Dual Agency in Real Estate: A Fair Deal or a Hidden Risk?

Real estate isn’t a courtroom, and it isn’t supposed to be a fight where one side wins and the other loses.

A good real estate transaction should be a fair exchange:

• The seller receives market value for their home.
• The buyer gets what they pay for—a home with clear disclosures, no hidden issues, and terms they understand.

In theory, dual agency—where one agent represents both buyer and seller—can work as long as both parties get a fair deal. The problem is, when transparency fades, so does fairness.

Why Do Buyers Think Dual Agency Is a Good Deal?

Buyers often approach the listing agent directly under the belief that they can negotiate a better price by eliminating the buyer’s agent’s commission. The argument usually goes something like this:

"You were going to split the commission with another agent, but we don’t have one—so just pass the savings on to us."

It sounds logical. Less commission paid = more room for negotiation, right?

Not necessarily. Here’s why:

• The listing agent still represents the seller first and foremost. Their job is to maximize the seller’s return.
• The “saved” commission rarely turns into a discount for the buyer. Instead, it often stays with the agent or benefits the seller.
• Without an independent advocate, the buyer is left without negotiation leverage, relying on an agent whose first duty is to the seller.

This doesn’t automatically mean the buyer will lose—but it does shift the balance of power.

When Dual Agency Becomes a Problem

Dual agency isn’t inherently bad. If an agent is ethical and transparent, they can help both sides navigate the deal.

The real danger comes when key details—like disclosures and repairs—get lost or manipulated, giving one party an advantage over the other.

1. Missing or Minimized Disclosures

A dedicated buyer’s agent will ask the tough questions:

• "Has this home had previous water damage?"
• "Has there been unpermitted work?"
• "Are there HOA issues or upcoming special assessments?"

In a dual agency situation, the agent might not push for full transparency because it could harm the deal—or they may simply avoid giving information that could steer the buyer away.

Buyers should always demand all seller disclosures in writing and verify property history before proceeding.

2. Repairs and Inspection Negotiations

If the home inspection turns up issues, a buyer’s agent would normally fight to get repairs or credits.

But in dual agency, the agent has to remain neutral—which often means they won’t push the seller to make fixes or offer concessions.

Buyers should ask directly:

• "How much negotiating power do I have here?"
• "Can I request credits for repairs?"
• "Has the seller already turned down any previous requests?"

A good agent, even in a dual role, should be transparent about what is possible.

3. The Unspoken Advantage

Even if a dual agent does their best to stay neutral, there’s often an unspoken advantage for the seller.

• The listing agent already knows the seller’s bottom line.
• They might not openly tell the buyer what the seller is willing to accept.
• They might steer negotiations in a way that benefits the seller, even subconsciously.

Buyers who work with a listing agent directly should pay attention to how questions are answered. If responses are vague or evasive, it could be a sign that full transparency isn’t there.

How to Protect Yourself in a Dual Agency Transaction

If you’re considering working with a dual agent, here’s how to make sure you get a fair deal:

1. Ask the Right Questions

A strong agent should be willing to be upfront, even in a dual agency scenario. Ask:
✔️ "What information can you legally provide me?"
✔️ "Can you show me comparable sales so I know I’m getting a fair price?"
✔️ "How much room do I have to negotiate?"
✔️ "What are my risks in this deal?"

A trustworthy agent will answer honestly and directly—not with vague responses.

2. Demand Full Disclosures

Make sure you get everything in writing:

• Seller disclosures
• Inspection reports
• HOA documents (if applicable)
• A breakdown of any previous offers or price reductions

3. Consider Bringing in an Outside Expert

If you’re going to buy without your own agent, consider hiring:
🔹 A real estate attorney to review contracts
🔹 A home inspector who works independently of the agent’s recommendations

4. Trust Your Gut

If something feels off—if you sense hesitation in answering key questions, or if things seem too easy—take a step back. A smooth transaction shouldn’t mean a lack of transparency.

The Bottom Line: Can Dual Agency Be Fair?

Yes—but only when both sides get full information and a real chance to negotiate.

A good real estate transaction isn’t about one party winning and the other losing. The seller should get fair market value. The buyer should receive exactly what they’re paying for.

The moment transparency is lost, one side gains an unfair advantage—and that’s when dual agency becomes a problem.

Whether you choose to work with your own agent or a dual agent, make sure you’re getting the whole story, not just the easy version of it.

Thinking about buying or selling? Let’s make sure you get the representation and transparency you deserve. Contact us today.

" altText: "Real estate agent negotiating between buyer and seller" keywords:

• dual agency real estate
• real estate transparency
• buying home without agent
• listing agent negotiation
• real estate disclosures

Dual Agency in Real Estate: A Fair Deal or a Hidden Risk?

Real estate isn’t a courtroom, and it isn’t supposed to be a fight where one side wins and the other loses.

A good real estate transaction should be a fair exchange:

• The seller receives market value for their home.
• The buyer gets what they pay for—a home with clear disclosures, no hidden issues, and terms they understand.

