Working with a REALTOR®
The Agency Relationship
When working with a REALTOR®, it is
important to understand for whom the REALTOR® works and to whom he or she is legally
obligated. REALTORS are obliged to disclose in writing to all parties their agency
position in a transaction.
A REALTOR® may be your agent - if you have clearly established
an agency relationship with that REALTOR®. But often, you may assume such an obligation
exists when it does not.
REALTORS believe it is important that the people they work
with understand when an agency relationship exists and when it does not - and to
understand what that means.
In real estate, there are 3 different possible forms of
agency relationships: Seller's Agency, Buyer's Agency & Dual Agency.
1.Seller's Agent
When
a real estate company is a "Seller's agent," it must do what is best for the Seller
of a property.
A Seller's agent must tell the Seller anything known about a Buyer.
For instance, if a Seller's agent knows a Buyer is willing to offer more for a property,
that information must be shared with the Seller. Confidences a Seller shares with
a Seller's agent must be kept confidential.
A Buyer can expect fair service and disclosure
of pertinent information about a property. Nothing will be misrepresented about a
property. All questions will be answered honestly.
2. Buyer’s Agent
A real estate
company acting as a "Buyer's agent" must do what is best for the Buyer. A written
contract establishes Buyer agency. It also explains services the REALTOR® will provide,
spells out who will pay and specifies what obligations a Buyer may have. Typically,
Buyers will be obliged to work exclusively with that REALTOR® for a period of time.
A REALTOR® working for a Buyer will keep information about the Buyer confidential
from the Seller.
3. Dual Agent
Occasionally a real estate company and its sales representative
will be the agent of both the Buyer and Seller. Under this "dual agency" arrangement,
the REALTOR® must do what is best for both the Seller and Buyer and strict procedures
must be followed. A REALTOR® can be a dual agent only if both the Buyer and Seller
agree in writing. Ask your REALTOR® for more specific details.
WHO PAYS?
Usually,
the REALTOR® will be paid from the proceeds of the sale. The listing agreement states
the REALTOR's fee.
I work as a Buyers representative or Dual representative (properties
I have listed)- Call and we can discuss your needs
