Special offer

Manhattan Real Estate Q&A: What is Agency Disclosure?

By
Real Estate Agent

Q: What is Agency Disclosure?


New York State Disclosure Form for Buyer and Seller

A: It's The Law! 

 

 

 

As of January 1, 2011 a new real estate broker disclosure law went into effect in New York.  The disclosure law actually went into effect in January of 2007 but only buyers and sellers of 1-4 family houses were previously required to sign the disclosure form.

As of 1/1/2011 the law requires real estate agents to have clients sign a form stating that they understand whom the agent represents and to whom the agent will give "undivided loyalty," as soon as they enter into a relationship.

The disclosure law is designed to clarify the roles of buyers' and sellers agents, in order to, as the form itself states, "help you make informed choices about your relationship with the real estate broker and its sales associates.


Agency Disclosure:

Corcoran represents the seller/owner on Corcoran's own exclusives, except if another agent of Corcoran represents the buyer/tenant, in which case Corcoran will be a dual agent with designated agents representing seller/owner and buyer/tenant. Corcoran represents the buyer/tenant when showing the exclusives of other real estate firms. In all instances Corcoran treats all parties fairly and honestly .

 

 

we-re-on-the-same-page-during-the-home-buying-process-literally-

courtesy of:

Mitchell Hall, Associate Broker, The Corcoran Group

Posted by

©Mitchell Hall 2022

All content/images, unless noted, are the property of Mitchell Hall & may not be used without permission. 

nyc BLOG estate

 
          Call Mitchell Hall @ 917-312-0924
          Email: mh@MitchellHall.com

Comments (7)

Lenn Harley
Lenn Harley, Homefinders.com, MD & VA Homes and Real Estate - Leesburg, VA
Real Estate Broker - Virginia & Maryland

Mitchel.  Virginia agency notice is only required to be provided to unrepresented buyers (customers) and sellers (FSBOs). 

The NY disclosure follows the old language of the COE as best I can remember it but "Fair" was removed some years ago.

Jan 15, 2011 12:47 PM
Steve Shatsky
Dallas, TX

Hi Mitchell... in Texas we have an "Information About Brokerage Services" form that is very similar and which we are responsible for providing to the seller at the time of the first substantive interaction with a buyer or seller.

Jan 15, 2011 01:31 PM
Mitchell J Hall
Manhattan, NY
Lic Associate RE Broker - Manhattan & Brooklyn

Hi Lenn, I wonder if there is a nuanced difference in meaning between "fair" and "fairly"? Often there is only one broker on the transaction. In NY for so long agency representation was never discussed or disclosed. At one time everyone represented the seller. Manhattan is becoming more transparent. Maybe we will have a real MLS one day.

Hi Steve, "First substantive contact" is the key phrase in NY. Someone can come to my open house and ask about the kitchen without having to sign but once they ask about price or start talking about their financial qualifications I need to disclose that I represent the seller and they must sign the agency disclosure form. Corcoran has an affidavit form for those who refuse to sign that is dated, notarized and kept in the transaction file that states we disclosed but the consumer refused to sign.

Jan 15, 2011 03:25 PM
Lenn Harley
Lenn Harley, Homefinders.com, MD & VA Homes and Real Estate - Leesburg, VA
Real Estate Broker - Virginia & Maryland

Mitchell.  BINGO!  I believe we need a definition for "fairly fair".  I believe I'll use that from now on.

 

Jan 15, 2011 09:24 PM
Laurie Mindnich
Centennial, CO

Mitchell, I'm glad that you emphasized "law", not to be confused with "rule".

Jan 20, 2011 10:57 AM
Louis Snitkin
Halstead Property - Manhattan, NY
"Results That Will Move You"

Mitchell - I've had very little resistance from anyone on the new agency disclosure. After speaking with some brokers in the burbs, I'm convinced that it will quickly work its way into our routine.  The new bed bug disclosure is the one that gives people the creeps.

Jan 25, 2011 09:42 AM
Mitchell J Hall
Manhattan, NY
Lic Associate RE Broker - Manhattan & Brooklyn

Hi Laurie, It is the LAW!

Hi Louis, I haven't had resistence but I've had buyers come back after they signed with another agent or attorney acting as their broker which is perfectly fine. The bed bug disclosure gives me the creeps but so far it is only required for rentals. It is the responsibility of the landlord not the broker. I understand there is a state website that lists buildings that have had bed bugs. I have a friend that checks for her building everyday.

Jan 26, 2011 02:43 AM