BUYER’S AGENT

A buyer can engage the services of a real estate agent to purchase property and the real estate agent is then the agent for the buyer who becomes the agent’s client. This means that the real estate agent represents the buyer. The agent owes the buyer the undivided loyalty, reasonable care, disclosure, obedience to lawful instruction, confidentiality and accountability, provided, however, that the agent must disclose known material defects in the real estate. The agent must put the buyer’s interests first and negotiate for the best price and terms for the client, the buyer. (The buyer may also authorize sub-agents to represent him/her in purchasing property, however the buyer should be aware that wrongful action by the real estate agent or sub-agents may subject the buyer to legal liability for those wrongful actions).

DESIGNATED BUYER’S AGENT

A real estate agent can be designated by the another real estate agent (the appointing or designating agent) to represent the buyer, provided the buyer expressly agrees to such designation. The real estate agent once so designated is then the agent for the buyer who becomes their client. The designated agent owes the buyer the undivided loyalty, reasonable care, disclosure, obedience to lawful instruction, confidentiality and accountability, provided, however, that the agent must disclose known material defects in the real estate. The agent must put the buyer’s interests first and negotiate for the best price and terms for the client.

DUAL AGENT

A real estate agent may act as a dual agent representing both the seller and buyer in a transaction but only with the expressed and informed consent of both the seller and buyer. Written consent to dual agency must be obtained by the real estate agent prior to the execution of an offer to purchase a specific property. A dual agent shall be neutral with regard to any conflicting interest of the seller and buyer. Consequently, a dual agent cannot satisfy fully the duties of loyalty, full disclosure, and obedience to lawful instructions which is required of an exclusive buyer agent. A dual agent does, however, still owe a duty of confidentiality of material information and accounting of funds. The written consent for dual agency must contain the information provided for in the regulations of the Massachusetts Board of Registration of Real Estate Brokers and Salespeople (Board).

(From The Massachusetts Mandatory Licensee-Consumer Relationship Disclosure)