They also understood that it is really impossible to represent both the buyer and the seller. A single agent cannot give loyalty and attention to both parties in a transaction. “I expect my phone to start ringing,” said Matthew Alegi, real estate lawyer at Shulman Rogers in Potomac. “It is worrying to expect the consumer to be willing to pay money to get out of the contractual obligations. Consumers could be held hostage if there is no agreement. If the seller unilaterally terminates the agency relationship, the listing broker must remove the panels from the shipyard and remove ownership from the multiple list service. Coakley Realty strives to provide you with the best home buying experience possible! To learn more about signing a buyer broker contract with us, please contact us online or call 301-340-8700. A buyer brokerage agreement – also known as the “Buyer Agency Agreement” in DC and Maryland, and an “exclusive right to represent a buyer`s agreement” in Virginia, is a contract between the potential real estate buyer and a real estate agent. Buyers sign to establish a working relationship with their realtor. This one is difficult to explain because it is different in different states.
In Maryland, a real estate agent cannot represent both the buyer and the seller. It`s illegal. It is really a conflict of interest in a negotiation. How can an agent “represent” the best interests of a buyer AND seller when negotiating? Both have opposing goals, for the most part… The seller wants to get the best price and the best conditions, and so the buyer too. In Maryland, the broker is the only one who can be a double agent. That`s how it works, not in Maryland. Maryland is a progressive consumer protection state and was one of the first states to set up a buyer agency. In the late 1990s, the Maryland Real Estate Commission realized that buyers needed representation. However, the contractual obligation can only be terminated prematurely if both parties consent. In the absence of a reciprocal agreement to terminate contractual obligations before the contract expires, the seller still owes the agreed commission to the real estate agent. It`s the same for a buyer.
“With an alternate agency – if the agent represents both buyers and sellers – the agent cannot insist on what is best for you or the other customer. The agent collects the double commission, but does almost nothing of the specific work of a seller or buyer`s agent. The duale agency only benefits the agent and should be avoided at all costs if you want a positive buying or selling experience. An agent of a real estate agent other than the selling agent can help buyers buy, but has a duty to the sellers. Again, agents owe fair and ethical treatment to the unrepresented buyer, but they nevertheless have a duty to represent the welfare of the seller.