When can a real estate company act as an intermediary between a buyer and seller?

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A real estate company can act as an intermediary between a buyer and seller when both parties consent to limited agency. Limited agency allows the real estate firm to represent both the buyer and the seller in a transaction while maintaining a duty to both parties. This arrangement is contingent upon obtaining informed consent from both the buyer and the seller, ensuring that both understand the implications of the dual representation and how the company's role will function.

When limited agency is established, it creates a unique scenario where the firm can facilitate communication and negotiations between the two parties, while also disclosing any relevant information, as long as it adheres to the duties owed to both clients. This structure is particularly advantageous in transactions where both parties are comfortable with the arrangement and trust the intermediary to handle their interests fairly.

Furthermore, this option emphasizes the requirement of mutual consent, which is a key component of establishing a limited agency relationship in real estate transactions.

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