What document requires sellers and prospective buyers to sign in order to consent to the agency relationship?

The Agency Disclosure Statement is a critical document in real estate transactions that outlines the nature of the agency relationship between the agent and the parties involved, specifically sellers and prospective buyers. This document ensures that everyone is informed about who the agent represents and what that means for their rights and responsibilities within the transaction.

By signing the Agency Disclosure Statement, both the seller and the buyer provide their consent to the agency relationship, affirming their understanding of how the agent's duties to them will be managed. This transparency is essential to foster trust and compliance within the real estate process, as it clarifies the agent's role either as a representative of the seller, the buyer, or both in a dual agency situation.

Other documents, such as a Power of Attorney, Listing Agreement, or Sales Contract, serve different purposes in the real estate process. For instance, a Listing Agreement is primarily related to the agreement between the seller and the agent regarding the sale of the property but does not serve to inform both parties of the agency relationship in the same way. Similarly, the Sales Contract is a legal agreement pertaining to the sale terms but does not address the agency disclosure needed prior to the transaction. The Power of Attorney grants authority to act on another’s behalf but does not pertain specifically