In New Jersey, real estate licensees are required to disclose how they intend to work with buyers and sellers in a real
     estate transaction. (In rental transactions, the terms "buyers" and "sellers" should be read as "tenants" and "landlords,"
     respectively.)

     AS A SELLER'S AGENT OR SUB-AGENT, I, AS A LICENSEE, REPRESENT THE SELLER AND ALL
     MATERIAL INFORMATION SUPPLIED TO ME BY THE BUYER WILL BE TOLD TO THE SELLER.

     AS A BUYER'S AGENT, I, AS A LICENSEE, REPRESENT THE BUYER AND ALL MATERIAL
     INFORMATION SUPPLIED TO ME BY THE SELLER WILL BE TOLD TO THE BUYER.

     AS A DISCLOSED DUAL AGENT, I, AS A LICENSEE, REPRESENT BOTH PARTIES. HOWEVER, I
     MAY NOT, WITHOUT EXPRESS PERMISSION, DISCLOSE THAT THE SELLER WILL ACCEPT A PRICE
     LESS THAN THE LISTING PRICE OR THAT THE BUYER WILL PAY A GREATER THAN THE
     OFFERED PRICE.

     AS A TRANSACTION BROKER, I, AS A LICENSEE, DO NOT REPRESENT EITHER THE BUYER OR
     THE SELLER. ALL INFORMATION I ACQUIRE FROM ONE PARTY MAY BE TOLD TO THE OTHER
     PARTY.

     Before you disclose confidential information to a real estate licensee regarding a real estate transaction, you should
     understand what type of business relationship you have with that licensee.

     There are four types of business relationships: (1)SELLER's AGENT; (2)BUYER's AGENT; (3)DISCLOSED
     DUAL AGENT; and (4)TRANSACTION BROKER. Each of these relationships imposes certain legal duties
     and responsibilities on the licensee as well as on the seller or buyer represented. These four relationships are defined
     in greater detail below. Please read carefully before making your choice.
 

     SELLER'S AGENT

     A seller's agent WORKS ONLY FOR THE SELLER and has legal obligations, called fiduciary duties, to the
     seller. These include reasonable care, undivided loyalty, confidentiality and full disclosure. Seller's agents often work
     with buyers, but do not represent the buyers. However, in working with buyers a seller's agent must act honestly. In
     dealing with both parties, a seller's agent may not make any misrepresentations to either party on matters material to
     the transaction, such as the buyer's financial ability to pay, and must disclose defects of a material nature affecting
     the physical condition of the property which a reasonable inspection by the licensee would disclose.

     Seller's agents include all persons licensed with the brokerage firm which has been authorized through a listing
     agreement to work as the seller's agent. In addition, other brokerage firms may accept an offer to work with the
     listing broker's firm as the seller's agents. In such cases, those firms and all persons licensed with such firms, are
     called "sub-agents". Sellers who do not desire to have their property marketed through sub-agents should so inform
     the seller's agent.
 

     BUYER'S AGENT

     A buyer's agent WORKS ONLY FOR THE BUYER. A buyer's agent has fiduciary duties to the buyer which
     include reasonable care, undivided loyalty, confidentiality and full disclosure. However, in dealing with sellers a
     buyer's agent must act honestly. In dealing with both parties, a buyer's agent may not make any misrepresentations
     on matters material to the transaction, such as the buyer's financial ability to pay, and must disclose defects of a
     material nature affecting the physical condition of the property which a reasonable inspection by the licensee would
     disclose.

     A buyer wishing to be represented by a buyer's agent is advised to enter into a separate written buyer agency
     contract with the brokerage firm which is to work as their agent.
 

     DISCLOSED DUAL AGENT

     A disclosed dual agent WORKS FOR BOTH THE BUYER AND THE SELLER. To work as a dual agent, a
     firm must first obtain the informed written consent of the buyer and the seller. Therefore, before acting as a disclosed
     dual agent, brokerage firms must make written disclosure to both parties. Disclosed dual agency is most likely to
     occur when a licensee with a real estate firm working as a buyer's agent shows the buyer properties owned by
     sellers for whom that firm is also working as a seller's agent or subagent.

     A real estate licensee working as a disclosed dual agent must carefully explain to each party that, in addition to
     working as their agent, their firm will also work as the agent for the other party. They must also explain what effect
     their working as a disclosed dual agent will have on the fiduciary duties their firm owes to the buyer and to the seller.
     When working as a disclosed dual agent, a brokerage firm must have the express permission of a party prior to
     disclosing confidential information to the other party. Such information includes the highest price a buyer can afford
     to pay and the lowest price a seller will accept and the parties' motivation to buy or sell. Remember, a brokerage firm
     acting as a disclosed dual agent will not be able to put one party's interests ahead of those of the other party and
     cannot advise or counsel either party on how to gain an advantage at the expense of the other party on the basis of
     confidential information obtained from or about the other party.

     If you decide to enter into an agency relationship with a firm which is to work as a disclosed dual agent, you are
     advised to sign a written agreement with that firm.
 

     TRANSACTION BROKER

     The New Jersey Real Estate Licensing Law does not require licensees to work in the capacity of an "agent" when
     providing brokerage services. A transaction broker works with a buyer or a seller or both in the sales transaction
     without representing anyone. A TRANSACTION BROKER DOES NOT PROMOTE THE INTERESTS OF
     ONE PARTY OVER THOSE OF THE OTHER PARTY TO THE TRANSACTION. Licensees with such a
     firm would be required to treat all parties honestly and to act in a competent manner, but they would not be required
     to keep confidential any information. A transaction broker can locate qualified buyers for a seller or suitable
     properties for a buyer. They can then work with both parties in an effort to arrive at an agreement on the sale or
     rental of real estate and perform tasks to facilitate the closing of a transaction. A transaction broker primarily serves
     as a manager of the transaction, communicating information between the parties to assist them in arriving at a
     mutually acceptable agreement and in closing the transaction, but cannot advise or counsel either party on how to
     gain an advantage at the expense of the other party. Owners considering working with transaction brokers are
     advised to sign a written agreement with that firm which clearly states what services that firm will perform and how
     it will be paid. In addition, any transaction brokerage agreement with a seller or landlord should specifically state
     whether a notice on the property to be rented or sold will or will not be circulated in any or all Multiple Listing
     System(s) of which that firm is a member.

     YOU MAY OBTAIN LEGAL ADVICE ABOUT THESE BUSINESS RELATIONSHIPS FROM YOUR OWN
     LAWYER.

     THIS STATEMENT IS NOT A CONTRACT AND IS PROVIDED FOR INFORMATIONAL PURPOSES
     ONLY.
 

               THE NEW JERSEY REAL ESTATE COMMISSION
                                                 CN 328
                                     TRENTON, NJ 08625-0328
                          ANITA B. KARTALOPOULOS, ESQ.
                                     EXECUTIVE DIRECTOR