I understand about disclosures but to me it still seems shady….
In: 6
Yes, it’s not recommended.
Many states require that the buyer and seller consent to such a transaction, for example the “Disclosure Regarding Real Estate Agency Relationships” form in California.
What many more honest real estate agents will do in this scenario where the buyer’s agent happens to be representing the sellers too, is to refer the buyers to one of their colleagues so there’s no conflict of interest. The colleague might give them a referral fee.
It is a conflict of interest. And it’s not normal for this to happen either. Unless you’re talking about two agents from the same company rather than the same exact person.
It is a conflict of interest and the only way I would ever consent to it is if, basically, the price and property were decided on prior to going through a real estate agent. For example, if I were buying the house I was leasing from a landlord. The house is a known entity, the seller is a known entity, the price was determined prior to getting anyone else involved. In this case I would be using a realtor to navigate the legalities and practicalities of purchasing a home rather than as someone representing my financial interests.
But if they’re going to represent *either* of our financial interests, the realtors should be separate people.
It’s not technically a conflict of interest, because in the case where the agent “represents” both the buyer and the seller they cease to be able to give either party any advice at all, and are reduced to just ferrying paperwork back and forth, Having gone through this once, I would recommend never doing it.
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