What describes a process involving two agents in an in-house sale, where one represents the seller and the other represents the buyer?

What describes a process involving two agents in an in-house sale, where one represents the seller and the other represents the buyer?

• A. Designated agency
• B. Dual agency
• C. Exclusive agency
• D. Open agency

Answer: (A)

The correct answer is designated agency. This concept arises in situations where a real estate brokerage represents both the buyer and the seller in the same transaction but assigns different agents to represent each party. Each agent advocates for their respective client's interests while the brokerage itself maintains a single entity in the transaction. In designated agency, the agents are tasked with providing separate and distinct representation, which ensures that there is no conflict of interest within the brokerage. This structure allows both the seller and the buyer to have personalized support while also optimizing the efficacy of the transaction by keeping everything within one brokerage. Understanding designated agency is crucial, as it ensures that clients receive tailored advice and representation, while the brokerage navigates the sale efficiently. The other types of agency mentioned showcase different relationships and levels of representation that do not specifically represent this dual-agency function within a single firm.

The correct answer is designated agency. This concept arises in situations where a real estate brokerage represents both the buyer and the seller in the same transaction but assigns different agents to represent each party. Each agent advocates for their respective client's interests while the brokerage itself maintains a single entity in the transaction.

In designated agency, the agents are tasked with providing separate and distinct representation, which ensures that there is no conflict of interest within the brokerage. This structure allows both the seller and the buyer to have personalized support while also optimizing the efficacy of the transaction by keeping everything within one brokerage.

Understanding designated agency is crucial, as it ensures that clients receive tailored advice and representation, while the brokerage navigates the sale efficiently. The other types of agency mentioned showcase different relationships and levels of representation that do not specifically represent this dual-agency function within a single firm.