It's Dual Agency - Not "Dueling Guns"

In North Carolina we have Dual Agency...I don't like the sound of it...to my clients' ears it sounds like "DUEL" Agency...and that is not a good thing...I'm with Bryant...we need a new name for this kind of representation...

Excellent post and well said. I subscribe to the theory that agents that actually care to learn can and most often will do a good job when give the opportunity to represent both the Buyer and the Seller. Attorneys feel that it is usually not possible to do this and I disagree. Not vehemently but I do disagree. Dual agency is not for many who have difficulty in doing one side much less both. But if you have attained the counseling skills and fully understand fiduciary, I agree that it can and should be done when appropriate.

BRAVO George!  Your analogy of starting a business and going to an attorney is one of the best descriptions I've ever heard.  I'll be borrowing that one from you.  We do have dual agency in Southern California.  I have been delighted to help both buyers and sellers come to an agreement on a number of occasions.  And, both sides felt their interests had been served.

Hi George,

I learned early on (first year of business) that dual agnecy works best if the Realtor involved does his or her job as if BOTH parties were right there watching... In effect, NEVER say anything in front of either party that you would say even SLIGHTLY different if both parties were right there. And tell them that is your rule. It clears the air quickly when each party knows that you can't be swayed to help them "get over" on the other party. And, agents need to know that even if they try to play one side against the other (this better not happen!) that the buyers and sellers will run into each other somewhere... the mailbox, the store, the school, etc. It will happen, and they compare notes. You stretch the truth even a little bit, you will get caught!

Good for you George. I also use the same technique ( or very similar ) when I discuss dual agency. I also tell them that it is the ultimate in negotiation. No Agents interfering with true negotiations. The property stands on its own merit. I usally then conclude with " Besides I like working with the other agent ( my self ) I always no what he is thinking "

I have handled quite a few double ends and have no problem with them.  Everybody wins, it works out great.  I reduce my commission by 1% to the seller, seller wins.  Buyer gets 1%, buyer wins.  I make an extra 1%, I win.  A lot of happy people. 

In the interest of keeping it fair, all parties are in agreement to the terms.  Once a price is agreed upon, the negotiations are OVER!  Buyer is to do any and all inspections to satisfy self of condition of home, listing agent will NOT recommend an inspector in dual agency.  There will be no repair money.  If the inspection indicates any  kind of major issue, all parties will convene in listing agents conference room and either come to a mutually agreed upon decision or shake hands and go their separate ways.   

As long as the terms are clearly laid out and everybody understands that this is going to be handled fairly and equitably there are rarely problems.  I have never had a dual agency fall out of escrow, which I actually think is a miracle.   

I have no problem with dual agency. 

George,

I have had the pleasure of having both sides of the deal on a few occasions and they happily worked out well because I was handling everything.

Most of us..not all in Florida are transaction brokerage....limited confidentiality.

Single agency exists...but I never ran into an agent in any of my deals that was one unless they never disclosed it.

I did have a listing appointment years ago and the guy hired a single agent over me as transaction agent.

He felt i should only represent him.

In NY when I sold RE I was a single agent.

George...I couldn't agree more that it is all about "how you say it".  The scripts are not that difficult to learn.

Regards,

Jay Burnham, VP
Coldwell Banker Residential Brokerage
North Shore, Massachusetts 

 

 

 

 

This is a good post.  I am torn on the issue.  It is legal here in KY but personally I side with Broker Bryant here, not knowing if it is possible to hold a fiducary relationship with both clients. 

I guess to me it would be like going through a divorce and both people having the same divorce lawyer.  I know I wouldn't do that.  I do know someone, believe it or not, that did that and the lawyer drug that out for almost 2 years, I wonder why.

Thanks for the geat post.  SC

In NH we practice or I should say,most of us practice Disclosed Dual Agency. A skilled competent agent, after gaining INFORMED consent and making the appropriate written disclosure can successfully be a DDA. Note I said competent...you need to know what you're doing when you practice dual agency.

I know some states do not allow dual agency. I think it's a hard situation to be in.

George, great explanation and I'm sure it will help many agents better explain it to clients now. I'm glad to hear your problem case turned out well for you and the attorney lost out. It's always fun to see it go the other way for the "underdog" right? Selling 115% of asking price didn't hurt the seller too much, now did it?

Excellent comments, great post, I have to say I agree with Bryant, on the name and what it implies.