I’m in the process of finding a new residential property to rent. Found a place I am interested in. The owner of the property has a real estate firm showing/handling the transaction. When I requested a copy of the lease to review it was provided along with a form that I’d have to sign for “dual agency”. I’ve googled this term, as I’m not familiar with the implications of agreeing to such, and I’m not quite understanding - most info I’ve come across has more to do with buying/selling property vs. lease situations. Anyone have an opinion to offer on whether this is or is not in my best interest to sign?
They’re disclosing a possible conflict of interest for representing both parties in a transaction. Maybe push your luck and ask them to negotiate better terms? Generally the seller pays commission but if you sign that form they’re working for you.
You mean they’re saying, basically, that you agree that in case of any dispute, their lawyer will also be your lawyer? I would never sign that.
I’ve read that this is also common in bank loan contracts.
Not lawyer, real estate agent.
When you have a property to sell, you contact a “listing agent.” They research comparable homes and advise you what they think it is worth, what they think it’ll sell for, and how much they think you should ask. They will generally give advice on how to make your home show really well (declutter, temporarily take down family photos, rearrange furniture) and either photograph your home or arrange for it to be photographed professionally so it looks really good online. They list the home on the Multiple Listing Service, stage open houses, reach out to colleagues, etc. Once you have an offer (or offers) they help you to evaluate the offer(s) and negotiate and guide you through the process until your home is sold.
When you are looking to buy a home, you contact a “buyers agent.” They ask you what you’re looking for, where you want to be, what you want to spend, and they find homes to show you which seem like a good fit. When you find a home you might like to buy they research comps, tell you what they think the home is worth, what they think the home will sell for, and what they think you should offer. They will write the offer and send it to the listng agent and help you negotiate and walk you through the purchase contact and inspection and closing.
The agents split a commission from the sale of the home. The seller pays that commission.
In this case the OP came without a buyers agent. (And it’s a lease, not a sale) The listing agent wants to be the listing agent and buyers agent to collect the entire commission. Naturally it seems problematic to represent both parties in a negotiation so the agent needs to disclose that they’re fighting for both sides.