In theory, dual agency—where one agent represents both buyer and seller—can work as long as both parties get a fair deal. The problem is, when transparency fades, so does fairness.

Why Do Buyers Think Dual Agency Is a Good Deal?

Buyers often approach the listing agent directly under the belief that they can negotiate a better price by eliminating the buyer’s agent’s commission. The argument usually goes something like this:

"You were going to split the commission with another agent, but we don’t have one—so just pass the savings on to us."

It sounds logical. Less commission paid = more room for negotiation, right?

Not necessarily. Here’s why:

• The listing agent still represents the seller first and foremost. Their job is to maximize the seller’s return.
• The “saved” commission rarely turns into a discount for the buyer. Instead, it often stays with the agent or benefits the seller.
• Without an independent advocate, the buyer is left without negotiation leverage, relying on an agent whose first duty is to the seller.

This doesn’t automatically mean the buyer will lose—but it does shift the balance of power.

When Dual Agency Becomes a Problem

Dual agency isn’t inherently bad. If an agent is ethical and transparent, they can help both sides navigate the deal.

The real danger comes when key details—like disclosures and repairs—get lost or manipulated, giving one party an advantage over the other.

1. Missing or Minimized Disclosures

A dedicated buyer’s agent will ask the tough questions:

• "Has this home had previous water damage?"
• "Has there been unpermitted work?"
• "Are there HOA issues or upcoming special assessments?"

In a dual agency situation, the agent might not push for full transparency because it could harm the deal—or they may simply avoid giving information that could steer the buyer away.

Buyers should always demand all seller disclosures in writing and verify property history before proceeding.

2. Repairs and Inspection Negotiations

If the home inspection turns up issues, a buyer’s agent would normally fight to get repairs or credits.

But in dual agency, the agent has to remain neutral—which often means they won’t push the seller to make fixes or offer concessions.

Buyers should ask directly:

• "How much negotiating power do I have here?"
• "Can I request credits for repairs?"
• "Has the seller already turned down any previous requests?"

A good agent, even in a dual role, should be transparent about what is possible.

3. The Unspoken Advantage

Even if a dual agent does their best to stay neutral, there’s often an unspoken advantage for the seller.

• The listing agent already knows the seller’s bottom line.
• They might not openly tell the buyer what the seller is willing to accept.
• They might steer negotiations in a way that benefits the seller, even subconsciously.

Buyers who work with a listing agent directly should pay attention to how questions are answered. If responses are vague or evasive, it could be a sign that full transparency isn’t there.

How to Protect Yourself in a Dual Agency Transaction

If you’re considering working with a dual agent, here’s how to make sure you get a fair deal:

1. Ask the Right Questions

A strong agent should be willing to be upfront, even in a dual agency scenario. Ask:
✔️ "What information can you legally provide me?"
✔️ "Can you show me comparable sales so I know I’m getting a fair price?"
✔️ "How much room do I have to negotiate?"
✔️ "What are my risks in this deal?"

A trustworthy agent will answer honestly and directly—not with vague responses.

2. Demand Full Disclosures

Make sure you get everything in writing:

• Seller disclosures
• Inspection reports
• HOA documents (if applicable)
• A breakdown of any previous offers or price reductions

3. Consider Bringing in an Outside Expert

If you’re going to buy without your own agent, consider hiring:
🔹 A real estate attorney to review contracts
🔹 A home inspector who works independently of the agent’s recommendations

4. Trust Your Gut

If something feels off—if you sense hesitation in answering key questions, or if things seem too easy—take a step back. A smooth transaction shouldn’t mean a lack of transparency.

The Bottom Line: Can Dual Agency Be Fair?

Yes—but only when both sides get full information and a real chance to negotiate.

A good real estate transaction isn’t about one party winning and the other losing. The seller should get fair market value. The buyer should receive exactly what they’re paying for.

The moment transparency is lost, one side gains an unfair advantage—and that’s when dual agency becomes a problem.

Whether you choose to work with your own agent or a dual agent, make sure you’re getting the whole story, not just the easy version of it.

Thinking about buying or selling? Let’s make sure you get the representation and transparency you deserve. Contact us today.

" metaTitle: "Dual Agency in Real Estate: A Fair Deal or a Hidden Risk?" metaDescription: "Dual agency isn't always bad—but it can create an imbalance if transparency is lost. Learn how to protect yourself and ensure a fair transaction for both buyers and sellers." ogImage: "https://res.cloudinary.com/duqgao9h8/image/upload/v1737923143/dual-agency.jpg" altText: "Real estate agent negotiating between buyer and seller" keywords:

• dual agency real estate
• real estate transparency
• buying home without agent
• listing agent negotiation
• real estate disclosures

Dual Agency in Real Estate: A Fair Deal or a Hidden Risk?

Real estate isn’t a courtroom, and it isn’t supposed to be a fight where one side wins and the other loses.

A good real estate transaction should be a fair exchange:

• The seller receives market value for their home.
• The buyer gets what they pay for—a home with clear disclosures, no hidden issues, and terms they understand.

