In a multiple representation situation, what must a real estate professional disclose?

In a multiple representation situation, it is crucial for a real estate professional to disclose that they are representing multiple parties in the transaction. This transparency is vital to ensure that all parties involved understand the potential conflicts of interest that may arise when one agent represents more than one client in the same transaction. This disclosure helps to maintain trust and integrity within the transaction, as clients need to be aware of the dynamics that may affect their interests.

By informing clients about multiple representation, the real estate professional enables them to make informed decisions about the situation, including whether they feel comfortable continuing with the agent or if they would prefer to seek exclusive representation. This practice aligns with ethical standards and regulations set forth in real estate practice, ensuring that all parties are treated fairly and with full knowledge of the circumstances surrounding their representation.