What type of agency representation requires the broker to represent both parties?

Dual agency is a type of agency representation where a broker represents both the buyer and the seller in a real estate transaction. This arrangement allows one broker to facilitate negotiations and communication between both parties, which can streamline the process. However, it also introduces potential conflicts of interest, as the broker must navigate the differing interests of both the buyer and seller.

In dual agency, the broker must maintain a fair balance and act neutrally while providing services and information to both parties. This is often subject to legal regulations and may require the informed consent of both the buyer and seller, ensuring that they understand the implications of this type of representation.

Other types of agency, such as designated agency, involve a broker appointing different agents to represent each party, thus removing the dual representation aspect. Exclusive and non-exclusive agency representations pertain to the relationship between a seller and a broker concerning property listings, but they do not involve the representation of both parties in the same transaction.