Can a Real Estate Agent Disclose Offers to Other Buyers

The fear of missing out on a dream property can have buyers overbidding, especially when they hear the four-word phrase that is anxiety-inducing and panic-elevating: we have other offers.

Can a real estate agent disclose offers to other buyers? Start by separating the existence of an offer from its price and other terms.

An agent may be able to disclose that other offers exist, but sharing the price or terms is a separate question. The answer depends on state law, the seller’s instructions, and any applicable confidentiality agreement. Seller permission alone does not override a legal restriction.

For example, North Carolina requires the offering party’s express authority before a broker shares that party’s price or other material terms with a competing party. Buyers should not assume their offer is confidential everywhere simply because they submitted it.

Today, we’ll journey into the perimeters of disclosure afforded real estate agents. We will explore both the ethical and legal perspectives of it. By reading through, you’ll gain valuable insights that could greatly influence your bidding strategy or client advice in future dealings. So let’s solve this mystery.

Listing Agent’s Duty to Their Client

The listing agent should discuss offer disclosures with the seller early and check the rules that apply in that state. Separate two questions: may the agent disclose that an offer exists, and may the agent share its price or other terms? North Carolina’s rule is one example of a state restriction on sharing terms.

For NAR members, Standard of Practice 1-15 addresses the existence of offers: with the seller’s approval, REALTORS® disclose that offers exist when buyers or cooperating brokers ask. If authorized and asked, they also identify whether an offer came through the listing agent, another agent in that firm, or a cooperating broker. This standard is not blanket permission to share offer details.

Source: NAR 2026 Code of Ethics, Standards 1-13 and 1-15.

Listing Agent’s Duty to the Buyer

An agent must be honest with other parties while protecting their client’s interests. That does not create a universal duty to tell every buyer about competing offers or a nationwide ban on sharing offer amounts. Applicable law, seller authorization, and any binding confidentiality agreement determine what may be shared.

A buyer’s agent can ask whether other offers exist and what the listing agent is authorized to disclose. The buyer should understand the confidentiality rules before submitting sensitive offer terms.

An Ethics Debate

“We already have several offers on the property” is one of those phrases that frequently stirs a great deal of skepticism among potential buyers. Many regard this as an ethically dubious tactic used by real estate agents to push them into making higher bids for properties.

It’s not hard to see why. The more money a property fetches, the larger the commission reaped by the agent.

This practice has given rise to what can be termed an ‘ethics debate.’ On one hand, it’s understandable that agents would want to maximize their earnings. After all, they are in business like everyone else.

Through this tactic, agents still serve their clients, ensuring they get the best deal possible. But on the other hand, such tactics can feel predatory and manipulative from a buyer’s perspective.

Let’s consider an example: Imagine you’re at an auction bidding on a beautiful piece of artwork. You’ve set your limit and are ready to make your bid when suddenly, the auctioneer announces there are multiple interested parties.

Competition can make buyers feel pressure to raise their bids. NAR’s Code requires REALTORS® to deal honestly with all parties. Agents should never invent competing offers to pressure a buyer. Honesty also means accurately explaining what they are authorized to disclose; it does not cancel confidentiality duties.

To Tell or Not to Tell

The question of whether a real estate agent can disclose offers to other buyers is not black and white. It’s a complex issue that depends on various factors, such as the wishes of the seller, state laws, ethical guidelines by industry bodies, and confidentiality agreements.

As an agent, it is crucial to understand these dynamics to navigate the space effectively. For agents, respecting client’s wishes and maintaining transparency are key.

Next Steps:

Wondering what the way forward is?

1. If you’re the listing agent: Discuss disclosure with the seller before offers arrive. Check state law and applicable agreements before sharing another party’s price or terms.
2. If you’re the buyer’s agent: Ask about competing offers and explain the confidentiality rules to your client before submitting an offer.

Have you encountered a multiple-offer situation? Share your experience in the comments.

Source: North Carolina Real Estate Commission on multiple offers.