When wholesaling MLS, how does the dual agency on the buyers side get paid?

Question

Essentially, i'm doing on market agent outreach for pocket listings, and incentivizing the agents by allowing them to perform a dual agency because i am unrepresented. This way they can earn both the sellers agents commission, along with the buyers. Now here is my question, and please be as detailed as possible with your answers!! I've asked 2 others who are well versed in this aspect but both didn't really give me direct answers.

• If I assign the purchase agreement to an end buyer, and the agent initially represented me on the buyer side, would that buyer side agency need to be terminated and re-established with the assigned end buyer in order for the agent to receive any buyer side commission? or what is the process to get this done.
• If the answer is YES, then what is a cleaner way to get this done, are you offering the agent a flat fee out of your assignment? not offering the buyers side altogether? How are you navigating this.

Please no comments on how "Wholesaling on the MLS doesn't work". I just need an answer to the questions above. Much love, thank you friends.

Ivan Hernandez · Answer

I cannot emphasize how much I appreciate your response. Question finally answered. Thank you, may you have a blessed day my friend

Ebonie Beaco · Answer

From a mortgage and transaction perspective, this comes down to agency law and how the contract is written, not the loan side. In most states, if the buyer on the contract changes through an assignment, the original buyer-side agency does not automatically transfer. The agent typically needs to terminate buyer representation with you and re-establish it with the end buyer for the buyer-side commission to be paid cleanly by the brokerage.

One way investors handle this is by assigning the contract with clear language such as “and/or assigns” as the buyer or seller. That upfront language discloses to all parties that the contract may be assigned to the ultimate end buyer, which helps avoid confusion later. Even with that language, many wholesalers still choose to keep the agent on the seller side only and compensate them via a disclosed flat fee from the assignment, or allow the end buyer to establish their own representation. The cleanest approach is full disclosure, broker-approved assignment language, and commission terms agreed to before escrow so there are no surprises at closing.