What term describes a situation where a broker represents both the buyer and seller?

Dual agency is the correct term for a situation where a broker represents both the buyer and seller in a real estate transaction. This arrangement requires careful management to ensure that both parties' interests are adequately represented, as it inherently creates a conflict of interest. The broker must maintain neutrality and provide fair treatment to both parties, ensuring that confidential information is kept private.

In dual agency, it is crucial for the broker to disclose that they are acting for both sides and obtain consent from both the buyer and the seller to proceed with this arrangement. Proper handling of dual agency is vital to ensure compliance with brokerage laws and to maintain trust among all parties involved in the transaction.

Options like exclusive agency and single agency refer to different types of representation where a broker represents either only one party or operates under exclusive terms with one client. Co-brokerage involves two different brokers collaborating on a transaction and does not pertain to representation by a single broker for both parties involved.