In Wyoming, as in many states, the state has a real estate commission whom determines the laws, rules, and procedures real estate agents perform by. The Real Estate Brokerage Disclosure is a document which is to be provided and defined at the earliest most reasonable time to clients. This document defines agency relationships, or who is working for you and in what capacity.
The short of it? If you see a for sale sign on a property, XYZ Realty 555-1212, and you call that number, make an appointment and go in and visit the agent, is that agent working for you? You ask them to go see it and they drive you on out. When they ask how much your budget is, and you explain you have 400,000 but you only want to spend 350,000 cause your wife will let you buy those new snowmachines to go with the new house, do you think you will get the house for less than 400K. In most cases, the agent has responsibility to the seller, that is who they work for, they are required by law to tell them just what you told them. It is their job to assess your ability to buy and why, and how, and when and how much you can pay AND tell the seller.
So, you decide you will go to the office across the street and tell the agent you would like to look at XYZ's listing. You all head out and you find you just don't care for it, you need more yard for the shed to store those new snowmachines you are going to get with the money you save when you offer them the 350K. The agent tells you she has a house around the corner just like this on, but with a big yard. You head off to look, love it and make that offer. Think you'll get it for 350K. Again, in most cases, the agent has responsibility to the seller, that is who they work for, they are required by law to tell them just what you told them. It is their job to assess your ability to buy and why, and how, and when and how much you can pay AND tell the seller.
How do you know who is working for who or at least working for you? Those agents are required, by law, to place this document in front of you, explain it and request your signature. BUT, how do you feel about signing a very legal looking document when you are just starting your process and looking. You should feel comfortable signing or seek legal advice. But do you? In most cases you would shy away and feel pressured and probably try to find some other agent that isn't so demanding and pushing you to sign something. The result???
Survey shows........Most agent fail to explain this to you, they do not want to scare you off. But what about the law? They get the document signed eventually......... with the offer!!! Long past time for you to understand and realize they are working for the best interest of the seller. Caveat Emptor.
The cure? Best would be to utilize the services of a BUYERS AGENT, they generally do not take listings*, therefore they only represent you. OR ASK, get it in writing, the are a buyers agent, your buyers agent. From the start, and under what circumstances they would not be representing you.
*Some states require by law that agent owned property must be listed with the Brokerage they work at. Other instances, a moral issue for me, the agent may have so much (personal family or friend) information about the parcel they can not represent you exclusively. A good buyers agent will explain this to you. Both instances make perfect sense, how can they not tell themselves your financial situation or just how important is personal ethics to them.
Comments (5)Subscribe to CommentsComment