Should I Work With A Buyer's
Agent?
A Seller's Agent? A Dual Agent?
You should understand
from the beginning of your relationship with your real estate agent what type of relationship exists. In most provinces, real estate agents (both brokers and sales associates alike) are required by law to let consumers
know whether they represent the buyer or the seller.
In the past,
real estate agents represented the seller exclusively, whether the agent
helped a seller to market and sell the home or helped a buyer find and
purchase the home. In other words, agents were at one time legally bound
to represent the seller in a residential real estate transaction. In that
same scenario, the seller paid both the listing agent and the agent who
brought the buyer.
However, in
today's real estate market, you may find that you can choose between a
wide variety of options for representation. If you want to sell a home,
you can work with a "seller's agent". If you are purchasing a home, you
can work with a subagent of the seller's agent and, in many areas, you
can engage an exclusive "buyer's agent".
An additional
situation in some provinces is dual agency. This type of agency exists
when the buyer decides to have the seller's agent prepare the offer on
the buyer's behalf. A buyer who elects this situation, and all additional
parties to a transaction, should receive full disclosure of representation.
In some provinces, dual agency also affects the real estate professional's
fiduciary responsibilities to the seller.
Keep in mind
that real estate laws differ from province to province and even from municipality
to municipality. And within this framework of variety, laws can change.
For more in-depth answers for your specific situation, talk with a knowledgeable
real estate professional and ask about local practices. Be sure that you
understand and are comfortable with the options involved when you engage
the services of a real estate agent.
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