Agency in the Commonwealth of Massachusetts:
Everyone in the Commonwealth of Massachusetts is entitled to be represented by a Real Estate Firm. This was not always the case! Historically, both agents represented the seller since that party was paying all commissions. Now agencies may represent either the buyer, the seller, or both parties at the same time in any transaction. Each client, whether they are buying or selling, would be required to sign a representation agreement to secure their professional services and at the very least an Agency Disclosure acknowledging what type of representation you will receive.
In most cases, the payment of the Firm’s professional service fee would be generated from the proceeds of the sale and still paid by the seller. Should, however, the consumer prefer alternative solutions, the fee could be structured in other ways to suit the situation.
All clients are entitled to absolute confidentiality, obedience to lawful instruction, full disclosure, accounting of all funds and paperwork, and reasonable care to protect you from foreseeable risks in your real estate transaction.
The Commonwealth now permits certain in-house sales to be considered “arm’s length”. Not all firms will offer this service.
Designated Agency is permitted when one Agent of the Firm has listed a property for a Seller Client and another Agent of the Firm has a Buyer Client for that property. In this situation, each Agent may offer Full Representation to each of their clients without being considered Dual Agents. All that is required is written permission from the clients who are involved.
Buyers Get Representation, too!
You may now secure a real estate agent to represent your needs in the most important purchase of your life. Although no retainer fee is necessary, written authorization in the form of a signed agreement is recommended prior to any research being done, or property being shown. Failure to do so could jeopardize your negotiating position.
A success fee for services rendered is paid to the REALTOR® from the proceeds of the sale. In most transactions, the property chosen by the buyer is shown through the Multiple Listing System. In these situations the Listing Agency shares their fee with the Buyer’s Agent as a “reward” for bringing a qualified buyer with an offer that has terms and conditions the seller may accept.
Your interests may also be represented in “For Sale By Owner” situations. You are entitled to information and have the most to gain through Confidentiality, Guidance, and Advice. Our fee will be paid from the proceeds of the sale. Without a buyers agency agreement, the agent is obligated to represent the seller. It is better to have your agent negotiating for you than against you. Without the Buyers Agency Agreement, your agent is by law required to do just that.
What I Can Do For Our Buyer Clients and Seller Clients
- I can provide you with all types of information regarding the process, the property, or the current market conditions.
- I can recommend and direct you to other experts and professionals that have information you need that is outside our area of expertise.
- I can keep all information about your finances and motivations for buying or selling strictly confidential, not even any of our other clients are entitled to know such information.
- I can watch out for your interests and make sure that you are not taken advantage of by anyone within your buying or selling process.
- I can give you our professional advice and guidance.
- I can give you choices and inform you of the possible effects of those choices, both positive and negative.
- I can help you plan a successful offer and negotiating strategy.
- I can disclose material facts and defects about any property.
- I can direct you to our website https://callkathyc.com for town and school information or crime statistics.
- I can direct you to town hall to discover any/all future development that might affect values before you decide which community to settle in.
- I can tell you how to get information from the seller regarding deaths, AIDS, or ghosts if you want to know.
- Massachusetts Realtor Code of Ethics:
Obedience to lawful instruction;
Undivided loyalty placing your interests before our own.
Full disclosure of all material facts and information to your transaction that are not protected by our other client relationships. Confidentiality, even keeping your name anonymous in your transaction.
Full accounting of all money and paperwork in your purchase or sale.
Reasonable care and diligence to protect you from foreseeable risks.
Services I Can’t Provide to My Clients
- I can’t make decisions for you and I won’t take responsibility for your good or bad decisions.
- I can’t tell you any confidential, financial, or motivational information that we may know about any of our other clients.
- I can’t lie, cheat, or steal for you.
- I can’t hide material facts and defects about any property or pretend they don’t exist.
- I can’t guarantee to help you buy property below market value and I can’t guarantee to help you sell your property for more than its really worth or more than the market will bear.
- I can’t tell you where to live, what community is best for you or what neighborhood you should live in. Those are your decisions to make.
- I can’t tell you what school system your children should go to; only you can know what is the best environment for your family.
- I can’t tell you if there have been safety problems in the neighborhood. Only the Police Department knows every detail regarding a neighborhood or community’s safety statistics.
- I can’t tell you what the community has proposed or planned for some future time that may or may not happen such as shopping centers, exit/entrance ramps, highways or anything else that might affect your future property value.
- I can’t tell you if anyone who lived at a property died there by natural or other causes, had HIV, if the property is haunted or if any Sexual Offenders live in the neighborhood.
- I can’t get any rebates or kickbacks from any professionals I may recommend that you use.
Dual Agency: Benefits to All!
Dual Agency occurs when the Listing Agent is the Buyer’s Agent as well. Neither client suffers in this type of transaction. All clients receive complete confidentiality, obedience to lawful instructions, disclosure of all known material defects & accountability.
Since clients are represented by the same agent each client receives equal treatment and equal information. The agent is able to structure a mutually beneficial sales arrangement for all concerned. Problems are resolved easier since each client has their own exclusive Legal Representation as their agents facilitates their transaction.
