In this post, we’ll talk about the CIS (Consumer Information Statement) as it pertains to Dual Disclosed Agency. Do I have you confused with this one? Read on, and I’ll try to confuse you even more. As I’ve said in previous posts, in New Jersey, Realtors use a document which is called a CIS. You should receive a copy of the CIS the first time you meet with a Realtor. Are you ready to get confused? Let’s proceed.
Dual Disclosed Agency
In previous posts, we discussed what a seller’s agent is, and what a buyer’s agent is. Your Realtor represent both the buyer and seller when your Realtor is involved with Dual Disclosed Agency.
Imagine that you’re out for a ride on a Sunday afternoon. You see a sign for and open house and stop in. Before you know it, you’ve fallen in love with the home and you have the agent write a contract. The agent is representing both the buyer and seller in this example of Dual Disclosed Agency.
Responsibilities
A disclosed dual agent WORKS FOR BOTH THE BUYER AND SELLER. In order to work as a dual agent, a firm must first obtain the informed written consent of the buyer and the seller. This can be either the same agent working for both parties, or different agents working for the same brokerage. The agent(s) also have the same fiduciary responsibilities as buyer’s agents and seller’s agents.
It’s important to know that a brokerage firm acting as a disclosed dual agent cannot put one party’s interests ahead of those of the other party. Also, they cannot advise either party on how to gain an advantage at the expense of the other party based on confidential information obtained from or about the other party. That’s a heft sentence. In English, here’s what I read this to mean.
Treat each party fairly, and don’t disclose any info you have about either party.
Bottom Line
A Realtor is allowed to represent both parties in a sale. However, they must treat everyone fairly and cannot reveal confidential information to the other party.
This description of Dual Disclosed Agency is my interpretation only. The CIS is part of the necessary paperwork to purchase a home. I strongly suggest that you read the entire CIS carefully before signing it. Remember, this is a legal document. If you want me to send you a copy, contact me .
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