Working with us as your REALTOR

What qualities are you looking for in the person who will assist you in finding the perfect home, or the land to build it on, or that “just right” piece of commercial property to help realize your American Dream?  What’s all this business about agency relationships?  Why do I need to have a Buyer Representation contract with my agent? 

 

WHAT DOES A REALTOR DO?

 

It bears repeating that a home is most people’s largest single investment. With that in mind, the primary purpose of a Realtor is to provide you with PEACE-OF-MIND in the purchase of your home. The most important quality you are looking for in a real estate agent is TRUST. You want to be able to TRUST your agent to work hard on your behalf, to be very knowledgeable about the market, to listen carefully to your needs, to provide you with information and creative alternatives, and to always keep their promises. You can rest assured we take this commitment seriously!  The following is our pledge to you:

 

  • Be a good listener and understand your real estate needs

  • Help you determine the price home for which you can qualify.

  • Direct you to and encourage showings of, properties that fit your criteria: agency listings, MLS listings, For Sale By Owner listings and also properties that are not yet for sale.

  • Connect you with a mortgage consultant should you desire

  • Connect you, at your request, with a title insurance company which usually conducts the closing

  • Provide information and contacts on home inspection companies

  • Provide information and contacts on home insurance companies

  • Explain all of the forms that will need to be signed as they assist you in writing up the legal contract that constitutes your offer.

  • Represent you in all negotiations

  • Problem-solve and coordinate all parties to the transaction as you work toward a successful close in a timely manner.

 

 

AGENCY RELATIONSHIPS

 

Some state laws require that early in any real estate relationship, real estate brokers or salespersons discuss with consumers what type of agency representation or relationship they desire. An agency relationship is based on one person representing the interests of another person, and Real Estate Sales Associates, who are licensed by the State with a broker, represent a person for the sale or purchase of a property.

 

The type of relationship formed between the Sales Associate and the client is called a fiduciary relationship. A fiduciary relationship is one based on TRUST, as evidenced by the seven duties owed to the client: Loyalty, Diligence, Confidentiality, Reasonable Care, Obedience, Disclosure, and Accounting. The source of compensation does not determine agency, in that compensation can be paid by the buyer, seller, both, or neither (subject to restrictions under applicable state law).

 

Currently, there are several categories of agency relationships; the available options for MN are as follows:

 

 

 

 

The fiduciary duties mentioned above are listed below and have the following meanings:

Loyalty - broker/salesperson will act only in client(s)' best interest.

Obedience - broker/salesperson will carry out all client(s)' lawful instructions. 

Disclosure - broker/salesperson will disclose to client(s) all material facts of which broker/salesperson has knowledge which might reasonably affect the client's use and enjoyment of the property. 

Confidentiality - broker/salesperson will keep client(s)' confidences unless required by law to disclose specific information (such as disclosure of material facts to Buyers). 

Reasonable Care - broker/salesperson will use reasonable care in performing duties as an agent. 

Accounting - broker/salesperson will account to client(s) for all client(s)' money and property received as agent.

If Seller(s) decide(s) not to agree to a dual agency relationship, Seller(s) may give up the opportunity to sell the property to Buyers represented by the broker/salesperson. If Buyer(s) decide(s) not to agree to a dual agency relationship, Buyer(s) may give up the opportunity to purchase properties listed by the broker.

 

 

You should feel free to discuss these agency representation options with your agent since it is important that you have a thorough understanding of every aspect of the real estate transaction.

 

 

 

WHY SHOULD I HAVE A BUYER REPRESENTATION CONTRACT?

 

Recently buyers have become aware that real estate Sales Associates have considerable knowledge that could be of great assistance in deciding what property to purchase. It is important for you to understand that a seller’s agent works for and represents the seller, per the listing contract that is signed by both parties (the Broker, represented by the agent, and the seller) at the time of the listing agreement. In many areas of the country, buyer representation in the form of a contract signed by both the potential buyer and the Broker (represented by the agent) has become as prevalent as the traditional listing contract.

A buyer’s agent works for and represents the buyer. When a buyer is represented by a Sales Associate and their Broker via a Buyer Representation Contract, the seven fiduciary duties of Loyalty, Diligence, Confidentiality, Reasonable Care, Obedience, Disclosure, and Accounting are owed to the buyer as well.

 

When you hire us by signing a Buyer Representation Contract, you’re hiring us to protect your interests, negotiate, and represent you in any real estate purchase transaction. We guarantee a commitment to make every reasonable effort to locate the property described by the buyer and provide the seven fiduciary responsibilities to the buyer alone.