REALTORS® can manage all the details of the real estate transaction, including
recommending other professional services like appraising, legal and property
inspection. REALTORS® can also offer advice and provide information. REALTORS®
have the resources to deliver the right level of services.
REALTORS® provide specialized service to specific markets, including: residential,
commercial, resort, farm, seller, buyer, mature and first-time home buyers.
Only REALTORS® have an edge when it comes to marketing residential and
commercial properties:
In addition to the professional advice and service REALTORS® can provide,
buyers
and
sellers can take advantage of SRAR marketing to buy or sell a
property, to research the housing market and to help them make real
estate decisions.
Investing time to find the right REALTOR® is a wise investment. Choose a
REALTOR® carefully. Determine a real estate agent’s knowledge about the
industry and the regulations that govern it.
Interview REALTORS®. ASK:
→ for qualifications, right up to a resume
→ about ethics and business practices
→ about industry knowledge
→ for specific experience
→ about fee-for-service
→ for references
Among real estate agents in Saskatoon, members of the Saskatoon Region
Association of Realtors are accredited REALTORS®, a designation signifying
high professional standards and qualifications. REALTORS® belong to the
Canadian Real Estate Association and the Association of Saskatchewan
Realtors, complete an extensive course of studies, meet the
educational requirements of the Saskatchewan Real Estate Commission
and uphold professional standards.
Understanding the Agency Relationship
REALTORS® work within a framework of legal principles called agency.
REALTORS® believe that it is important that the buying and selling public
understand how an agency relationship works and when it exists.
At law, agency is a specific relationship between two or more people.
One person must authorize the other person to act on his/her behalf,
and the other person must consent to do so. In other words, when you
authorize a REALTOR® to work for you in buying or selling a property
and the REALTOR® agrees, you and the REALTOR® are in an agency
relationship. As a member of the public, you are probably familiar with
working with individual REALTORS®. However, the agency relationship
is actually between you and the REALTORS® brokerage. The brokerage
is the real estate company, its branch offices and all of the salespeople.
Therefore, when you hire your REALTOR®, the law of agency says that you
hire the entire brokerage.
In Saskatchewan, REALTORS® practice three different forms of agency:
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Seller's Agency
In Seller’s Agency, a real estate company represents only the interests
of the seller. Sellers typically hire a real estate company to sell
their property by signing a "listing" agreement (now called the Exclusive
Seller’s Brokerage Contract). This is the Contract which establishes the
formal agency relationship between the seller and the real estate brokerage.
The Exclusive Seller’s Brokerage Contract will explain exactly what the
seller instructs the Seller’s Brokerage to do, what services the Seller’s
Brokerage will provide to the seller, who will pay for those services and
what obligations the seller will have.
A Seller’s Brokerage is expected to:
→ obey the seller’s instructions on the Exclusive Seller’s Brokerage
Contract and all lawful instructions of the seller;
→ represent the seller’s best interests;
→ fully disclose known facts which might influence the seller’s decisions;
→ maintain the confidentiality of personal and financial information discussed with the seller even after the Exclusive Seller’s Brokerage Contract expires;
→ safeguard the seller’s documents and money; and
→ exercise reasonable care and diligence.
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Buyer's Agency
In Buyer’s Agency, a real estate company (brokerage) represents only the
interests of the buyer. Buyer’s Agency can be established by working with a
REALTOR® or by a written contract between the buyer and the brokerage
called an Exclusive Buyer’s Brokerage Contract.
The Exclusive Buyer’s Brokerage Contract will explain exactly what the
buyer instructs the Buyer’s Brokerage to do, what services the Buyer’s
Brokerage will provide to the buyer, who will pay for those services
and what obligations the buyer will have.
In Buyer’s Agency, it is the buyer who can expect the REALTOR® to:
→ obey the Buyer’s instructions on the Exclusive Buyer’s Brokerage Contract and all lawful instructions of the Buyer;
→ represent the Buyer’s best interests;
→ fully disclose known facts which might influence the Buyer’s decision;
→ maintain the confidentiality of personal and financial information discussed with the Buyer even after the Exclusive Buyer’s Brokerage Contract expires;
→ safeguard the Buyer’s documents and money; and
→ exercise reasonable care and diligence.
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Limited Dual Agency
Dual agencies occur when the same REALTOR® acts for both the buyer and the
seller on the sale of a property. It also occurs when different REALTORS®
work for the buyer and seller if those REALTORS® are employed by the same
real estate company (brokerage) even if they work at different branch
offices of that brokerage.
When dual agency occurs, the brokerage’s duties of confidentiality and
loyalty to the seller conflict with the same duties to the buyer.
Therefore, the Saskatchewan Real Estate Association has proposed
certain rules and limitations to deal with dual agency situations.
The limitations of dual agency are:
→ that the REALTOR® will not disclose that the buyer will pay a price or agree to terms other than those contained in the offer, or that the seller will accept a price or terms other than those contained in the Exclusive Seller’s Brokerage Contract.
→ that the REALTOR® will not disclose the motivation of the buyer to buy or the seller to sell unless authorized by the buyer or seller.
→ that the REALTOR® will not represent the interest of either the buyer or the seller to the advantage of one over the other.
→ that the REALTOR® will not disclose personal or financial information of either the buyer or the seller unless authorized in writing.
→ that the REALTOR® shall disclose to the buyer all material defects about the physical condition of the property known to the REALTOR®.
→ that all "comparable" property information may be disclosed to both the seller and buyer at any time.
The brokerage shall disclose the dual agency to the buyer immediately before
preparing an offer (Contract of Purchase and Sale) on the property for
signing by the buyer. The brokerage shall disclose the dual agency to the
seller immediately before presenting that offer (Contract of Purchase and Sale) to the seller for acceptance. The brokerage shall not be obligated to disclose the dual agency before the times described above.
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