In theory, dual agency—where one agent represents both buyer and seller—can work as long as both parties get a fair deal. The problem is, when transparency fades, so does fairness.

Why Do Buyers Think Dual Agency Is a Good Deal?

Buyers often approach the listing agent directly under the belief that they can negotiate a better price by eliminating the buyer’s agent’s commission. The argument usually goes something like this:

"You were going to split the commission with another agent, but we don’t have one—so just pass the savings on to us."

It sounds logical. Less commission paid = more room for negotiation, right?

Not necessarily. Here’s why:

• The listing agent still represents the seller first and foremost. Their job is to maximize the seller’s return.
• The “saved” commission rarely turns into a discount for the buyer. Instead, it often stays with the agent or benefits the seller.
• Without an independent advocate, the buyer is left without negotiation leverage, relying on an agent whose first duty is to the seller.

This doesn’t automatically mean the buyer will lose—but it does shift the balance of power.

When Dual Agency Becomes a Problem

Dual agency isn’t inherently bad. If an agent is ethical and transparent, they can help both sides navigate the deal.

The real danger comes when key details—like disclosures and repairs—get lost or manipulated, giving one party an advantage over the other.

Heres a couple examples of problems that could arise if an unsavy buyer does not have proper representation:

• Problems with the homes liveability or structural damage.
• Purchasing the home over priced.
• Enviornmental or pest issues.
• Paying for common seller contractual responsibilites, like buyer paying for their own warranty, termite inspection or other terms.

If you are an unsavvy buyer you can very easily be taken advantage of contractually if you are not dealing with an agent with solid ethics.

1. Missing or Minimized Disclosures

A dedicated buyer’s agent will ask the tough questions:

• "Has this home had previous water damage?"
• "Has there been unpermitted work?"
• "Are there HOA issues or upcoming special assessments?"

In a dual agency situation, the agent might not push for full transparency because it could harm the deal—or they may simply avoid giving information that could steer the buyer away.

Buyers should always demand all seller disclosures in writing and verify property history before proceeding.

2. Repairs and Inspection Negotiations

If the home inspection turns up issues, a buyer’s agent would normally fight to get repairs or credits.

But in dual agency, the agent has to remain neutral—which often means they won’t push the seller to make fixes or offer concessions.

Buyers should ask directly:

• "How much negotiating power do I have here?"
• "Can I request credits for repairs?"
• "Has the seller already turned down any previous requests?"

A good agent, even in a dual role, should be transparent about what is possible.

3. The Unspoken Advantage

Even if a dual agent does their best to stay neutral, there’s often an timely tactical advantage for the seller.

• The listing agent already knows the seller’s bottom line.
• They might not openly tell the buyer what the seller is willing to accept.
• They might steer negotiations in a way that benefits the seller, even subconsciously.

Buyers who work with a listing agent directly should pay attention to how questions are answered. If responses are vague or evasive, it could be a sign that full transparency isn’t there.

How to Protect Yourself in a Dual Agency Transaction

If you’re considering working with a dual agent, here’s how to make sure you get a fair deal:

1. Ask the Right Questions

A strong agent should be willing to be upfront, even in a dual agency scenario. Ask:
✔️ "What is my timeline for recieving disclosures, and how much time will I have to review them, How will you help me review them as my agent?"
✔️ "Can you show me comparable sales, also tell me the parameters of how you prepared these comps?"
✔️ "Is the seller willing to pay for repairs that effect the livability of the home?"
✔️ "Can I have full accessess to visit and or inspect the property during the escrow process?"

A trustworthy agent will answer honestly and directly—not with vague responses.

2. Demand Full Disclosures

Make sure you get everything in writing:

• Seller disclosures, TDS & SPQ
• Home Inspection Report and Termite Report
• HOA documents (if applicable)
• A breakdown of repairs or work that have been done to the home

3. Trust Your Gut

If something feels off—if you sense hesitation in answering key questions, or if things seem too easy—take a step back. A smooth transaction shouldn’t mean a lack of transparency.

The Bottom Line: Can Dual Agency Be Fair?

Yes—but only when both sides get full information and a real chance to negotiate.

A good real estate transaction isn’t about one party winning and the other losing. The seller should get fair market value. The buyer should receive exactly what they’re paying for.

The moment transparency is lost, one side gains an unfair advantage—and that’s when dual agency becomes a problem.

Whether you choose to work with your own agent or a dual agent, make sure you’re getting the whole story, not just the easy version of it.

How do I work through these challenges as an agent?

Honesty has and always will be my first policy and promise to my clients. I'm an open book and a true representative. I provide industry leading guides and documentation advice and service for my clients no matter what side of the transaction they on. I offer resources on my website such as my Ultimate Buyer & Sellers guides that act as your core foundation to insuring a successful real estate transaction that anybody has access too on my website. I deliver a timeline during escrow and go over each step of the transaction process and work with a fantastic team of real estate professionals to insure your success. I empower my clients to understand lengthy contracts, disclosures, and documentation with a combination of my knowledge of real estate law and cutting edge tools like AI to break through the jargon and bring you the information you need to know, and when you need to know it.