We sign a lot of documenst and contracts through our lifetime. The purchase of a new car, credit cards, bank loans, school loans, work contracts............................... You get the point. It can be a little overwhelming sometimes.
Read Before You Sign:
When you're signing on the dotted line, it's important to read and understand what it is you're signing.
In this blog, I will be explaining the importance and outlining the contents of a Buyer's Representation Agreement and how this agreement plays into protecting YOU, the consumer for your next Real Estate purchase.
First let's talk about what a Buyer's Representation Agreement is and not confuse it with a Customer Service Agreement:
Customer Service Agreement:
By signing a Customer Service Agreement, YOU the buyer are acknowledging that brokerage explained to you the information relating to Agency Relationships including Seller's Representation, Buyer's Representation, Sub Agency and Multiple Representation.
Buyer's Representation Agreement:
While the explanation of Agency Relationships still applies, when you sign a Buyer's Representation Agreement, you are giving authority for a specific Realtor to work on your behalf for a designated time period to locate a property that matches your criteria.
The agreement also confirms the Realtor's commitment and fiduciary duties to put forward their best possible efforts on locating you, your dream home. A good Realtor will also take the time to always outline the contents of a Agreement of Purchase and Sale including pre-written content as well as insert appropriate clauses to help protect YOU, the buyer. Such clauses could be for Financing, Home Inspection, Land Survey and even additional visits before closing. There are too many clauses to list. When dealing with Condo purchases, a clause for review of a Status Certificate is also very important.
You may wonder if you sign a Buyer's Representation Agreement, if you are obligated to make a purchase. The answer is NO! In no way are you obligated to make a purchase. Makes it ano brainer, doesn't it?!
The best part is, Buyer's very rarely pay for the services of a Realtor.
How Realtor's Can Help:
Realtor's have access to a database of properties that have sold and will provide vital information in helping determine a value on the home you are thinking about purchasing, This is the same database used by professional appraisers and can save you thousands of dollars on your purchase ensuring you don't over pay.
A good Realtor will also listen and cater to your needs. No question should be too small. This process can be very educational. Whether, it's wanting a more entertaining downtown address with all the perks or a more quiet neighbourhood close to schools, community centre's, parks, quick and easy access to public transportation. etc....
Purchasing a home will be one of the most important decisions that you will make and you want to ensure that you are protected. The smartest thing to do is get in touch with an Honest, Hardworking Realtor and sign a Buyer's Representation Agreement, but not before reading and having the Realtor explain exactly what you're signing.
Call me today for help on your next Real Estate transaction and Stay Protected!
It's Your City, Your Home. Call a Realtor who knows, call Your Community Expert.