Monday, October 20, 2014

Real Estate Buyers Representation

Sarasota Real Estate Buyers Agents

Buyers agent

If you are looking to purchase your first property in the Sarasota area, you have certainly found the right company to assist you in the process. The owners of Sarasota Bay Real Estate are extremely selective in who they choose to represent the company in real estate transactions. When you work with one of our agents or broker associates you can be assured you are working with a professional who is very experienced at what they do and are one of the best real estate services providers in Sarasota.

First and foremost you have to understand that we are here to help you and we are not you adversary. There is no smoke, no mirrors, just decent people working here trying to do their best for you and find you exactly what you are looking for. We do honestly want to do a good job for you and you will find we are very good listeners.

Florida Laws concerning agency and representation

Buyers agent

When you are seeking to purchase a home in Sarasota, there are two “legal” ways we can represent you that are defined by laws in the State of Florida. So important are these laws that the state requires us to disclose or representation responsibilities to you. Though this is not information readily available on nearly every real estate brokerage website in Sarasota, we have chosen to include it so you understand every aspect of the purchase process in this state and that process begins with representation.

The legal definition of the representation we can legally provide you falls into 2 different categories that have been defined by the State of Florida. Single Agency Representation and Transaction Broker Representation. By default we work with you as a Transaction Broker. As a Transaction Broker we work in the best interest of both parties in a transaction and we can show you properties from any brokerage company. Under Florida Law, if you are looking at any of our company listings, then this is the only legal representation relationship we can provide to you as we will have both a duty to you, and the seller. This does not mean we do not work with your best interests at heart, what it means is we are only able to facilitate the transaction and are limited to the extent in which we can represent your best interests through the disclosure of information.

As a Transaction Broker, Sarasota Bay Real Estate agents and broker associates must provide to you representation that includes the following duties:

  • Dealing honestly and fairly
  • Accounting for all funds
  • Using skill, care, and diligence in the transaction
  • Disclosing all known facts that materially affect the value of residential real property and are not readily observable to the buyer
  • Presenting all offers and counteroffers in a timely manner, unless a party has previously directed the licensee otherwise in writing
  • Limited confidentiality unless waived in writing by a party. This limited confidentiality will prevent any disclosure that the seller will accept a price less than the asking or listed price, that the buyer will pay a price greater than the price submitted in a written offer, the motivation of any party for selling or buying property, that a seller or buyer will agree to financing terms other than those offered, or of any other information requested by a party to remain confidential; and
  • Any additional duties that are entered into by this or by separate written agreement.
Buyers agent

Limited confidentiality also means that a buyer or seller is not responsible for the acts of the Sarasota Bay Real Estate agent or broker associate. Additionally, parties are giving up their rights to the undivided loyalty of the Sarasota Bay Real Estate agent or broker associate. This aspect of limited representation allows a Florida real estate licensee to facilitate an impartial real estate transaction by assisting both the buyer and the seller in negotiations. The short story of what all this ultimately means is, we have to be impartial under this form of representation and do the best we can for both parties while keeping personal details and discussions confidential. We can not perform services that will be to the detriment of either party and we can not disclose how low or how high a buyer/seller is willing to go. This form of representation keeps the transaction on a level playing field.

Single Agency Representation on the other hand, does allow us to disclose any fact we discover about how low a seller may go in price and this level of representation is available on a case by case basis. Under Single Agency Representation you will not be able to look at, or make an offer to purchase, any of our company listings as we can not represent the buyer and seller under this form of agency. If you require Single Agency, you will be required to sign a agreement that must be approved by the Managing Broker or Sales and Marketing Manager of Sarasota Bay Real Estate for you to be represented in a single agency relationship. We must verify that a single agency representation will not conflict with any state regulations or laws regarding single agency representation during the course of negotiations and when working with one of our agents or broker associates.

As a single agent, agents or broker associates of Sarasota Bay Real Estate owe to you the following duties:

  • Dealing honestly and fairly.
  • Loyalty.
  • Confidentiality.
  • Obedience.
  • Full disclosure.
  • Accounting for all funds
  • Skill, care, and diligence in the transaction
  • Presenting all offers and counteroffers in a timely manner, unless a party has previously directed the licensee otherwise in writing.
  • Disclosing all known facts that materially affect the value of residential real property and are not readily observable.

When our agents or broker associates work with you in a single agency capacity, you will also be required to sign a buyer’s agent representation agreement giving your Sarasota Bay Real Estate agent or broker associate the exclusive right to work with you during your process of purchasing a home in our market. Hence the term “Single Agency Representation”. Depending on the agent, and the specific details of the representation, there may be a retainer attached to single agency representation that is credited back to you when, and only if, you close on a home using our agents or broker associate’s services.

In the State of Florida, Dual Agency Representation is illegal in residential real estate transactions. We know other states in the US do allow Dual Agency Representation in real estate transactions but unfortunately this representation option is not available in our state for anything other than commercial real estate transactions.

Despite some of the laws Florida has in regards to the types of representation we can legally provide you, Florida has become one of the most fair and equitable states in the US when it comes to real estate transactions and you will find that transactions go much smoother here than nearly every other state in the US. The state legislators are keeping a tight lid on our activities so you can have the confidence you need to trust us with one of the biggest purchases you will make in your life.

Legal Representation

Another thing that makes Sarasota Bay Real Estate unique in our market is how we will recommend you close the transaction. We do not endorse or recommend the use of title companies to create title to the property or provide title insurance. Instead, we only use the services of a select few of the finest real estate attorneys in Sarasota. Their fees are in-line with the title companies in our area but the quality of the service they provide is miles ahead of any title company. In most cases, when we submit an offer for you to a seller the offer will have a buyers attorney approval addendum attached giving your attorney 15 days to inspect the contract once it has been signed, check the state of the title of the property, and advise you on behalf of your best interests.

How much does this cost you? As long as you are using the attorney to close the purchase by paying for title then there is no additional cost for this level of representation. Though it is possible for you to allow the seller to pay for title, we highly recommend you offer to pay for title in your offer and adjust your offer price accordingly. You are the one who is purchasing the property, you are the one who needs to have control over the closing to ensure you get clean title to your new home.

From the start of your relationship with us to the day of closing and beyond, your best interests are first and foremost the most important consideration our agents and broker associates will protect to the fullest extent the law will allow when working with you. If you are looking for a truly exceptional company to work with, you have found it.