see an in-depth explanation on why dual agency is so bad for consumers.

If you are going to be buying or selling a home, take the time to educate yourself on the downsides of dual agency. Trust me a significant percentage of real estate agents will not explain in properly in the hopes it is acceptable to you. Don't let it screw with your real estate transaction.