I recently came across some promotional material in my office mail that made me think about disclosure and how some Realtors fail to disclose some very important information. While this was still in the back of my mind, I came across a blog post by another Realtor questioning why he should show a particular property to a buyer when the commission to the buyer's agent is not enough for him. First thing that popped in my mind is "Because you should and its your job".
This had me thinking about doing a blogpost about disclosure and ethics in general. Here is a link to this post:
http://www.realestate-fraservalley.com/2008/01/27/is-your-local-fraser-valley-realtor-ethical/
Hope you enjoy the post and be sure to let me know what you think or if you have come across any situations that made you wonder where someones ethics were?
As a Fraser Valley Realtor, I specialize in residential real estate in Surrey and Langley. I provide professional, honest and exceptional service. Call me today, I look forward to working with you.
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Nice post. That is correct..it's his job. As a Loan Officer, I do $800,000 loans and also $40,000 loans. It is not my choice but my Clients right to choose.
I have made $5000 on a deal and $9.19 on another!!!!!!!!
I really cant beleive somone would even post something like that! THats a quick way to have a fine slapped on you in NJ.
You must show the customer what the want to see, no matter the commision.
Dave, this particular Realtor is from NJ
Take the big and small, do a good job and it will all evenout inthe end.
Yes you should and it is your job to show the home! Gosh It is our job folks! If you do a great job for that home buyer they will come back with plenty of referrals...sometimes it's not what you make in the begining but what you make in the back end! Great post - Thanks!
Tom Davis - Delaware Realtor - Delaware Home For Sale Realty
It is your job! Thanks for the post.
There is no problem, legal or ethical, when a buyers agent does not show the properties that dont adequately compensate him.
The answer to this question is a buyers brokers agreement whereby the buyer agrees to compensate their broker according to the formula x-y . where x equals the compensation required by the buyers broker for their services and y equals the commission paid to the buyers broker by the listing broker.
I am sorry but I disagree with you Ron. The operative word here is "agent". An agent is deemed to always look after the best interest of his or her "principal". How is it not unlawful, and unethical, if an agent puts his or her interests before the principal's?
I am sure if you do just a bit of research you can find numerous case law examples that hammer this point home.
For sure a Buyers Agency Agreement states that the buyer will compensate the agent x amount of dollars, and if the agent gets x amount of dollars as commission by the listing agent, the buyer pays nothing; if the commission is less than x dollars, then the buyer can either compensate the agent, or let the agent negotiate a higher commission if the deal is to go through.
In this scenario, there would be no reason for the agent to not show any property. Things do become interesting when there is no signed agency agreement. This does not mean there is no agency relationship, since there can be an implied agency relationship. It's just that a signed agency agreement, that spells out how the agent is to be paid, makes things much easier. So just because the agent did not have the buyer sign a Buyers Agency Agreement does not mean that the agent is free to put his or her interests first.
In Alberta if you have a buyer's agency agreement you can state the fee you expect to be paid. This then covers you for for sale by owner properties as well. Usually you can negotiate with the seller to bring the fee up to the contract level. If not the buyer can consider your fee as part of the purchase price and make his offer accordingly.