What is designated agency?

In designated agency, the agent representing the buyer in a transaction and the one representing the seller work with the same real estate company. You might worry that because both agents work for the same company, that they won’t be as willing to compete against each other to get you the best deal. If the real estate firm is reputable, though, it will allow both agents to represent their respective clients fairly.

How do I know if dual agency is illegal in my state?

Each state enacts its own laws regarding dual agency. To determine if this is legal in your state, check with the local regulatory body that governs real estate transactions in your area. Laws can change quickly, so ask your real estate agent whether he or she is only representing you.

Are there benefits of dual agency?

Proponents of dual agency say that this arrangement can boost the efficiency of real estate sales because one agent is handling all the details and paperwork. Still, the potential negatives of this arrangement outweigh the benefits.

How do I avoid dual agency?

Insist on working with a real estate agent who will represent only your interests. Ask your agent whether he or she is representing only you. If not, work with a different agent.

Dual Agency Is Illegal In Some States: Explained