Designated agency

Real Estate Agent with NH Real Estate Exchange

In NH Designated agency is the topic of discussion. We have only had Disclosed Dual agencyy, when the law goes into effect we will have the option to choose.

In theory I like the idea of Designated Agency, but I would be interested to hear from those who are practicing it now and what challenges it has created.

We are implementing it due to many agents struggling with disclosed dual agency and in turn opening themselves up to liability if anything goes sideways.


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Ben Edsall
Turn-Key Properties LLC, Missouri and Kansas Real Estate - Kansas City, MO

Case scenario:

We have a client who wants to sell a property; my wife lists it and I assign any buyers to an in-house agent.

As the lead broker, any listings I take are represented by the whole company, so I have my partner, my wife list all the property as a designated agent, and then assign the buyers to an in-house agent.

I seldom take any listings myself "on paper" but I assist in the marketing and advertising.

I refer sales calls to other agents, or act as a transaction broker is the sale.

Crazy, mixed up mess, but that keeps it legal.



Sep 07, 2008 03:23 PM #1
Terry & Bonnie Westbrook
Westbrook Realty Broker-Owner - Grand Rapids, MI
Westbrook Realty - Grand Rapids Forest Hills MI Re

We started Designated agency a couple of years ago and I think it makes it easier we have had no issues.

Sep 07, 2008 04:11 PM #2
David Patterson
Columbia, SC


I agree with Terry Westbrook's comments. In South Carolina, Designated Agency became a legal form of agency on January 1, 2005. For most agents at large companies, it has helped avoid the pitfalls of Dual Agency for the non-Broker-in-Charge licensee. Since I teach real estate licensing classes, most of my students and I can properly explain Designated Agency without creating client anxiety.

IMHO, most of the trouble with any form of agency comes from agents who don't explain agency in a non-threatening or "put-the-client-at-ease" way. Why? Most of those agents don't understand agency themselves. Sad......but true!

In every type of relationship, COMMUNICATION and EDUCATION are two of the keys to success!


Sep 08, 2008 12:43 AM #3
Michael Setunsky
Woodbridge, VA
Your Commercial Real Estate Link to Northern VA

Dick, Designated Agency has been around quite a while in Virginia. It does provide an option should there be a conflict of interest in a Dual Agency situation. I agree with David, when I taught CE classes, I was surprised how many agents both seasoned and new don't understand Agency.

Sep 08, 2008 02:10 AM #4
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