Agents can represent clients in a number of different ways. Today, I’ll break down the four main types of agency relationships.
Today’s topic is the consumer notice as well as the various agency relationships that exist in Pennsylvania between Realtors and consumers.
Understanding agency relationships is important because it allows consumers of real estate to make informed decisions about their business with their Realtors. It also helps manage what consumers can expect from their Realtors during a transaction.
The consumer notice is broken down into easy-to-understand language. Essentially, the document is an explanation of the different ways that a real estate agent can represent you. Remember, this document is not a contract. Presenting you with a consumer notice is our ethical obligation.
A CONSUMER NOTICE IS AN EXPLANATION OF THE DIFFERENT WAYS THAT A REAL ESTATE AGENT CAN REPRESENT YOU DURING A TRANSACTION.
There are four main types of agency relationships: seller’s agents, buyer’s agents, designated agents, and dual agency. - Seller’s agents represent you during the listing of your home.
- Buyer’s agents represent you during the buying process. Even though the seller is paying for the buyer’s agent’s commission, they still solely represent your interests. - Designated agency is when a brokerage represents both sides of a transaction, though not necessarily with one agent to both sides. - Dual agency is when an agent represents both a seller and a buyer in a given transaction. Additional documents in this situation would need to be signed by all parties so that everyone knows up front that the agent is operating on both sides. Your Realtor should always act with your best interest at heart, no matter what type of agency you have with them.
If you have any questions about buying or selling a home, feel free to reach out to me. We’d be happy to help.