The Three REALTOR® Relationships
The relationship between a real estate brokerage and a client is called “Agency” and there are three major kinds:
1. Seller (Vendor) Agency
The real estate brokerage and all its REALTORS® represent the seller exclusively and it’s their job to get the best offer on the home. They are legally obliged to tell the seller anything known about a buyer. For instance, if a seller’s REALTOR® knows a buyer will pay more for a property, they must tell the seller.
2. Buyer (Purchaser) Agency
The real estate brokerage and all its REALTORS® represent the buyer exclusively. They seek out homes that meet the buyer’s needs and help assess the merits and defects of potential homes. They keep the buyer’s information confidential and never disclose information like the maximum amount their buyer is willing to pay. You may be asked by your REALTOR® to sign a buyer agency agreement. In fact, in some provinces,
REALTORS® are required to ask you for your own protection. This agreement ensures that the REALTOR® and the brokerage can look after your best interests.
3. Dual Agency
Sometimes, a brokerage may have an agency relationship with the buyer and the seller. Both the seller and the buyer must give their informed consent, and the REALTOR® must always provide full and timely disclosure of all pertinent information to both parties.
SELL AND BUY WITH THE SAME REALTOR®?
Absolutely! Especially if you’re remaining in the same community. Your REALTOR® is already an expert on your needs, so it can save you a lot of time and energy.