How are you represented?
Since I seem to be getting this same type of question a lot I thought others may have the same question. Here’s an example of a few emails I’ve gotten lately.
I’ve been searching the web and many websites say, “Buyers Broker”. I want to use you as my Realtor but you don’t say that on your website. Can you represent me and be a “buyer’s broker”?
I’d like you to list my house but it appears that you list for banks but you’re not really a “listing agent”. Can you list my house?
Here’s the deal folks. I can call myself whatever I want-buyers broker, listing agent/broker, etc. I could say I’m a buyer’s broker one day and a listing broker the next. These are just terms the Realtors use when they are more comfortable representing one side or the other. There are certain classes that we can take like Certified Buyers Representative but here’s what important to you---HOW ARE YOU LEGALLY BEING REPRESENTED BY YOUR REALTOR/AGENT. This makes a BIG difference.
So you can understand what I’m talking about I should explain the different ways a Realtor in the state of Florida can represent you and what each mean. There are three ways you can be legally represented by your residential Realtor in Florida-Single Agency, Transaction Broker or “non rep”-no Brokerage Relationship. As of July, 2008 all Realtors in the state of Florida are representing you as a Transaction Broker unless they state otherwise at first contact (i.e. right before you go out to look at property, upon meeting at their office). Phone and email contact is not considered first contact.
I’ll go into a little further detail on each of these so you understand why this is important.
As a Single Agent my duties to you are:
1. Dealing honestly and fairly
2. Loyalty
3. Confidentiality
4. Obedience
5. Full Disclosure
6. Accounting for all funds
7. Skill, care, and diligence in the transaction
8. Presenting all offers and counteroffers in a timely manner, unless a party has previously directed the licensee otherwise in writing; and
9. Disclosing all known facts that materially affect the value of residential real property and are not readily observable
I’ll give you an example of me representing you as a single agent:
I take Mrs. Smith out and show her property all day and at the end of the showings I get a call from Realtor Jane telling me that her seller’s home that we looked at today is listed at $200K but she knows that they will take $150K. If I am representing you as a single agent by law I must disclose all rumors, fact, hearsay, etc. It’s my duty to pick up the phone and tell you that Realtor Jane just called me and told me that her seller would take $150K for the home we looked at today. If I’m representing you as a transaction agent or non-rep you would not get this call because I’m not legally able to disclose this information.
Here’s another scenario-I go to preview a home for a potential buyer and the next door neighbor comes out and tells me that the home I’m previewing used to be a drug home. As a single rep I must disclose this info to you. As a transaction broker or non-rep, I cannot.
As a Transaction Broker my duties to you are:
1. Dealing honestly and fairly
2. Accounting for all funds
3. Using skill, care, and diligence in the transaction
4. Disclosing all known facts that materially affect the value of residential real property and are not readily observable to the buyer
5. Presenting all offers and counteroffers in a timely manner, unless a party has previously directed the licensee otherwise in writing
6. Limited confidentiality, unless waived in writing by a party. This limited confidentiality will prevent disclosure that the seller will accept a price less than the asking price, that the buyer will pay a price greater than the price submitted in a written offer, of the motivation of any party for selling or buying property, that a seller or buyer will agree to financing terms other than those offered, or of any other information requested by a party to remain confidential; and
7. Any additional duties that are entered into by this or by separate written agreement.
Limited representation means that a buyer or seller is not responsible for the acts of the licensee. Additionally, parties are giving up their rights to the undivided loyalty of the licensee. This aspect of limited representation allows a licensee to facilitate a real estate transaction by assisting both the buyer and seller, but a licensee will not work to represent one party to the detriment of the other party when acting as a transaction broker to both parties.
As a No Brokerage Relationship my duties to you are:
1. Dealing honestly and fairly
2. Disclosing all known facts that materially affect the value of the residential property which are not readily observable to the buyer.
3. Accounting for all funds entrusted to the licensee
According to the court case Johnson v. Davis all Realtors must disclose all know facts no matter how they represent you. For instance, if I have a listing and I go to the home after a big rain storm and they have a bucket in the living room collecting the rain that’s dripping down-I must notify anyone coming to see this home that there is a roof leak and they should have the roof inspected.
In the state of Florida dual agency is not allowed-where your Realtor would represent both parties as a single agent. The only case where this can happen is if both parties have assets in excess of $1Mil. I guess they figure that if you have that much in assets you know what you’re doing.
Now that I’ve explained the different types of representation I’ll tell you that the Realtor’s broker decides how each office will represent buyers/sellers. A few of my banks require me to act as a single agent for them. Since I own my own company I can let my agents represent how they chose with the proper paperwork.
Here’s another common question I get:
How is the neighborhood? Or Do you know if there are any/how many whites, blacks, Hispanics, Chinese, kids, etc in this neighborhood. Is there a lot of crime in this neighborhood?
According to the Fair Housing Act the law prohibits me or any other Realtor from answering this question.
Although I have lived in every town from Bradenton to Punta Gorda I cannot possibly know every single street in each town. Here’s my advice.
1. Go visit the neighborhood after 5 pm when most people are home from work and the kids are out of school. Take a look around. Do you like what you see?
2. Call the local police department and ask if they get a lot of calls to that neighborhood.
3. Pick up a copy of the local newspaper and look at the streets mentioned in the Police Beat. Do you see the same ones mentioned over and over? Are these the streets in the neighborhood you are looking at?
