Real estate brokers and sales force are not all created equal. The striking difference between the two is the difference in licensing. Broker is licensed to negotiate real property sales and represent the principal (seller or buyer). A salesperson only functions for brokers, representing each other under the guidance and license broker. But even apart from the problem of technical licenses, it is important to realize who represents you.
In our article titled, Real Estate Agents must have these qualities, we show a lot of characteristics of good real estate agents. In this article, we showcase the fiduciary task of a real estate legal broker. Many real estate investors talk about “find good real estate agents,” or people who are familiar with the nature of investment. It must be recommended in a circle of real estate investment, as it should.
However, there is one thing that many real estate investors or even ordinary home buyers do not take into account and it is fiduciary responsibility from real estate brokers. Most real estate brokers generally represent sellers because that’s where the majority of money is located. The seller has a real property and wants to sell, most buyers have many obstacles to overcome and have nothing.
So when we see “finding real estate agents” to find property, do “Comps”, etc., where do we stand, like investors / buyers? Unless you have a buyer agent with a real estate broker, no matter what they say to you or what kind of information they get, the most important questions remain, “Where is the fiduciary responsibility they lie?”
Let’s step more advanced and use “Comps” for example. As a broker or sales person who represents the seller, even a list of other agents, their loyalty always remains with the seller. If you work with sales power and they draw comps for you, they will present information and it’s up to you, investors, to make the final assessment of what to buy and not buy. No one forces you to buy property. So, people sales real estate that work with you shows you Comps, but unless they agents their buyers, in the end, they work for sellers.
So you ask them, “Can you know how many sellers owe it to the property?” This kind of question will depend on the fiduciary responsibility agent, or should. As a real estate sales agent, they cannot lie to one of the parties or misinterpret or hide information from one of the parties in the transaction if it will be detrimental. However, the loyalty of real estate agents will certainly play a role when it comes to questions like this. If they have an agency with the seller, if the seller does not want this information known by the buyer, the real estate agent will not get this information.
Many real estate investors will work with buyer agents, which means that the real estate broker will work directly with or will have one of its sales agents working with buyers. In this case, the buyer’s institution means that the broker or sales agent that works under the broker has a major relationship with the buyer, rather than the seller. This situation does represent sticky for brokers because how can brokers represent the seller and buyer? Many brokers avoid this right situation for this reason. However, there are many brokers who work to represent buyers.
