Mitzi Romiti
Associate Broker
e-PRO, GRI,
Direct: 703-241-7935
 |
 |
 |
 |
 |
 |
 |
 |
 |
 |
 |
 |
 |
 |
 |
Working with
It wasn't that long ago when all the agents in a transaction worked for the seller. Many times, the buyer didn't realize this, and gave damaging information about their situation which was often passed on to the seller. This could have included how much higher they were willing to go on the offer they made on a home. Few agents really explained this properly when they started working with a buyer.
The following information is what the law says about who is working for whom in Virginia. If you have any questions about any of this, I'd be happy to answer them for you.
Client or Customer
When dealing with a REALTORŪ, in a real estate transaction, you are either a client or a customer of that REALTORŪ. A client is someone who has formed a brokerage relationship with a REALTORŪ, usually by signing a contract, and the REALTORŪ is their agent. Parties who do not have a brokerage relationship with a REALTORŪ are customers.
While acting as a standard agent, a REALTORŪ has certain duties and obligations. The basic duties, are defined in Virginia law (see especially Section 54.1, Chapter 21, Article 3) and additional duties can be created by a brokerage agreement with a client, usually in writing. REALTORSŪ are also governed by a strict Code of Ethics.
A REALTORŪ you choose as your agent will fully represent your best interests. An agent owes first allegiance to his or her client. There are some limits, when an agent has two clients in the same transaction (see overlapping brokerage relationships). Brokerage relationships with an individual REALTORŪ also bind the other agents and employees of the same real estate company. Among the standard duties a REALTORŪ owes a client are:
 |
Perform the terms of the brokerage agreement . . |
|
|
Promote the clients best interest by seeking a transaction acceptable to the client . |
|
|
Provide financial accounting . |
|
|
Disclose known material facts about the property or the transaction . . |
|
|
Exercise ordinary care . . |
|
|
Maintain client confidentiality, unless the information to be disclosed is required by law. |
An agent does have duties to a customer as well. Standard agents must:
|
|
Treat all parties honestly, and not knowingly give false information . . |
|
|
Inform all customers, and potential customers of the nature of their brokerage relationships, if any . . |
|
|
Disclose material adverse facts pertaining to the physical condition of the property of which the REALTORŪ is actually aware , . . |
|
|
Comply with the law, including the fair housing act. |
There are limits on what an agent must tell a customer. Customers may wish to look to other sources for information important to their decisions.
Continue on to:
Standard Seller representation
Overlapping Brokerage Relationships
