Lesson 1: Brokerage Relationship Disclosure Timeline in Maryland 

Brokerage Disclosure

Before they can provide services for a client, licensees must first disclose their relationship with their broker. This provides both an assurance of quality and legality as well as informs your client of important things they need to know about, including whether or not you’ll be working with them as an intra-company agent. MREC requires the licensee to provide a copy of “Understanding Whom Real Estate Agent Represent” for unrepresented party during the first face-to-face contact. 

First Meeting

Brokerage disclosure must be made to the potential client in writing before the licensee begins to provide them any services. This must occur no later than the first face-to-face meeting between potential client and licensee. If the licensee’s first contact with the prospective buyer or lessee/seller or lessor is not face-to-face the licensee must disclose through the medium in which the contact happened, if whose agent the licensee is. 

Disclosure to Other Parties

In the event that a seller or buyer with whom you must work does not have their own agent (such as is the case in a “for sale by owner” transaction), both they and your client must be notified of your licensee’s brokerage status. You are responsible for providing this disclosure to the seller or buyer before beginning negotiations.

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Check for understanding!

Why is it important to disclose brokerage information to potential clients?