“Why don’t Realtors at Nest Real Estate Group do Single-Agent Dual Agency?” is a question we are frequently asked. The answer is simple – we believe that our clients want and deserve full representation.
The Virginia Association of Realtors standard Buyer Brokerage form says as much:
Because of the Broker’s dual representation in such a transaction, Buyer understands that Buyer and the seller have the responsibility of making their own decisions as to what terms are to be included in any purchase agreement. Buyer should be aware of the implications of Broker’s dual representation, including the limitation on Broker’s ability to represent the seller or Buyer fully and exclusively.
What is single-agent dual agency? Simple – where the Realtor “represents” both sides of a transaction. “Represents” as in neither fully nor exclusively.
We do practice designated agency, whereby two Nest agents each represent their respective client.
The Code of the Commonwealth of Virginia says:
“Designated agent” or “designated representative” means a licensee who has been assigned by a principal or supervising broker to represent a client when a different client is also represented by such principal or broker in the same transaction.
“Dual agent” or “dual representative” means a licensee who has a brokerage relationship with both seller and buyer, or both landlord and tenant, in the same real estate transaction.
What we don’t do is Single-Agent Dual Agency.
Just a clarification in light of the recent Realtor Magazine article on Nest Realty and Jonathan Kauffman :
I require that all of our agents work full time and have a minimum of three years of full-time real estate experience. I also require that associates earn their broker license within six months of joining the firm. From a brand perspective, higher standards differentiate us. All of our agents have a track record before they get here. Last year their individual sales volume ranged from $2.5 million to $8 million. As a company rule, we also don’t do dual agency. We made that decision thinking in terms of what’s in the best interest of our clients, not our cash flow. It doesn’t matter to us if it hurts our profitability.
This post is Part One of Two; part Two – How Brand Matters – is coming next week.
James Vitale
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Great concept to put the people first. Really was inspired by the article about you in the Realtor Magazine. I am a Broker / Owner of a one horse company and was wondering if you refer the customer who wants to buy one of your properties to another company.
Jonathan Kauffmann
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@ James – thanks for the note. To answer your question: our agents refer customers to other Nest Realty agents, as well as agents with other companies. It’s really up to the customer to make the final decision on who they want to work with.
Carolyn Davis
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I enjoyed the article about you and your company in Realtor Magazine. Your concept of specially designed yard signs for individual homes really peaked my interest. Being a very small company in a rural area, I am always looking for things that set me apart from other agents and I think your sign idea would be something I would like to try. Can you give me an idea of how the signs are designed and who makes them for you.