Buying or selling a home is a pretty big deal. There’s a lot of money involved, and you’ll go through several complicated steps before signing on the dotted line. A real estate agent can lead you through the process — but would you be OK if they took a hands-off approach?
That’s what often happens in a dual agency arrangement, where one real estate agent works for both the seller and buyer. The agent typically offers less guidance throughout the homebuying process and has limits on what they can disclose to each side. While it can work for some sellers and buyers, dual agency may present a conflict of interest, says Catherine Okoroh, vice president of mortgage lending at Guaranteed Rate.
“It’s difficult to fairly represent both sides and have both interests at heart,” Okoroh says. “On one end, I want to get the seller the highest price. On the other end, I want to get the buyer the best deal. How is that possible, especially when I have information about what they both want?”
Before deciding if you want to enter into a dual agency agreement, it’s a good idea to learn how it works, where it’s