1. Interview several buyer's agents and ask how they will represent your best interests before you start looking at homes. Otherwise, the first agent who showed you the home you later decide to purchase may claim the buyer agency commission, regardless of whether or not you signed a buyer agency agreement with that agent or even want to work with that agent.
2. Ask what the policy of your agent's firm is if you want to purchase an in-house listing. If their policy is dual or designated agency on in-house sales, then you would be required to sign a dual agency agreement which would allow your agent's firm to represent the seller's best interests too.
3. Be wary of any agents who work for a firm that takes listings and claim they can represent you as an "exclusive buyer's agent". If their firm's policy is dual or designated agency on in-house sales, legally neither agent can provide either party with information that would give one party a negotiating advantage over the other.
4. Ask what the policy of your agent's firm is in the event the seller offers a bonus amount in addition to your agent's commission. Your agent must get your permission to keep any bonus amount over the commission amount agreed upon in the buyer agency agreement.
5. Make sure your agent explains the risks associated with dual agency and reviews the NC agency disclosure brochure, "Working with Real Estate Agents" with you prior to showing you any homes. According to the according to the National Association of Realtor's 2007 Legal Scan, over the past two years, agency - specifically breach of fiduciary responsibility by agent and issues surrounding dual agency and buyer's agency representation - accounted for the largest number of residential real estate-related court cases: http://www.realtor.org/rmomag.NSF/pages/lawdec07?OpenDocument .
Monday, October 1, 2007
Subscribe to:
Post Comments (Atom)
1 comments:
Post a Comment