What is "dual agency" in real estate?

Dual agency in real estate occurs when one broker or agent represents both the buyer and the seller in the same transaction. This situation can create a unique set of challenges and responsibilities, as the agent must navigate the interests of both parties simultaneously while maintaining fairness and confidentiality.

When a single agent or broker manages both sides, they must be careful to avoid conflicts of interest. They are obligated to provide a neutral viewpoint and facilitate the transaction fairly, ensuring that neither party's interests are compromised. Because dual agency can lead to complex legal and ethical considerations, it is crucial for the agent to disclose this arrangement to both the buyer and the seller, usually requiring written consent from both parties.

The other options do not align with the definition of dual agency: representing two agents for one client, assisting a buyer in multiple transactions, and a buyer representing themselves do not encompass the core premise of dual agency, which specifically involves one agent representing both the buyer and the seller in the same deal.