Q: What's the difference between a buyer's agent and a seller's agent? And what is dual agency?
James Mulligan, Joppa
A: Maryland's new law requiring real estate agents to disclose information to the public took effect Jan. 1. The new law specifies disclosure requirements and the details of both
disclosure and consent forms that are required on all sale and lease of real estate -- involving one to four single-family residential dwelling units.
The disclosure forms are available from the Maryland Real Estate Commission -- (410) 333-6230.
The following definitions have become a part of the new real estate law:
* "Buyer's Agent": A licensed real estate salesperson or broker who represents only the prospective buyer or renter.
* "Seller's Agent": A licensed real estate salesperson or broker who represents only the seller or is affiliated with or acts as the listing broker for real estate and assists a prospective buyer or renter.
* "Dual Agent": A licensed real estate salesperson or broker who acts as an agent for both the seller and buyer or landlord and renter in the same real estate transaction.
* "Designated Dual Agent": A licensed real estate salesperson or broker who has been designated the real estate broker, who the agent is affiliated with, to act as a dual agent on behalf of a seller or landlord, or buyer or renter, in the purchase, sale or lease of real estate that is listed with the real estate broker that the agent is affiliated with.
* "Cooperating Agent": A licensed real estate salesperson or broker who is not affiliated with nor is acting as the listing real estate broker for a property and assists a prospective buyer or renter as subagent of the listing broker.
The disclosures must be made in writing at or before the first face-to-face meeting with the sellers or buyers, or landlords and renters. These written disclosures are intended to clarify to whom the real estate agent owes fiduciary responsibility -- who does the agent represent. Because of the length and complexity of disclosure the new law requires, it will be tested in the marketplace by its use and operation.
