Dual Agency Basics

In the traditional mechanics of real estate agency, fiduciary duty dictates that an agent fights relentlessly for a single client's best financial outcome. This creates a system of balanced opposition: the seller's agent pushes for the highest possible price, while the buyer's agent pulls for the lowest. When the same broker attempts to pull both ends of this rope simultaneously, the structural integrity of the transaction changes entirely. This phenomenon shifts the agent from an advocate to a neutral facilitator. In New York State, navigating this legal tightrope requires absolute transparency, strict adherence to statutory disclosures, and a fundamental shift in how an agent operates at the negotiating table.

A traditional agent's fiduciary duty places absolute loyalty and good faith at its core—a standard that becomes structurally impossible when representing both sides.
A traditional agent's fiduciary duty places absolute loyalty and good faith at its core—a standard that becomes structurally impossible when representing both sides.