WHO IS THAT REALTOR WORKING FOR?

Sometimes we like surprises, like a surprise party or a surprise gift. When it comes to buying or selling your home, however, surprises are the last thing you want.

REALTORS believe it’s important for you to understand for whom they are working, and what services you can expect from them. That way there are no unpleasant surprises later in the transaction. A REALTOR may be working for you – if you have a clearly established "agency relationship" with that REALTOR. But often, you may assume such an obligation exists when it does not.

The next time you are buying or selling a home, you will be asked to sign some form of agency agreement. The use of written agency agreements, whether with buyers or sellers, is now mandatory for all real estate practitioners in Ontario. As an agent, the REALTOR is legally obligated to look after the best interests of the person he or she is working for. The agent must be loyal to that person.

The real estate profession itself lobbied for many years for the creation of the Real Estate Council of Ontario (RECO), a self-management body for the profession in Ontario. As of January 1, 2000, all licensed real estate brokers and sales people must follow certain rules designed by RECO to protect consumers.

These rules include clearly establishing whom the REALTOR is working for in a real estate transaction -- the buyer or the seller -- and acknowledging that relationship in writing. Failure to have a written agency contract is a breach of the RECO code of ethics.

You will be asked to sign a listing agreement if you are a seller. You will be asked to sign a buyer agency agreement if you are a buyer and the REALTOR is representing your interests. And, whether you are a buyer or a seller, you will be asked to sign documentation confirming that you understand whom the REALTOR is working for.

Buying or selling a home is an exciting, but complicated process. A REALTOR’s expertise will ensure your real estate transaction runs smoothly. Knowing that a REALTOR is in your corner, acting as your advocate and representing your best interests will give you greater peace of mind.


Source: Ontario Real Estate Association


BROWSE HELPFUL INFORMATION:



Buyer Info

Buyer Info

Since choosing a right property to buy starts with needs and desires and finishes with a sizable portion of your earnings used for paying for it, it's important to ensure that the property you choose both meets your needs and is a good "fit" with your financial situation.
Read more...




Seller Info

Seller Info

If you currently own property and are thinking of placing it on the market, get informed about preparing your home for sale, pricing your property appropriately, marketing it effectively and learn everything you can about real estate sale process so you can maximize your chance of a profitable sale by avoiding costly marketing mistakes.
Read more...

REAL ESTATE TIPS

Your credit, income and down payment are 3 main factors that will be considered before you get approved for a mortgage.
One way to help boost your down payment is to borrow money from your RRSP.
Don’t make any big purchases before getting approved for a mortgage.