Dual Agency- what the heck?

• Hold on to your hats...this is top secret stuff! What does being a dual agent have to do with real estate? Don't make us tell you this twice or you know the consequences!
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• Dual Agency is when your real estate agent works for both the seller and you, the buyer, at the same time, then he/she is operating as a Dual Agent. It sounds simple but requires skill and expertise on the part of your agent.
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• Let's walk you through the process and it will make more sense. You have a real estate agent that you like and trust. You instruct your real estate agent to show you 3 houses. One of the houses happens to be a house that your agent has listed for that seller. Your agent has an agreement with that seller to market and sell the house.
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• You might already be starting to see the potential danger...your agent is working for you BUT also working for the seller. How can that be?
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• North Carolina real estate law provides safeguards that protect both you, the buyer, and the seller too.

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• As an example, the seller might have told your agent (who has the house listed) that he would sell the property for substantially less money because he just wants it sold fast. This is something that the agent cannot share with you. However, if the seller told the agent, for example, that there was going to be a landfill built next to his property in the next 2 years and to keep it a secret then this is a material fact and the agent is required, by law, to share that information with you.
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• Another example would be that you tell your agent that you are recently divorced and desperately need a new home and are willing to pay top dollar. This is private information that, if the seller were made aware of, might affect the seller's decision to accept or hold out for more money.
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• You will enter into a Buyer's Agency Agreement with your agent prior to making any offers on any property. This agreement protects you and your secrets in all negotiation circumstances. It guarantees that your agent will work on your behalf. Best advice, keep your secrets close to your vest prior to having a formal agreement with your agent.
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• You might be wondering what are the benefits of letting your agent serve as a dual agent. The primary benefit is that your conversations with your agent will stay private. Another benefit is that your agent has the privilege of getting into your head AND the seller's head and can provide negotiation skills that are fair and equitable to both parties. Remember, your agent is the go-between and can be of great value in your negotiation. You and the seller are emotional about the property for different reasons. Your agent serves as a neutral party that brings the two of you together in your negotiation.
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• Don't let dual agency put you off. If you have questions then give us a call at 828-278-4513.