Choosing a Real Estate Professional
Selecting a real estate sales professional is one of the
most important choices you’ll make during the process.
It’s a good idea to interview several sales professionals
before selecting one to represent you. Consider these
Interview Checklist questions when comparing sales professionals.
In a real estate transaction, sales professionals may
represent the seller, the buyer, or both parties. This
representation is called an "agency." Traditionally,
a sales professional is the seller’s representative.
So, unless otherwise stated and/or documented in writing,
you should assume the real estate professional is working
for the seller. In many regions, real estate sales professionals
are legally obliged to disclose, in writing, information
on the types of real estate agency relationships that
exist. It is important to understand the differences
between these agencies whether you are buying or selling
a home.
Real Estate Representation
* Seller's Agent—A sales professional becomes
a Seller's Agent by entering into a listing agreement
to represent the seller's interests. Seller representation
also exists when a sales professional shows a property
on the Multiple Listing Service (MLS) and a "buyer
agency" isn’t established. A Seller's Agent
may provide information to assist the buyer but must
place the interests of the seller first.
o Do not disclose anything to the Seller's Agent you
don’t want the seller to know.
* Buyer's Agent—A sales professional becomes a
Buyer's Agent by entering into an agreement to represent
the buyer. A Buyer's Agent can assist the seller, but
must place the interests of the buyer first.
o Sellers should not tell the Buyer's Agent anything
they do not want the buyer to know, because the Buyer's
Agent must disclose pertinent information to the buyer.
* Dual Agent—Dual agency occurs when a sales professional
represents both the seller and the buyer. It also occurs
when the Listing or Seller's Agent works for the same
firm as the Buyer's Agent. In many states, the buyer,
the seller, and the sales professional must agree to
a dual agency in writing.
o The Dual Agent is required to treat the buyer and
seller honestly and impartially, but the potential for
conflict of interest exists.
o The Dual Agent’s duties are more limited. Sometimes
a Dual Agent is described as a transaction broker or
an intermediary.
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