When must real estate agents provide a written agency disclosure to clients in North Carolina?

In North Carolina, real estate agents are required to provide a written agency disclosure to clients at the first substantial contact with a prospective client. This requirement is in place to ensure that clients are fully informed about the nature of the agency relationship and the agent's role in the transaction. This means that as soon as an agent has meaningful interaction that goes beyond casual conversation—such as discussing the client's needs, preferences, or financial situation—the agent must provide this disclosure.

The rationale behind this rule is to promote transparency and help clients make informed decisions about who they are working with in a real estate transaction. It establishes a clear understanding of the obligations and responsibilities of both the agent and the client from the outset of their relationship.

Providing the agency disclosure at closing, after a listing agreement is signed, or only upon request does not align with North Carolina's intention to inform clients at the earliest possible stage of the agency relationship. Early disclosure helps prevent misunderstandings and builds trust between the client and the agent, which is fundamental in real estate transactions.