Buying a house can take one month or several, depending on a number of different factors.
What is disclosed dual agency?
Disclosed dual agency is a term indicating that the dual agency relationship in a real estate transaction has been fully disclosed to all parties in a real estate transaction. Dual agency refers to a single real estate agent representing both the homebuyer and home seller in a single transaction.
A homebuyer and a home seller usually are represented by separate real estate agents. This ensures that both parties have equal representation, negotiation abilities and privacy within the transaction. It is possible for a single agent to handle both sides of the transaction, though. When this happens, it is called dual agency.
Disclosed dual agency is a document signed by the real estate agent and the seller and the buyer stating that they understand that one agent will represent both buyer and seller. It’s important to note that this will often explain the rights each party has, and that the agent cannot reveal specific information about the other party’s negotiation ability or finances beyond what is publicly available through the sale.
Real estate agents are required to disclose that they are working with both parties during the transaction. In some cases, brokers will not allow this transaction.
Disclosed dual agency example
Lisa wants to purchase a home that James is selling. When Lisa visits the property and learns about it, she decides to make an offer. She does not have her own agent, but wants to be represented by a real estate agent through the sale. She decides to work with James’ agent. The real estate agent must then have both parties agree to the arrangement and sign a disclosed dual agency document.