Charleston home buyers, if you call the listing agent, understand dual agency
What is dual agency anyway.
The first thing to understand is that there are two sides to a real estate transaction, the seller side and the buyer side. What you have with dual agency are two parties with adverse interests and dual agency is created when a real estate agent agrees to represent both parties in a transaction. But in dual agency, a real estate agent cannot advocate for either party so effectively, neither is actually represented. And strangely enough, it is legal in South Carolina (real estate laws vary by state).
But it is a growing trend because buyers think that they can save money by dealing directly with the listing agent. But can they really.
Those who practice dual agency believe just as strongly that it is right as the other side who believe that dual agency should be outlawed and is probably unethical. My position is very simple, I don't think it is unethical but I certainly understand that you cannot serve two masters. I don't practice dual agency, period.
Here's a little of what I hear from agents who do practice dual agency. "I got both sides of the transaction, I double dipped or I double ended". Some real estate agents can make more money by handling both sides of the transaction since they don't necessarily reduce the real estate commission if a buyers agent is not involved.
So after hearing that, as a real estate consumer, do you still believe that you can save money in a real estate transaction by calling the listing agent and getting involved in dual agency.
In dual agency, the real estate agent cannot advocate for or represent either party. All they can do is facilitate the transaction.
Let's wrap this up. I get a lot of phone calls and email inquiries from buyers who have searched the Charleston MLS on my website. Many think that I am the listing agent when they inquire. Now common sense would tell you that when you search on my website and my contact information is on every single listing that I couldn't possibly be the listing agent for all 10,000 available homes for sale in Charleston. Many other Charleston real estate agents provide MLS search on their websites because they understand that buyers are more interested in homes than they are in real estate agents.
But you should be aware of what happens when you contact the listing agent. You can either be a self represented buyer or you can enter into a dual agency agreement. It's a slippery slope. Be careful. It's your money.