The median sale price in Manhattan hit $1.19 million in Q1 2026. A buyer or seller working with an agent who is not genuinely representing their interests is not just having a bad experience: they are leaving tens of thousands of dollars on the table or walking into structural problems that can take years to resolve. These five warning signs are the ones I most consistently see when clients come to me after a bad prior experience.
In my 25+ years as a Licensed Real Estate Associate Broker, I have seen every version of misaligned agency. Most agents are not malicious. But the wrong incentive structure, the wrong prioritization, or the wrong skill set for your specific situation can do real damage.
Red Flag 1: Dual Agency That Is Not Clearly Disclosed
Dual agency, where the same agent or brokerage represents both the buyer and the seller in the same transaction, is legal in New York with written disclosure and consent. The operative word is "with." If your agent shows you a listing from their own brokerage and does not explicitly tell you that they are now representing both sides, that is a disclosure failure under New York Real Property Law. Sellers have their own set of mandatory disclosures to buyers; see the NYC seller disclosure requirements guide for what New York law requires.
The problem with undisclosed dual agency is not just legal. It is practical. An agent who represents both buyer and seller cannot fully advocate for either. They cannot tell the seller "this buyer will go to $950,000 if you push back" because that is confidential buyer information. They cannot tell the buyer "the seller needs to close by a certain date and that is leverage" because that is confidential seller information. Dual agency, done honestly, means both parties accept a mediator rather than an advocate. Done without clear disclosure, it means one or both parties think they have an advocate when they do not.
How to Check
Ask your agent directly: "Are you the listing broker or do you have any relationship with the listing broker on this property?" Under New York State DOS regulations, agents must disclose agency relationships at the first substantive contact. If they are evasive or if you cannot get a clear answer in writing, that is a problem. Your buyer representation agreement, now required under REBNY rules, should specify your agent's obligations to you.
Red Flag 2: Overpricing to Win the Listing
This is the most common manipulation in the listing side of the business. An agent wants your listing. They know their competitors are recommending a $1.1 million list price. So they suggest $1.3 million to win your confidence. You sign with them. The property sits at $1.3 million for 90 days with minimal activity. Then comes the "price reduction conversation." By that point, buyers have seen the listing go stale. Even after the price cut to $1.15 million, the days-on-market counter is working against you.
Overpriced listings in NYC consistently net sellers less than correctly priced listings, not more. A data-driven comparative market analysis takes comparable sales from the past 90 to 180 days, adjusts for floor, condition, and view, and produces a defensible range. If an agent's recommended price is more than 8% above what the comps support, ask them to justify it with specific comparable sales. If they cannot, you are looking at a buy-the-listing strategy.
Red Flag 3: Underpricing to Sell Fast
The inverse problem exists too, typically with buyers' agents who are incentivized to close quickly. An agent who consistently recommends offer prices well below what the market supports, citing "we can always go higher," is protecting their own time, not your money. Every round in a bidding war takes days. Getting to the right price on the first offer, informed by real comparable data, almost always produces better outcomes than a lowball strategy in a competitive NYC market.
Signs of this pattern: the agent discourages you from using an escalation clause when it would clearly benefit you, they consistently suggest offers 10% or more below ask without showing you the supporting comparable data, and they push for quick decisions on properties without allowing time for a second showing or attorney review of the listing documents.
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Red Flag 4: Ignoring Off-Market Inventory
With NYC at a 28-year inventory low of 22,366 active listings, the gap between publicly listed inventory and the full opportunity set has never been larger. Off-market properties, coming-soon listings, and pocket listings represent a meaningful portion of the transactable market. An agent who only sends you properties from the public portals and does not actively work their network for pre-market opportunities is giving you an incomplete picture.
This is not about secret deals. It is about professional network and effort. A buyer's agent who calls listing brokers directly, attends REBNY events, and maintains relationships with property owners in target buildings can surface opportunities that never hit the open market. If your agent's entire practice is forwarding you StreetEasy alerts, that is a red flag for thoroughness.
Red Flag 5: Not Reviewing the Board Package Before Submission
For co-op buyers, this is the most consequential failure. A co-op board package is typically 40 to 80 pages of financial documentation, reference letters, and the completed application. Many boards reject applications not because the buyer's finances are weak but because the package was incomplete, inconsistently formatted, or missing required items.
Your buyer's agent should review your board package before it is submitted, or strongly recommend that your attorney do so. If your agent tells you "just follow the managing agent's checklist and you'll be fine," without any review of the actual documents, you are taking an avoidable risk. Board rejections in NYC are difficult to appeal and reset your search timeline by months. See the co-op board approval guide for what strong packages include. When a rejection does put a listing back on the market, see the back on market guide for how to evaluate whether the BOM listing represents a real opportunity.
Signs of a Strong Agent
- Shows you comparable sales data, not just opinion
- Discloses agency relationship in writing immediately
- Proactively contacts listing brokers and building contacts
- Reviews your board package or arranges for review
- Explains their commission clearly before any agreement
Signs to Walk Away
- Evasive about dual agency status
- Recommends prices without showing supporting comps
- Rushes you through decisions
- Never mentions off-market or pre-market options
- Hands you the board checklist and disappears
Work with an Agent Who Is Actually on Your Side
Milton Coste has represented buyers and sellers across all five boroughs for 25+ years with full transparency on agency, pricing, and fees.
Schedule a Free ConsultationThe buyer representation agreement now required under REBNY rules is a good forcing function: it requires both parties to be explicit about the agency relationship and compensation before any showing. Use that conversation as a filter. An agent who handles those early conversations with transparency and directness is one worth working with. Review the NYC commission guide to understand exactly what you should be agreeing to before you sign anything.
