Im curious if others push for buyers agency or if you have any guidelines you follow as to when you establish buyers agency or if your just a transaction broker.

Do you think that being a buyers agent opens you to more liability than being a transaction broker?

Do you individually have a policy or a brokerage policy that defines when to become a buyers agent?

Scenario: You meet a potential buyer, and show them a property. You hopefully give them the handout on agency! Do you push to become a buyers agent for them at that point or do you offer to show them a few properties? What if they want to make an offer? What if you have shown them 4 or more properties over a week or two and they decide to write an offer on a property and have not asked you to be their buyers agent until the time of making an offer?

We try to only work with buyers as buyers agents. I would rather worry about the liability for my actions and not have to worry about my liability for the actions of the listing agent.

Personally, in my agency talk with buyers I tell them I will be their buyers agent unless they want one of ours listings. I don't give them a choice.

We do not work without a contract in place and buyer's who want representation must expressly retain us as their agent.

We disclose the various types of agency and non-agency relationships available in the market place and the positive and negative elements attached thereto, and the type of relationship our firm is prepared to offer.

We advise buyers that our firm practices "single agency" in that we will only represent the interest one party in a transaction and that party will be the who has expressly retained our services.

We also advise buyers who wish to place and offer on one of our listings that they be independently represented by another agent and we explain why, but with their express permission we will refer them to a qualified agent who will independently represent their best interest in the transaction, and we further disclose details of any referral fee that may be forthcoming upon the successful completion of their transaction.

Important Notice: This information is provided as basic educational information by the author and is not a substitute for the advice of an expert and/or the advice of a lawyer. There is NO representation as to legality, accuracy, correctness of the herein information and the reader is strongly urged to consult a lawyer in the relevant jurisdiction to ensure accuracy before acting on this information .

Here are some interesting state specific cases. They should all keep us on our toes regarding representation or no representation.

Transaction-Brokers and Commissions

http://www.frascona.com/resource/jag303commissions.htm

Ruling on Transaction Brokerage

http://www.frascona.com/resource/jag802rutrans.htm

SEARCH PARAMETERS AND FIDUCIARY DUTIES FOR THE BUYER AGENT

http://www.frascona.com/resource/oef701buyer.htm


Client, Customer or ???????

http://www.frascona.com/resource/jag600clt.htm

How can you NOT give them a choice??? That would be like going on a listing appointment and telling the seller you are going to sell their home. A buyer should always have a choice.

One company here I know of, does not offer agency representation to buyers and sellers, it's their policy, even if you represent a buyer for one of their listings, they will not accept offers where agents represent buyers.

BIG TOE: It may be a lot different in your state, but here we have a buyers agency agreement that we have them sign if they want a buyers agent. On our end though you have to be real clear of your position. I believe its called implied agency, where you imply that you are their agent, even without the agreement. I offer buyers agency but if they decline, then decide to write an offer later on I am not putting myself out on a limb to represent them. If a buyer is going to shop around with whoever, and not commit to a buyers agency, why should they get the benefits of a buyers agency? Pikes Peak: I recently spoke to a REO listing agent that only allows buyers agency to coops, on their listings. I think thats smart as it helps relieve some of the liability on their end.

Locally: Transaction-brokerage or designated agency is not legislated or recognized within our jurisdiction. When such relationships were discussed with members of the public, they viewed such relationships as solely a means by which some unscrupulous agents are able to avoid liability for their error’s and/or omissions to the detriment of their clients and they would not place their trust in such agents.

Agency law prevails in our court systems as adopted from English law. Therefore, since buyers are frequently the plaintiffs in real estate litigation, I prefer that a buyer when considering placing an offer on one of our listings that they be independently represented by their own agent, who in a fiduciary relationship assumes some of the liability, and thus reduces the liability of both the seller and the sellers agent.

Important Notice: This information is provided as basic educational information by the author and is not a substitute or the advice of an expert and/or the advice of a lawyer. There is NO representation as to legality, accuracy, correctness of the herein information and the reader is strongly urged to consult a lawyer in the relevant jurisdiction to ensure accuracy before acting on this information .

I wonder if attorneys there would agree with that point of view and advocated to be represented like the general public.
Here, I don't know of a single one who would want to be represented by an agent.
I suspect that if agents were not representing buyers and sellers, attorneys would lose work due to less litigation.