If you are considering selling or purchasing real estate in New Hampshire, it is important to know if you are a client or a customer in the transaction.
As a customer in any transaction, you will receive basic level services as well as information about the market. A licensee is obligated by New Hampshire law to provide you with honesty, reveal all knowledge regarding material defects of real estate and present all offers and counteroffers. A real estate licensee will perform ministerial acts such as showing properties, preparing and presenting offers and provide information that pertains to the transaction.
Should you choose to sell or purchase real estate, it is my opinion, that you should hire a REALTOR to represent you. This is an agency agreement that is in the form of a written contract. For more information why you should choose to hire a REALTOR when buying real estate please read my article 20 Reasons why you should sign a Buyers Agency Agreement when buying real estate
Once a contract is signed, you will receive client level services such as:
- Advocacy
- Care, Skill and Diligence
- Advice
- Confidentiality
- Loyalty
- Lawful Obedience
- Promotion of client's best interest
Remember a real estate agent can represent
- No one
- The Seller
- The Buyer
- Both
If the real estate agent represents no one then he/she has a customer level relationship with both the seller and the buyer.
If the real estate agent represents the seller, he/she has a client relationship with the seller and a customer relationship with the buyer.
If the real estate agent represents the buyer, he/she has a client relationship with the buyer and a customer relationship with the seller.
If the real estate agent is acting on behalf of both the seller and the buyer in one transaction, it is called dual agency and must be disclosed in writing to all parties.
If a dual agency situation occurs, an agent may not reveal confidential information without consent, such as:
- Willingness of the seller to accept less than asking price
- Willingness of the buyer to pay more than what has been offered
- Confidential negotiating strategy not disclosed in the sales contract as terms of the sale
- Motivation of the seller for selling nor the motivation of the buyer for buying
For more consumer information, please visit http://www.nh.gov/nhrec and www.nh.gob/nhrec/adrules.html or contact the NH Real Estate Commission at:
NH Real Estate Commission
25 Capitol Street Room 434
Concord, NH 03301
603-271-2701
603-271-1039
Source: New Hampshire Real Estate Commission
by Kim Carpenter, Lake Winnipesaukee Real Estate, REALTOR, Lakes Region New Hampshire
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