Can buyer/seller real estate agent collude?

Milly, agents being friendly is normal and usually good for you. Two agents who trust each other get deals closed and solve problems quietly. So do not read friendly as a red flag by itself. But the feeling you are describing is worth taking seriously, and there is a specific question to ask before anything else. Ask your agent, directly: are you or your brokerage also representing the seller in any way? There are three arrangements and you should know which one you are in. Your agent represents only you, and the seller's agent is a different person at a different firm. This is the normal case, and the friendship is just a friendship. Dual agency, where one agent or one brokerage represents both sides. This is legal in some states, restricted in others, and prohibited in a few. Where it is allowed it requires your written consent, and what you are consenting to is real: an agent representing both sides generally cannot advocate for your price against the seller's price, because they owe the same duty to both. If you signed something at the start you do not remember, go read it. Designated or appointed agency, where two different agents inside the same brokerage take opposite sides. Common, allowed in many states, and it means the brokerage is collecting from both sides of the deal. None of those is inherently improper. But the second and third change what your agent can do for you, and you should know which one you are in rather than assume. Now, the more useful part. Instead of trying to detect collusion, test for advocacy. Three questions, and how your agent answers tells you almost everything: Ask for the comparable sales in writing, closed sales only, with the addresses. If your agent will not put the comps in writing, or gives you a number without support, that is a problem regardless of who they are friends with. An agent working for you wants you to see the evidence. Ask what the seller's motivation is and what they have learned about it. A buyer's agent should be gathering that. If your agent has learned nothing from an agent they are friendly with, they are either not asking or not telling you. Ask them to write an offer below asking with your reasoning attached, and watch the reaction. An agent working for you will write it and advise you on the risk. An agent quietly protecting the other side will talk you out of it, usually by way of "they will never take that" without any evidence. That third one is the real test, and it is worth doing. Where the actual line is: agents are legally required to present all offers and to represent their client's interests. Two competing firms agreeing on price or coordinating bids is a serious matter that implicates federal antitrust law, not just license rules. But be honest with yourself about what you have. Feeling like your agent is not pushing hard is very common and it is usually ordinary underperformance or conflict avoidance, not a conspiracy. The remedy for that is different and much simpler. If you do have a genuine concern, you have three escalation paths, in order: Call the broker of record at your agent's brokerage. Every brokerage has one and they are responsible for supervising their agents. This resolves most issues quickly, because the broker carries the liability. File a complaint with your state real estate commission, which licenses agents and can investigate and discipline. If both agents are REALTOR members, the local association has an ethics complaint process. And the simplest remedy of all: you can change agents. Check what you signed regarding term and cancellation, but you are not obligated to keep working with someone you do not trust, and no house is worth spending a six or seven figure purchase feeling unrepresented. I am a real estate professional, not an attorney, and if you believe something genuinely improper occurred rather than something merely disappointing, that is a conversation for a real estate attorney in your state. One note since this was asked in 2023: buyer representation practices changed meaningfully in August 2024, and buyers now generally sign a written agreement with their agent before touring. If you are reading this now, that agreement is the first document to check, since it spells out the agency relationship in writing. I am Zoltan Peresztegi and I work in Los Angeles and the South Bay. If you want a second opinion on a specific set of comps, feel free to reply here, and if you would like to interview another agent in your area I am glad to make an introduction. Ask the agency question first, then run the three tests. You will know within a week. Zoltan

Milly, this can happen but is not normal or "standard." Keith Jean-Pierre Managing Principal The Dapper Agents Real Estate Operations in ALL 50 States

That's a great question, Milly, and my answer is a little bit different from the standpoint of the familiarity between your buyer's agent and the seller's listing agent. Actually, it may help if you are in a multiple-offer situation, only because the listing agent may be able to advocate for your deal if your price and terms are the same as another buyer's, and if your agent has a reputation for getting things done and being a great communicator. As opposed to someone who's got a similar offer but has the opposite reputation, I would say that could help your offer be accepted. Now extend the idea to being your advocate. A buyer's agent is your fiduciary, and they have an obligation to dig into the property history and try to present any material facts that they can find for you. I often go into the old listings if there have been recent prior sales and look at old seller disclosures; we can sometimes find information there. Also, if the property has gone under deposit multiple times, your buyer's agent should be able to ask the seller if there are any material facts that came out of prior buyer contracts, testing, or inspections. I hope this information helps!

Each agent will be working for their clients' interests. Since we are in a seller's market, it can sometimes feel as a buyer that you are overpaying. Many agents know each other and have worked together before, so I can understand how you may feel this way, but a great agent is always advocating for their respective client and the familiarity of agents and friendly demeaner shouldn't be construed otherwise. The way the market has been, getting the house is a victory! Congrats!

Its always a possibility that they are doing something fishy, though unlikely. I would certainly ask your agent or at least let your agent know your concerns. In the past, I have had clients feel the same way and really what I was discussing with the other agent was what is important to the other party so we have all the info on the table and can come to terms where both parties are happy. Sometimes you cant make both happy, though often you can come up with solutions that accomplish both parties goal and everyone feels good about the deal.

Legally and ethically the agents are supposed to be a fiduciary to their clients. I am not sure that always happens, but that is the intent. In the northeast (right now) we are still seeing major supply shortages, and it is very rare to get a home under asking (if asking is in line with the market), so maybe what you perceive as collaboration is actually working in your favor??? I would suggest doing some investigation on your own. What are houses of the same size, condition etc selling for in your area? Is your deal significantly higher? If you ask your agent direct questions about how things have been handled, do you feel that the answers being provided are truthful? If not check with another agent in your area, to see if they would handle the situation similarly. If you still feel uncomfortable, there are ways to back out of the agreement. You may lose some deposit money (maybe not) but it might be worth that loss in the long run.