What is a disadvantage of a dual agency relationship?

In a dual agency relationship, a single agent represents both the buyer and the seller in the same transaction. This arrangement inherently limits the full representation that can be provided to both parties because the agent cannot advocate wholly for either side's best interests without facing a conflict of interest. For example, the agent cannot negotiate the highest price for the seller while also trying to secure the lowest price for the buyer. This lack of full representation can lead to challenges in ensuring that both parties feel adequately supported and that their needs are fully addressed during the transaction.

Option B is correct because it succinctly captures the core limitation of dual agency, which is the inability of the agent to advocate fully for both parties involved. This contrasts with a traditional agency relationship, where the agent can dedicate their efforts to exclusively serve either the buyer or the seller.