Working with Real Estate Agents
NOTE: Effective July 2, 2001, in every real estate transaction, a real
estate agent shall, at first substantial contact directly with a prospective
buyer or seller, provide the prospective buyer or seller with the brochure
“Working with Real Estate Agents” and explain the different types of agency
law. [NC Real Estate Commission Rule 21
NCAC 58A.0104(c)]
When buying or selling real estate, you may find it
helpful to have a real estate agent assist you. Real estate agents can provide many useful services and work with
you in different ways. In some real
estate transactions, the agents work for the seller. In others, the seller and buyer may each have agents. And, sometimes the same agents work for both
the buyer and seller. It is important
for you to know whether an agent is working for you as your agent, or
simply working with you, while acting as an agent of the other party.
SELLER’S AGENT
An agent under a Listing Agreement with a seller acts as an agent for the seller. The listing firm and it’s agents, and the
selling firm and all of it’s agents, as subagents of the seller. Agent duties to Sellers:
- Promote your best
interests
- Be loyal to you
- Follow your lawful
instructions
- Provide you with
all materials facts that could influence your decision
- Use reasonable
skill, care and diligence
- Account for all
monies that firms handles for you
BUYER’S AGENT
An agent under contract with a buyer, acts as an agent for the buyer
only. The Buyer’s Agent must renounce
the usual subagency offered by the listing agreement and must disclose the
buyer agency relationship to the seller’s agent and firm. Agent duties to Buyers:
- Promote your best
interests
- Be loyal to you
- Follow your lawful
instructions
- Provide you with
all materials facts that could influence your decision
- Use reasonable
skill, care and diligence
- Account for all
monies that firms handles for you
Services and Compensation:
The compensation (commission or fee) can be paid by either the buyer or the
seller. Most sellers agree at the time
that they list their property, to compensate all agents, whether they
represent the buyer or the seller. With
a written Buyer Agency agreement, the agent can help you:
- Find a suitable
property
- Arrange financing
- Learn more about the
property
- Help you prepare a
written offer to the seller
- Promote your best
interests
DISCLOSED DUAL AGENT
An agent acting under a disclosed dual agency relationship, may represent
both the buyer and the seller, provided that there is a signed agreement by
both parties, and that this dual agency relationship is disclosed with the
written consent of all parties.
The agent may not disclose to either party, without the written consent of
the party adversely affected by the disclosure, any information obtained within
the confidentiality and trust of the fiduciary relationship. The agent must not disclose to the
buyer that the seller will accept a price less than the listing price, nor
tell the seller that the buyer will accept a price higher than the price offered. The dual agent basically acts as a
facilitator or liaison between both parties.
