Dual Agency: Can One Agent Really Represent Both Sides?

Can one real estate agent truly represent both the buyer and the seller in the same transaction?

It's a question worth asking, especially for newer agents.

In Kentucky, dual agency is permitted, but it comes with specific responsibilities and limitations. The Kentucky Real Estate Commission recognizes dual agency as a limited fiduciary relationship when a brokerage or licensee represents clients on opposite sides of the same transaction.

And that's where the conversation gets interesting.

The Conflict Is Real

Consider a typical transaction in Madison County, Kentucky.

The seller tells you, privately, “I'd take $10,000 less if I had to.”

Then the buyer tells you, “I'd pay $10,000 more.”

As the agent, you now have confidential information from both sides.

You can't simply use what one client told you to negotiate against them for the benefit of the other. That's one of the fundamental challenges of dual agency.

The issue isn't whether you can handle both sides.

It's whether you can properly protect both clients while staying within the limitations of the agency relationship.

What About Designated Agency?

This is another important distinction for agents.

If the buyer and seller are represented by different agents within the same brokerage, that may fall under designated agency rather than having one individual agent represent both parties.

For example:

Seller → Agent A
Buyer → Agent B

Both agents may work for the same brokerage, but each represents their respective client. Kentucky law provides for this type of arrangement.

My Take

I don't think there's one universal answer.

Some agents choose never to practice dual agency because they believe they can advocate more effectively when representing only one side.

Others are comfortable with dual agency when the relationship is properly disclosed, consented to, and handled according to state law and brokerage policy.

Personally, I think the most important thing is clarity.

Know your state's laws. Know your brokerage's policies. Understand your agency documents. Protect confidential information. And when you're unsure, talk to your broker before moving forward.

For those of us working in communities like Berea, Richmond, and Madison County, relationships can overlap quickly. The buyer may know the seller. The seller may know the agent. Sometimes everybody knows everybody.

That's exactly why professionalism and clear communication matter.

Dual agency isn't simply about getting both sides of a transaction. It's about understanding exactly what your responsibilities are when you do.

I'd love to hear from other agents: Do you practice dual agency, avoid it completely, or handle it on a case-by-case basis?