Reviewed October 17, 2026. A study guide for Pennsylvania real estate students, not advice for a particular transaction.
When a buyer speaks with a real estate salesperson, who does that salesperson represent? The answer is not necessarily “the person standing in front of them.” Pennsylvania agency questions become easier when you separate three things: the disclosure the consumer receives, the representation agreement, and the duties attached to the relationship.
This guide explains the Pennsylvania Consumer Notice and the differences between buyer agency, dual agency, designated agency and transaction-licensee services. Use it alongside your course materials rather than as a replacement for the required education.
What is the Pennsylvania Consumer Notice?
The Consumer Notice explains the business relationships available to consumers. It is a disclosure, not a representation contract. Signing its acknowledgment records receipt; that signature alone does not appoint the licensee as the consumer’s agent. See the Commission’s official Consumer Notice.
Think of two different questions: “Have the choices been explained?” and “Which relationship have we agreed to?” The notice addresses the first. Do not answer the second simply because someone has signed the notice or attended a showing.
When must the notice be provided?
Section 35.336 requires the notice at the initial interview. The acknowledgment, signed or refused, must be retained for six months, and the consumer receives the entire disclosure summary.
The regulatory definition of initial interview means the first substantive discussion of the consumer’s real estate needs. It is not simply a label for a scheduled office appointment. For a study scenario, look at what was discussed, rather than whether the conversation happened in an office, at a property or by phone.
Buyer agency and seller agency: identify the principal
A principal is a consumer who has entered an agency relationship. A seller’s agent represents the seller or landlord; a buyer’s agent represents the buyer or tenant. A useful first move in a scenario is to underline the person the licensee has agreed to represent.
Payment alone does not decide representation. Under the duties of a buyer’s agent, a buyer’s agent owes loyalty to the buyer and confidentiality, while still disclosing known material defects. The Consumer Notice explains that buyer representation can exist even when the seller pays the licensee. “Who pays?” and “Who is represented?” are separate questions.
Dual agency requires written consent
A dual agent represents both sides in the same transaction. Section 35.314 requires both parties to consent in writing. It also prohibits action adverse or detrimental to either party’s interests and requires confidentiality, subject to disclosure of known material defects.
Study example: Jordan represents a seller, and a buyer asks Jordan to represent the buyer in purchasing that listing. Do not jump straight to “Jordan may represent both.” First identify the change in relationship and the written-consent requirement. A friendly conversation is not the required consent.
Designated agency: different agents, one broker
Designated agency lets an employing broker, with the principal’s written consent, assign particular licensees to represent that principal exclusively. In a same-broker transaction, one designated agent may represent the buyer and another the seller. The employing broker is a dual agent.
Section 35.315 requires safeguards for confidential information. Before writing or presenting an offer, the designated agent must disclose that the other party has a designated agent employed by the same broker and confirm the broker’s dual role.
Draw this as a simple study diagram: one broker at the top, two designated agents below, and one principal beneath each agent. This makes it easier to distinguish the individual agents’ roles from the broker’s role.
Transaction licensee does not mean “no duties”
A transaction licensee supplies real estate services without an agency relationship. Under Section 35.316, the licensee cannot reveal that a seller would accept less, a buyer would pay more than the written offer, or either party would accept different financing terms. Known material defects must still be disclosed.
For example, suppose a buyer’s written offer is $250,000 but the buyer says they could pay $260,000. The absence of an agency relationship is not permission for a transaction licensee to reveal that higher limit.
A four-question study checklist
- What document is being discussed? Separate the Consumer Notice from an agency agreement.
- Who is the principal? Find the representation facts, not just the person paying.
- Is the same broker involved on both sides? Check for designated agents and the broker’s dual role.
- What information is at issue? Distinguish bargaining limits from known material defects.
After reading a scenario, write one sentence explaining your answer. If your explanation relies only on “they work for the same company” or “the seller pays,” revisit the relationship details.
Put agency concepts into your course plan
Start with our Fundamentals versus Practice guide to understand the two-course path. Then use the Pennsylvania practice questions to test how you apply concepts, and our employing-broker checklist when you begin comparing brokerages.
For an actual transaction, use current Commission forms and your employing broker’s procedures, and obtain legal advice when needed. This article does not establish a consumer’s agency relationship.