WORKING WITH A REALTOR

Buying or selling a home is likely one of the largest business deals you will ever make.
That's why it's important to carefully select the person who will help you get the most
for your money or property - your REALTOR - and to understand the different kinds of
relationships you can have with a REALTOR.

As licensed real estate professionals, REALTORS subscribe to a high standard of service
and a strict code of ethics. REALTORS work within a legal relationship called agency.
The agency relationship exists between you, the principal, and your agent, the company
under which the individual REALTOR, who is representing you, is licensed. The essence of
the agency relationship is that the agent has the authority to represent the principal in
dealings with others.

To eliminate any confusion, particularly if you are a buyer, it is important to establish
from the starHhe agency relationship that exists between you and the REALTOR you select.
These relationships may include:

Seller's Agent - When a REALTOR is a seller's agent, he or she must do their best for
the seller of the property. The REALTOR will provide the seller with a fair assessment
of the property, prepare a listing agreement, develop a marketing plan and help separate
the "Iookers" from "buyers." He or she will ensure that only serious offers are made.

Buyer's Agent - When a REALTOR is a buyer's agent, he or she must do their best for the
buyer. A written contract establishing this relationship will explain the services to be
provided and spell out if any special fees will be paid. It will also specify what
obligations a buyer may have, such as working with the REALTOR for a specified period of
time.

Limited Dual Agent - Occasionally, a REALTOR will act as the agent for both the buyer
and seller. Since the REALTOR has promised a duty of confidentiality, loyalty and full
disclosure to both parties at the same time, it is necessary to limit these duties in this
situation if both parties agree. If you find yourself involved in a dual agency
relationship, before making or receiving an offer both you and the other party will be
asked to consent in writing to this new, limited agency relationship. The REALTOR will
explain fully what kind of information he or she can and cannot disclose to the other
party.

No Agency - You may also choose to use the services of a REALTOR without having any kind
of agency relationship. This might occur, for example, when the seller's agent is showing
you a property. The REALTOR you choose to work with in this situation has a legal and
ethical duty to provide you with accurate and honest answers to your questions and can
assist you in your search. for a home. A REALTOR who is not your agent cannot, however,
recommend or suggest a price, negotiate on your behalf, inform you of his or her
principal's bottom line or displose any confidential information about his or her
principal.

Understanding your relationship with a REALTOR is the first step in ensuring your real
estate transaction is the best one you can make. The REALTOR you select should be
someone who cares about your needs and has the experience to provide you with sound,
effective advice and professional service.

3035 Nanaimo St., Victoria, BC V8T 4W2 Tel: (250) 385-7766; Fax: (250) 385-8773; Email:
contactvreb.org; Web: www.vreb.org