* In a traditional relationship, real estate agents and brokers have afiduciary relationship to the seller. Be aware that the seller pays thecommission of both brokers, not just the one who lists and shows theproperty, but also to the sub-broker, who brings the ready, willing andable buyer to the table.
* Dual agency exists if two agents working for the same brokerrepresent the buyer and seller in a transaction. A potential conflictof interest is created if the listing agent has advance knowledge ofanother buyer's offer. Therefore, the law states that a dual agentshall not disclose to the buyer that the seller will accept less thanthe list price, or disclose to the seller that the buyer will pay morethan the offer price, without express written permission.
* A buyer also can hire his or her own agent who will represent thebuyer's interests exclusively. A buyer's agent usually must be paid outof the buyer's own pocket but the buyer can trust them with financialinformation, knowing it will not be transmitted to the other broker andultimately to the seller.