Conflict of Interest

Why You Shouldn’t Use
the Seller’s Agent as
Your Buyer’s Agent

It’s the most convenient choice — and often the most expensive mistake a buyer can make in Ontario.

The Fundamental Conflict

Under Ontario’s TRESA (Trust in Real Estate Services Act), a registrant owes their client a full set of fiduciary obligations, including:

• Loyalty — placing the client’s interests above all others
• Confidentiality — protecting the client’s negotiating position, motivations, and sensitive information
• Full disclosure — sharing all material information relevant to the client’s decision

The listing agent signed a Listing Agreement with the seller. That is who they legally serve first. When you approach the same agent to represent you, those duties do not automatically transfer or split evenly — the seller relationship was established first.

Ontario allows a single agent to represent both buyer and seller in the same transaction — this is called Multiple Representation (previously known as dual agency). But the rules around it reveal exactly why it’s problematic for buyers:

When multiple representation is declared, the agent must:
• Disclose the situation to both parties in writing
• Obtain written consent from both parties
• Enter a restricted representation mode — they can no longer advise either party on price or negotiate on behalf of either side

Read that again: when you most need someone to negotiate the best price for you, your agent is legally prohibited from doing exactly that. You have a representative in name only — with none of the actual advocacy that representation is supposed to provide.

The listing agent knows things about this transaction that give the seller a massive advantage — and they are legally required to keep it confidential from you:

• The seller’s bottom line price — the minimum they’ll actually accept
• The seller’s motivation — are they relocating urgently? Under financial pressure? Just testing the market?
• Any known issues with the property they hope buyers won’t discover
• Whether other buyers are actively interested or competing

A buyer’s agent working exclusively for you can’t unlock these secrets either — but they know how to gather market intelligence through comparable sales, listing history, and professional communication that levels the playing field. The listing agent won’t do any of that on your behalf.

Your Position: With a Buyer’s Agent vs. Without

Many buyers believe that by skipping a buyer’s agent, they’ll save money — either directly or by giving the listing agent leverage to negotiate a lower price. This reasoning is flawed.

In most Ontario transactions, the buyer’s agent commission is already built into the listing agreement. The seller committed to paying it when they signed with the listing brokerage. Whether or not you bring your own agent, that total commission is typically still paid — it just goes entirely to the listing agent instead.

The math:
• You bring your own buyer’s agent → seller pays buyer’s agent commission, you pay nothing
• You use the listing agent → listing agent collects both sides of the commission, seller rarely passes the savings to you

You don’t save money. You just give up the representation you were entitled to — at no cost to you.

A client came to me after purchasing a detached home in Markham through the listing agent. The agent had offered to handle both sides and assured them it would be “fair and smooth.”

The purchase price was $1,095,000.

When I ran a comparative market analysis afterward, similar homes on the same street had sold that same month for $1,060,000 to $1,065,000. They had overpaid by approximately $30,000.

Additionally, their Schedule B contained clauses that removed standard buyer protections — clauses that a dedicated buyer’s agent would have flagged and attempted to negotiate away.

The listing agent wasn’t dishonest. They were just doing their job — which was to serve the seller.

A proper Buyer’s Representative does far more than just write the offer. Here’s what you should expect:

• Comparative Market Analysis (CMA) — data-backed fair value range for every property you consider
• Offer strategy design — price, terms, conditions, and deposit structure calibrated to your goals and the market
• Contract review — identifying clauses in Schedule B and the main APS that disadvantage you
• Negotiation — advocating for your price and terms without the conflicts that come with multiple representation
• Multiple offer guidance — advising when to push, when to walk, and what your ceiling should be
• Due diligence coordination — connecting you with inspectors, lawyers, and mortgage professionals who serve your interests

And again: the commission for all of this is paid by the seller. Not you.

My Commitment: I Don’t Do Multiple Representation

The Three Things to Remember

1. The listing agent’s legal duty is to the seller — not to you
2. Multiple representation legally restricts price negotiation for both parties
3. A buyer’s agent costs you nothing — the seller pays that commission regardless

Looking for a Buyer’s Agent Who Works for You?

Free consultation. I’ll analyze any property you’re considering and give you an honest picture of its market value — before you write a single dollar on an offer.

📞 416-277-3836

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