When you hire a real estate agent or contract through an agency, they are under a contractual obligation to sell your home. If you are buying a home, they are supposed to work for your benefit to secure a purchase agreement under the terms you want.

What rights and responsibilities do real estate agencies have once you sign a contract with them? They have what is known as Fiduciary Duties. This means they are bound by law to protect your rights in real estate matters. Here is a breakdown of those duties:

They Act In Your Interests

A real estate agency or single agent can't work out a deal to better their own interests. Any deal they make must be made with your agreement and to better the potential deal for your home. This means an agent can't pressure you or encourage you to accept a lower bid from a friend of theirs, or from a real estate developer so that the home can be purchased at a lower price to be flipped for a higher one.

They must work to get you the best price they can for your property, and also not go below what you are willing to take for it. This includes the dates on which you wish to close and not the buyer's choice, among other things.

They Are Confidential

A real estate agency or your agent have access to personal information including your finances. This can also include if there is a mortgage on the home and how much it is, the reasons why you are selling, for example, if you can no longer afford the home, or for medical reasons.

Agents have a responsibility to keep this personal information private and not inform any potential buyers or other agents of your situation. They can in no way use this information to help further a sale with a potential buyer or real estate investor simply to make the sale, but they are working for your best interests and for what you want.

They Do What You Contract Them To Do

An agent works fully on your behalf throughout the entire contract you have with them. This means, if you have a set price you have in mind for your home or a price you are willing to take, the agent can't go below that number. They can't accept an agreement from the buyer or their agent without first consulting you and getting your approval.

An agent, however, can go against your wishes if what you ask them to do is against your contract. For example, there are laws in which you can't restrict who you sell your home to based on religion or family status. If you ask your agent to not sell to a single couple and wish for a family to live in your home, an agent doesn't have to follow your directive.

Share