Working With Real Estate Agents Part 3. Part 2 discusses how real estate agents work to keep confidential information CONFIDENTIAL and why choosing an agent is important. Part 1 brought up some background information. Now we will begin to discuss agency and the legalities behind how real estate agents work for you.
Agents and Agency. In real estate transactions the definition of agency is a special contractual relationship between a buyer / seller and a real estate firm. The buyer / seller gives permission and instructions to the firm to work on their behalf. The instructions define and limit the work of the firm. This limitation is usually to bring another buyer / seller into a contractual relationship. Then to negotiate this contract on the behalf of the buyer / seller based on their definitions. The real estate firm normally has several real estate agents contracted to work for it. As agents, we are responsible for doing the work for the buyer / seller.
The buyer / seller picks the real estate agent. You will decide based on many things including who you trust, are comfortable with, and feel will help you meet your goals. The instructions I mentioned before will be written down in either the Buyer Agency Agreement, Exclusive Right to Sell Listing Agreement, or documented from conversations discussing your needs, wants, goals, and timelines. The contractual relationship can be created by the agent you have chosen through either the Buyer Agency Agreement or Exclusive Right to Sell Listing Agreement.
Working With Real Estate Agents Part 3. This blog describes the legalities of agency and your relationship with a real estate agent. I know this is a lot to swallow at one time but that is how it legally works. We have different responsibilities when we represent the buyer or the seller in a transaction. That is what I will describe next time. Please feel free to contact me or your real estate agent with any questions or for more clarification.
(Donnie Worley is a licensed REALTOR® with RE/MAX Real Estate Service. He is a husband and father living in Sanford, NC and serves Lee, Harnett, Chatham and Moore counties. If you have any questions or comments send them to firstname.lastname@example.org or call/text 919-478-4967)