At your initial contact with a real estate brokerage company, you, the potential buyer of property, should determine what kind of legal relationship you will have with the Realtors.
All real estate brokerage companies are subject to the Common Law of Agency.
A buyer and a real estate brokerage company should agree on a legal relationship before real estate needs or financial information are discussed.
The nature of that legal relationship determines whether you will be a client to be served or customer to be sold.
If a real estate brokerage company represents the buyer in a transaction and not the seller, the buyer is the client and the seller is the customer. To obtain representation, the buyer and the brokerage company (RE/SOURCE Inc.) will enter into a buyer representation agreement. The brokerage company will then be legally obligated to provide the buyer/client with the following fiduciary duties:
In short, the best interests of a client must come before all others.
The custom of sellers paying real estate commissions is alive and well, so --- it's expected that our buyer/clients can get the best of both worlds - full representation, but at the seller's expense! But, let's not forget, it's the buyer that brings the money to the table. This is a powerful advantage. Make use of the power your capital has in the transaction.
Our buyer agency contract is an agreement that says RE/SOURCE Inc. will work as your exclusive agent. Technically you are responsible for a specified commission. However, over the past six years we have been paid by the seller on behalf of the buyer on virtually every Buyer Agency transaction. Who pays us has nothing to do with whom we represent.
