Dual agency: Is it right for you?

July 1st, 2007

A tip to getting the best representation when buying a home in Dayton: The agent and brokerage listed on the For Sale sign represent the seller. You knew that, didn’t you? What a lot of people might not know is that if you choose to purchase that home using that listing agent or that brokerage, depending on the company policy, they may not be able to advocate for you. Represent you, yes; advocate for you, no. Representing both the buyer and the seller in the same transaction is called Dual Agency.

You can read the Ohio Department of Commerce Real Estate Division’s Consumer’s Guide to Agency Relationships here. Dual agency is legal in Ohio and is always disclosed of course, and is only done with both the buyer’s and seller’s consent in writing. And you might be saying “Big deal”, but that’s exactly my point- what is possibly the largest financial investment you will ever make is always a big deal and I think you should get the best representation you can.

I don’t like Dual Agency because it’s important to me that I do what’s best for my clients. To me that would include advocating for my clients; to me that is what true representation by a real estate professional is about. According to the Consumer’s Guide, under Dual Agency I have to “maintain a neutral position between the buyer and the seller. (I) may not advocate the position of one client over the best interests of the other client…” Now don’t get me wrong, I have no problem being neutral and I’m very good at being neutral. I simply think that when it comes to selling and purchasing a home, being neutral to both parties isn’t in either client’s best interest.

But. Contrast that to what the Consumer’s Guide says about representing Buyers: I must: “follow the buyer’s lawful instructions, be loyal to the buyer, promote the buyer’s best interests…” As a consumer, you must decide: which is in your best interest?

In Ohio, all clients must agree in writing on how they are represented in any real estate transaction- you do have a choice. I want my clients to understand the full implications of dual agency so they have the information they need in order to make the most informed decisions they can.

When stepping into an open house or when calling the listing agent from a sign, it is important to remember who is representing the seller. Be careful about what type of information you disclose to the listing agent, and always consider what is in your own best interest.

7 Comments »

  1. Quick answers to a few questions about Dayton real estate : DaytonOS says

    [...] my client’s needs, and what those needs are will vary widely from client to client. Because I don’t work as a dual agent, I can represent and advocate for a buyer client, without representing the seller, too. It’s [...]

    November 1st, 2007 | #

  2. Open houses in Dayton Ohio | TheBrickRanch.com | Exploring Huber Heights, brick by brick… says

    [...] you are a buyer, read about Dual Agency before you go to an open house, to make sure you understand the role agency plays in real estate transactions- the information you [...]

    April 15th, 2008 | #

  3. Looking for Dayton Ohio homes? Visit the Dayton area Open House! | TheBrickRanch.com | Exploring Huber Heights, brick by brick… says

    [...] in mind: Dual agency is legal in Ohio, so buyer beware. Look here for more information about what dual agency is and how to protect yourself when you are looking at homes unrepresented. If you are unrepresented, you can use my name as your [...]

    May 31st, 2008 | #

  4. Dayton Ohio Real Estate | Looking for Open Houses in Dayton Ohio? You are in luck! | TheBrickRanch.com | a conversation about where and how to live happily in Dayton Ohio says

    [...] may not be a good idea for your situation, so be careful about what you tell hosting Realtors. You can find out more about dual agency here, and you can always put my name down as your Realtor, just to keep them from nagging you as you [...]

    May 1st, 2009 | #

  5. Dayton Ohio Real Estate | How to find a home in Dayton Ohio the way Realtors do: Part 1 | TheBrickRanch.com | a conversation about where and how to live happily in Dayton Ohio says

    [...] of who is selling the home. You don’t have to call the name on the sign to see the home, and certainly not to buy the home. So find a Realtor that you click with to help you throughout the entire purchase process, and [...]

    July 7th, 2009 | #

  6. Dayton Ohio Real Estate | Looking for Open Houses in Dayton Ohio? Easy. | TheBrickRanch.com | a conversation about where and how to live happily in Dayton Ohio says

    [...] serious about looking at homes unmolested, contact me. While I can’t say I would never be a dual agent, I can say I would only be a dual agent to a client who specifically requested it. I will represent [...]

    July 12th, 2009 | #

  7. Dayton Ohio Real Estate | How to find a home in Dayton Ohio the way Realtors do: Part 2 | TheBrickRanch.com | a conversation about where and how to live happily in Dayton Ohio says

    [...] I digress. So these homes are for sale today, and they are not listed by Exit Realty Central, so no dual agency issues here. And because the listing agent, with permission from the seller, has agreed to allow these [...]

    September 30th, 2009 | #

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