Common sense not only works for Listing Agents; it also works for Buyer Agents. Some tips for avoiding disputes include:
- Before doing anything substantial, ask the buyer if they are currently represented or working with another REALTOR. If so, are there any residual obligations for the buyer to compensate another Agent? Does the Buyer have an exclusive? Make sure they realizes that if they have an exclusive representation with another agent that they may be liable for two commissions.
- Pre qualify your buyers.
- There is no “blanket consent” to show other agents’ listings unless expressly granted by the listing Agent.
- If you want to show properties, call the listing agent to make the showing appointment and, if possible, always accompany your potential buyer to the showings. If you can’t be present at a showing make sure the listing agent knows about your relationship with the potential buyer ahead of time.
- Educate your buyers. At open houses tell them to sign in and let the listing agent know about their relationship with you as their agent.
- If you can’t tell if a property is or was listed, use reasonable and diligent effort to try and find out this important information.
- Before you send out your Buyer, ask them if they have already seen the property and if so use the “w” questions again; “with whom, and when?”
- Allow listing Agents to be present when you present counter-offers if they so desire.
- Present offers and counter offers promptly.
- If a dispute arises, remember that Mediation is a win/win situation.
- Return your phone calls promptly.
- If a listing is not in the MLS, find out the terms of the compensation, if any, being offered by the listing Agent prior to presenting the offer.
- Protect yourself by keeping precise and accurate written records, notes and documentations including appointments, showings, meetings, and conversations.
- After your buyer’s offer has been accepted, keep all parties informed as to the status of the transaction as it goes toward closing.
- Just because you have established an agency relationship with a buyer does not, in and of itself, make you the procuring cause of the sale.
By using common sense practices, you can save yourself from being a party to an arbitration hearing and it will help you obtain a respected and professional reputation. A little “common sense” may not totally keep you out of disputes but it can never hurt.
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