STATE OF MARYLAND REAL ESTATE COMMISSION
Understanding Whom Real Estate Agents Represent
THIS NOTICE IS NOT A CONTRACT
In this form “seller” includes “landlord”; “buyer” includes “tenant”; and “purchase” or “sale” includes “lease”
Agents Who Represent the Seller
Seller’s Agent: A seller’s agent works for the real estate company that lists and markets the property for the
sellers and exclusively represents the sellers. A seller’s agent may assist the buyer in purchasing the property,
but his or her duty of loyalty is only to the seller.
Subagent: A Subagent means a licensed real estate broker, licensed associate real estate broker, or licensed
real estate salesperson who is not affiliated with or acting as the listing real estate broker for a property, is not
a buyer’s agent, has a brokerage relationship with the seller, and assists a prospective buyer in the acquisition
of real estate for sale in a non-brokerage relationship capacity. The subagent works for a real estate company
different from the company for which the seller’s agent works. The subagent can assist a buyer in purchasing a
property, but his or her duty of loyalty is only to the seller.
If you are viewing a property and you have not signed a Brokerage Agreement, that agent represents
the seller
Agents Who Represent the Buyer
Buyer’s Agent: A buyer may enter into a written contract with a real estate broker which provides that the
broker will represent the buyer in locating a property to buy. The agent from that broker’s company is then
known as the buyer’s agent. The buyer’s agent assists the buyer in evaluating properties and preparing offers
and developing negotiation strategies and works in the best interest of the buyer. The agent’s fee is paid
according to the written agreement between the broker and the buyer. If you as a buyer wish to have an agent
represent you, you must enter into a written brokerage agreement.
Dual Agents
The possibility of dual agency arises when the buyer’s agent and the seller’s agent both work for the same real
estate company, and the buyer is interested in property listed by that company. The real estate broker or the
broker’s designee, is called the “dual agent.” Dual agents do not act exclusively in the interests of either the
seller or buyer, and therefore cannot give undivided loyalty to either party. There may be a conflict of interest
because the interests of the seller and buyer may be different or adverse.
If both seller and buyer agree to dual agency by signing a Consent For Dual Agency form, the “dual agent”
(the broker or the broker’s designee) shall assign one agent to represent the seller (the seller’s “intra-company
agent”) and another agent to represent the buyer (the buyer’s “intra-company agent”). Intra-company agents
are required to provide the same services to their clients that agents provide in transactions not involving dual
agency, including advising their clients as to price and negotiation strategies.
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