In most states, under what condition is dual agency permitted?

Dual agency is a practice in real estate where a single agent represents both the buyer and the seller in a transaction. For dual agency to be permissible, it is essential that both parties involved — the buyer and the seller — provide their consent. This consent ensures that both clients understand the potential conflicts of interest and agree to the arrangement voluntarily.

In many states, the law mandates that this agreement be in writing to ensure transparency and protect the interests of both parties. This requirement emphasizes the importance of informed consent, as dual agency can lead to situations where the agent might not be able to fully represent the interests of one party without compromising the other.

The other options do not accurately reflect the legal framework governing dual agency. Verbal agreements, while possibly relevant in informal contexts, do not generally satisfy the legal requirements that dictate how real estate transactions must be conducted. A broker being a lawyer does not automatically permit dual agency; it still necessitates the consent of both clients. Furthermore, restrictions based on designated counties are not a common standard across most states; dual agency regulations stem from state law rather than geographical distinctions.