|
Understanding Buyer Representation
Buying a home can be overwhelming. Finding the right property takes time, knowledge of the local market, negotiating skills and the expertise to deal with contracts. Each buyer has a different story. Maybe you're a first-time buyer or perhaps you have to sell your home before you buy a new one. A buyer's sales representative understands these situations and is there to promote your interests and represent you through the entire process.
What can the buyer's sales representative do for me?
Your buyer's sales representative will help you through all stages of home buying, starting with a detailed search for the property that suits your needs and budget. This includes searching properties on the MLS® (a large database of property listings) and any for sale by owner. If any of them appeal to you, your buyer's sales representative will arrange showings at your request. Once you've found a property, you need to decide what price to offer? Your sales representative can prepare a comparative market analysis (CMA) that can help you decide on a price. Once you've named a price, your sales representative writes an offer and works to negotiate the price, terms and conditions in your favour. Your buyer's sales representative can help wade through all the paperwork that's part of a real estate deal.
Knowing all you can know about a property is an important factor in your decision-making. For example, it's important to know what repairs are needed, what nearby future developments are proposed or in the case of agricultural properties, the state of wells and quality of water.
Your buyer's sales representative must disclose everything known about a property that could impact your decision. For example, a neighbourhood might be known to have water problems or homes built by a particular developer might have a history of foundation problems. If you have concerns your sales representative can't answer, you'll be advised to ask for advice from other professionals.
Buyer's sales representative can also lead you to other services necessary in the home buying process. The buyer's sales representative can search title and provide guidance on financing, property inspections or arranging for a real property report.
Your buyer's sales representative works for you
Your buyer's sales representative has certain obligations, or fiduciary duties that they must fulfill to you, the client:
Loyalty: The sales representative must protect your negotiating position at all times and work in your best interest.
Obedience: The sales representative must carry out all of your lawful instructions.
Confidentiality: The sales representative has an obligation to keep information confidential.
Reasonable care & skill must be exercised in performing all duties.
Full disclosure of all relevant information that is known by the sales representative and that may influence your decision or affect the value of the property.
Full accounting of all money and property placed in the buyer's sales representative hands while acting on your behalf. Your sales representative will promote your interests, represent you throughout the transaction and will act only as your sales representative unless you agree otherwise. For example, you might be interested in a property listed by the sales representative or another representative in the same brokerage. In this case, you may want to allow your sales representative and the brokerage to act as a dual sales representative, representing both you and the seller. In a dual representation situation, the fiduciary duties the sales representative owes to you and the seller change.
Ensure your buyer's sales representative is a REALTOR®
Remember, not all sales representative are REALTORS®. In addition to complying with provincial laws, REALTORS® belong to the local real estate board and subscribe to the strict Code of Ethics and Standards of Business Practice of the Canadian Real Estate Association. This ensures you will receive the highest level of service, education and integrity.
Source: Alberta Real Estate Association
|
|
|
|
