1. 1. Agency Relationships 18 In this chapter:
> What it means to represent buyers
> Parties in the real estate transaction
> Types of agency relationships
> Non-agency relationships
> Office policy 18

2. 18 WHAT IT MEANS TO REPRESENT BUYERS
Buyer representation is a form of agency
Agency: a relationship when one person delegates to another the right to act on his or her behalf in business transactions 18

3. 18 WHAT IT MEANS TO REPRESENT BUYERS
Agent puts best interests of client above interests of all parties, including the agent’s
Client relies on agent to represent him or her and puts confidence and faith in the agent 18

4. 18 WHAT IT MEANS TO REPRESENT BUYERS
In buyer representation, the buyer’s representative is agent of the buyer and owes fidelity in all transaction matters to the buyer 18

5. PARTIES IN THE TRANSACTION19

6. PARTIES IN THE TRANSACTION19

7. TYPES OF AGENCY RELATIONSHIPS20

8. Single Agency
Broker works for only one client in real estate transaction, not both, with primary duties to that party only.
Some brokerages practice only buyer agency or only seller agency. 21

9. Dual Agency
Working simultaneously with both parties in a real estate transaction is known as dual agency. 21

10. Designated Agency
Broker appoints listing agent as designated agent of the seller and buyer’s agent as designated agent of the buyer. 21

11. Designated Agency
BALANCING ACT: Discussing Disclosed Dual and Designated Agency
Possibilities should be disclosed to buyer during the counseling session but no later than entering into contract 22

12. Subagency
While subagency has virtually disappeared from real estate practice, it was initially created as a way to address issues that arose after MLSs became widely accepted 22

13. NON-AGENCY RELATIONSHIPS22

14. OFFICE POLICY Each brokerage company should have its own policy.
If you are not sure what your office policy is, talk w/your broker. 23