NCREC Rewrites Proposed Dual Agency Rule: Full Brokers Could Still Represent Both Sides

Back in July, we examined hundreds of public comments submitted to the North Carolina Real Estate Commission about a proposed rule that could have dramatically changed dual agency in North Carolina.

The earlier proposal contained one particularly consequential sentence:

“An individual broker shall not represent both the buyer and seller in the same real estate sales transaction.”

In other words, the proposal would have effectively ended single-broker dual agency in residential sales. A firm could still potentially represent both sides through designated agency, but one individual broker could no longer represent both the buyer and the seller.

The proposal generated significant debate.

Some brokers argued that a single broker cannot adequately represent two clients with competing interests. Others argued that informed consumers should be allowed to accept the limitations of dual agency and choose the broker they want to work with. Read our previous dual agency article →.

Now, the Commission is considering a substantially different version of the rule.

And this one takes a very different approach.

NCREC Changed Direction After the Earlier Proposal

According to materials prepared for the Commission's September 23, 2026 meeting, the Commission withdrew the previous agency rule language from consideration by the Rules Review Commission at its July meeting.

The Commission then directed staff to rewrite the proposal so that the prohibition on representing both sides would apply only to brokers on provisional status — not to all individual brokers. 

That is a significant change.

Under the revised proposal:

A provisional broker could not personally represent both parties in the same real estate sales transaction.

But a broker who is not on provisional status could still potentially represent both parties — provided the requirements of the proposed rule are followed.

Today's Commission agenda specifically identifies the revised Agency Agreements and Disclosures rule package as an item for consideration.

Important: This Is Still Only a Proposal

Nothing discussed below should be interpreted as a new rule that brokers must begin following today.

The September 23 materials state that the revised language must be published for a new 60-day public comment period before the Commission can take final action. The draft lists a proposed effective date of July 1, 2027, but even that date is not final.

Because Commission meeting minutes are not necessarily published immediately, we also may not know right away exactly what action the Commission took at its September 23 meeting.

For now, North Carolina brokers should continue following the rules currently in effect.

Provisional Brokers Would Face a New Restriction

Perhaps the biggest change from both the existing rule and the previous proposal involves provisional brokers.

The revised language says:

“An individual broker on provisional status shall not represent both parties in the same real estate sales transaction.”

The restriction is much narrower than the version discussed earlier this year.

Instead of eliminating single-broker dual agency for everyone, the proposal would prohibit it for provisional brokers while allowing non-provisional brokers to continue acting as single dual agents under additional requirements.

That distinction could matter considerably to firms when assigning brokers to transactions.

Full Brokers Could Still Practice Single-Broker Dual Agency — But There Would Be a New Form

The revised proposal does not simply preserve the existing system unchanged.

A non-provisional broker representing both parties would be required to provide and review a new document with each party called the:

Consent and Acknowledgement: Single Dual Agency

Under the proposed rule, that would have to occur no later than the time the broker prepares an offer to purchase on behalf of the buyer or a lease on behalf of a tenant.

The proposed form would include information such as the property address, the parties' signatures, the names and license numbers of the firms and brokers involved, and a statement explaining the duties and limitations of the dual agent. 

That part is especially interesting when compared with the public comments submitted earlier this year.

In our previous article, we noted that some commenters suggested a compromise rather than eliminating single-broker dual agency completely. Among the suggestions were requiring a separate dual-agency disclosure when an offer is prepared and requiring consumers to specifically acknowledge the limitations of dual agency.

The newest proposal resembles that type of approach.

What About Designated Dual Agency?

Designated dual agency would remain an option under the proposed language.

A firm representing both sides could, with the clients' prior express approval, designate different affiliated brokers to represent the competing parties.

The proposal would continue important safeguards surrounding confidential information. It would also prohibit a broker from becoming a designated agent for one party if that broker had already received confidential information about the opposing party.

And a broker-in-charge could not serve as the designated broker for one party when a provisional broker under that BIC's supervision represents the competing party.  

The Debate Hasn't Completely Gone Away

The new proposal changes the question, but it doesn't eliminate the underlying debate.

The earlier proposal essentially asked:

Should one individual broker ever be permitted to represent both the buyer and seller?

The revised proposal asks something somewhat different:

Should experienced, non-provisional brokers be allowed to do so when both consumers provide informed written consent — while provisional brokers are prohibited from doing the same?

There will undoubtedly be opinions on both sides.

Supporters of single-broker dual agency may view the new proposal as preserving consumer choice while adding another layer of disclosure.

Critics may argue that the fundamental conflict identified during the earlier debate remains regardless of a broker's experience or how many disclosure forms are signed.

And another question is likely to surface:

Does a broker's provisional or non-provisional status meaningfully change the inherent limitations of representing two clients whose interests may conflict?

Those are policy questions the Commission's rulemaking process will continue to address. The important point for brokers right now is understanding what has actually been proposed — and what has not yet changed.

So, Did NCREC “Save” Dual Agency?

Not exactly.

Single-broker dual agency has not disappeared under the rules currently in effect, so there is nothing that needed to be restored.

What has changed is the proposal.

The earlier draft contemplated prohibiting individual brokers from representing both sides of a sales transaction.

The September draft would take a narrower approach: prohibit provisional brokers from doing so while allowing non-provisional brokers to continue practicing single dual agency subject to additional disclosure and acknowledgment requirements.

That is a meaningful change in direction.

But it is not yet a final rule.

What Happens Next?

According to the September 23 rulemaking memorandum, the Commission could choose to publish the revised proposal for another 60-day public comment period or continue discussing the agency rule package. The proposed language currently identifies July 1, 2027 as its potential effective date.

Because this article is being published while the September 23 Commission meeting process is still unfolding, we are intentionally not reporting that the Commission adopted, approved, or rejected the revised proposal.

When additional official information becomes available, Skyline School will continue following the rulemaking process and explaining what it means for North Carolina brokers.

Subscribe to the Skyline School blog by entering your email address below so you don't miss the next update.

Until a new rule is formally adopted and becomes effective, North Carolina brokers must continue following the current agency rules. Skyline School’s courses are designed to help brokers understand and apply those rules with confidence, including agency agreements, Working With Real Estate Agents disclosures, dual agency, and the protection of confidential client information.

Explore Our Post Licensing Classes

References

North Carolina Real Estate Commission. Agenda: September 23, 2026 Commission Meeting. North Carolina Real Estate Commission, 23 Sept. 2026.

North Carolina Real Estate Commission. Revised Agency Rule Text. Regulatory Affairs Division, 23 Sept. 2026.

North Carolina Real Estate Commission. “Working with Real Estate Agents Disclosure.” NCREC eBulletin.

Skyline School. “What Hundreds of Brokers Told NCREC About the Proposed Dual Agency Rule Change.” Skyline School, 28 July 2026.