Agency

A business or organization that provides a particular service, especially the mediation of transactions between two parties. In a real estate environment, agency refers to the business of providing service to sellers, buyers, landlords, and organizations, most of which are clients, but some are customers, to facilitate and expedite the sale and closing of real property. Agency relationships are defined by the presence absence of a representation agreement. This agreement defines what activities are allowable under the auspices of agency for both parties and it dictates whether client or customer level service is provided. Agency exists between a client and a broker (typically the Broker-In-Charge or BIC) and one of the agency's licensed agents.