I hope this clears up a lot of myths and mysteries behind these subjects
I’ve been searching the web and many websites say, “Buyers Broker”. I want to use you as my Realtor but you don’t say that on your website. Can you represent me and be a “buyer’s broker”?
I’d like you to list my house but it appears that you list for banks but you’re not really a “listing agent”. Can you list my house?
Here’s the deal folks. I can call myself whatever I want-buyers broker, listing agent/broker, etc. I could say I’m a buyer’s broker one day and a listing broker the next. These are just terms the Realtors use when they are more comfortable representing one side or the other. There are certain classes that we can take like Certified Buyers Representative but here’s what important to you---HOW ARE YOU LEGALLY BEING REPRESENTED BY YOUR REALTOR/AGENT. This makes a BIG difference.
So you can understand what I’m talking about I should explain the different ways a Realtor in the state of Florida can represent you and what each mean. There are three ways you can be legally represented by your residential Realtor in Florida-Single Agency, Transaction Broker or “non rep”-no Brokerage Relationship. As of July, 2008 all Realtors in the state of Florida are representing you as a Transaction Broker unless they state otherwise at first contact (i.e. right before you go out to look at property, upon meeting at their office). Phone and email contact is not considered first contact.
I’ll go into a little further detail on each of these so you understand why this is important.
As a Single Agent my duties to you are:
1. Dealing honestly and fairly
2. Loyalty
3. Confidentiality
4. Obedience
5. Full Disclosure
6. Accounting for all funds
7. Skill, care, and diligence in the transaction
8. Presenting all offers and counteroffers in a timely manner, unless a party has previously directed the licensee otherwise in writing; and
9. Disclosing all known facts that materially affect the value of residential real property and are not readily observable
I’ll give you an example of me representing you as a single agent:
I take Mrs. Smith out and show her property all day and at the end of the showings I get a call from Realtor Jane telling me that her seller’s home that we looked at today is listed at $200K but she knows that they will take $150K. If I am representing you as a single agent by law I must disclose all rumors, fact, hearsay, etc. It’s my duty to pick up the phone and tell you that Realtor Jane just called me and told me that her seller would take $150K for the home we looked at today. If I’m representing you as a transaction agent or non-rep you would not get this call because I’m not legally able to disclose this information.
Here’s another scenario-I go to preview a home for a potential buyer and the next door neighbor comes out and tells me that the home I’m previewing used to be a drug home. As a single rep I must disclose this info to you. As a transaction broker or non-rep, I cannot.
As a Transaction Broker my duties to you are:
1. Dealing honestly and fairly
2. Accounting for all funds
3. Using skill, care, and diligence in the transaction
4. Disclosing all known facts that materially affect the value of residential real property and are not readily observable to the buyer
5. Presenting all offers and counteroffers in a timely manner, unless a party has previously directed the licensee otherwise in writing
6. Limited confidentiality, unless waived in writing by a party. This limited confidentiality will prevent disclosure that the seller will accept a price less than the asking price, that the buyer will pay a price greater than the price submitted in a written offer, of the motivation of any party for selling or buying property, that a seller or buyer will agree to financing terms other than those offered, or of any other information requested by a party to remain confidential; and
7. Any additional duties that are entered into by this or by separate written agreement.
Limited representation means that a buyer or seller is not responsible for the acts of the licensee. Additionally, parties are giving up their rights to the undivided loyalty of the licensee. This aspect of limited representation allows a licensee to facilitate a real estate transaction by assisting both the buyer and seller, but a licensee will not work to represent one party to the detriment of the other party when acting as a transaction broker to both parties.
As a No Brokerage Relationship my duties to you are:
1. Dealing honestly and fairly
2. Disclosing all known facts that materially affect the value of the residential property which are not readily observable to the buyer.
3. Accounting for all funds entrusted to the licensee
According to the court case Johnson v. Davis all Realtors must disclose all know facts no matter how they represent you. For instance, if I have a listing and I go to the home after a big rain storm and they have a bucket in the living room collecting the rain that’s dripping down-I must notify anyone coming to see this home that there is a roof leak and they should have the roof inspected.
In the state of Florida dual agency is not allowed-where your Realtor would represent both parties as a single agent. The only case where this can happen is if both parties have assets in excess of $1Mil. I guess they figure that if you have that much in assets you know what you’re doing.
Now that I’ve explained the different types of representation I’ll tell you that the Realtor’s broker decides how each office will represent buyers/sellers. A few of my banks require me to act as a single agent for them. Since I own my own company I can let my agents represent how they chose with the proper paperwork.
Here’s another common question I get:
How is the neighborhood? Or Do you know if there are any/how many whites, blacks, Hispanics, Chinese, kids, etc in this neighborhood. Is there a lot of crime in this neighborhood?
According to the Fair Housing Act the law prohibits me or any other Realtor from answering this question.
Although I have lived in every town from Bradenton to Punta Gorda I cannot possibly know every single street in each town. Here’s my advice.
1. Go visit the neighborhood after 5 pm when most people are home from work and the kids are out of school. Take a look around. Do you like what you see?
2. Call the local police department and ask if they get a lot of calls to that neighborhood.
3. Pick up a copy of the local newspaper and look at the streets mentioned in the Police Beat. Do you see the same ones mentioned over and over? Are these the streets in the neighborhood you are looking at?
I hope this clears up a lot of myths and mysteries behind these subjects
Total Comments 0
