What does Disclosure of Agency Relationship mean?
Disclosure of Agency Relationship:
What does this mean?
In 1978 the State of Michigan passed a law stating that all brokers and real estate agencies must disclose in writing who they are working for.
There are 4 different types of Agency that are possible:
1. Sellers Agency
This means that you have given me the right to sell your home
2. Buyers Agency
This mean that you have, in writing, given me the right to help you buy a home and that I am no longer bound to being a sub agent of the listing
3. Dual Agent
This is when an agent has a home listed or the broker they are working for has a home listed and you have a buyers agency with that agent. Now you both have agency with the same broker of agent. So you would then, in writing, give permission to let that agent work for the best interest of both the buyer and seller.
4. Transaction Coordination with No Agency
This is when you have asked a licensed agent or broker to help you just with the paper work of the transaction. So they have no agency but are being hired to help make the transaction go through for both parties. It is often times what might happen if a For Sale by Owner finds there own buyer and just needs help with putting the transaction together properly and getting it to close.
These are the 4 different kinds of agency that are explained in the Disclosure of Agency form. I will go more in depth on all of the four in future posts. If you have any question just email me or give me a call.