Realtors® are bound by law to act as your Fiduciary Agent

 

Homebuyer Tips

From Catherine Mitchell, The Intentional Realtor®™,

Realtors are bound by law to act as your Fiduciary Agent

There are laws in place that realtors have to abide by.  These laws are called fiduciary laws.  Fiduciary laws are designed to protect the interest of the client which involves the trust and confidence of the fiduciary to represent the said client’s best interest.  As a rule of a realtor has a fiduciary duty to their client which is considered the highest standard of care at either equity or law.

Real Estate Agent

A real estate agent owes the highest duty of good faith, honesty, and fair dealing to their client. A real estate broker who becomes an agent of a seller or buyer is deemed to be fiduciary. As a fiduciary, a real estate agent is held by law to owe specific duties to their client as well as to obligations set forth in a listing agreement, buyer representation agreement, or other contractual agreements made with their client.  Sub-agents of the real estate broker also owe the same fiduciary duties to the broker’s client as well as honesty, good faith, and fair dealing. 

O.L.D. C.A.R.

When a real estate agent is acting in an agency capacity for a buyer or seller in a transaction they have certain legally mandated duties that are called fiduciary duties.  O.L.D. C.A.R. is an acronym for the fiduciary duties required of a real estate agent. The O is for obedience, L is for loyalty, D is for disclosure, C is confidentiality, A is for accounting, and theR is for reasonable care. These fiduciary obligations are an agent’s specific duties to their client.

Fiduciary Duties

An agent is obligated to obey all lawful instructions of their client.  This specific duty falls under Obedience.  Loyalty is one the fundamental duties an agent owes to their client.  This duty obligates a real estate agent to act at all times solely in the best interest of their client. In the duty of Disclosure an agent must disclose to their client all relevant information that pertains to the property.  This would include any information that affects the value of the property as well as any information that pertains to the transaction of the said property.  In the duty of Confidentiality an agent is obligated to safeguard their client’s lawful confidential information such as a seller willing to sell a property below the listed price.  An agent who represents a buyer is prohibited by law from disclosing to a seller that the buyer is willing to pay more for the property.  In Accounting an agent must be able to account for all money and property that belongs to their client that has been entrusted to that agent.  Finally there is Reasonable Care, an agent is obligated to use reasonable care and diligence when working with their client using their superior skill and knowledge of real estate.

Connect with Catherine:

As The Intentional Realtor®™, my goal is to help you achieve the reality of homeownership.  I’ll do my best to make sure that you receive the best representation possible when it comes to buying a home and that you understand all the duties of your fiduciary, which is why securing a good Realtor® is in your best interest to help you find the home of your dreams.

   

For this and more real estate needs by The Intentional Realtor®™, connect with me, Catherine Mitchell, at (704) 898-0605 http://www.catherinemitchellrealty.com/ 

#connectwithcatherine

Homebuyer Tip: The Realtor’s® fees are almost always paid for by the seller

Homebuyer Tips

From Catherine Mitchell, The Intentional Realtor®™,

The Realtor’s® fees are almost always paid for by the seller

When it comes to buying a home it’s always best to contact a Realtor®.  Most of the time, the Realtor® fee for the Buyer's Agent is paid by the Seller as part of their cost of sale. 

Contracting with a Buyer's Agent

As a homebuyer, having a Buyer's Agent is in your best interest.  The agent has a fiduciary responsibility to you, maintaining complete confidentiality of your information at all times.  Your Buyer's Agent is your advocate and works hard to negotiate the best terms and price.  Catherine holds the Accredited Buyer's Representative designation from the National Association of Realtors.  This additional education ensures she is well qualified to shepherd you, the buyer, through the process, navigating the nuances of home inspections, appraisals, closing attorneys, lenders, sellers with a firm hand on the rudder.

  

Connect with Catherine:

As The Intentional Realtor®™, Catherine's goal is to help you achieve the reality of homeownership.  Securing a good Realtor® is in your best interest to help you find, and buy, the home of your dreams.  

For this and more real estate needs by The Intentional Realtor®™, connect with me, Catherine Mitchell, at (704) 898-0605 http://www.catherinemitchellrealty.com/ 

#connectwithcatherine