I have a real different take on it but I do think if you want to practice Buyer agency, then you must get your designation.

I do not agree, I think you are always under obligation to the seller unless you become a buyer agent to the buyer customer (thereby making them the client instead of the seller). Otherwise you are violating your fiduciary duties to the seller, your real client.

That may be true where you are but it is not true in all states Barbara.

In Tennessee for example, unless you have a signed agency agreement with either a buyer or a seller you are nobody's agent and not under any obligation to either party except to follow the real estate commission's regulations regarding duties to consumers and the Realtor's Code of Ethics.

Tennessee calls that status "facilitator", other states call it "transaction broker" and maybe there are other terms. Whatever the label it does not involve any fudiciary duties to a buyer or seller unless mandated by law.

We have "designated agency" in Tennessee which makes only one agent in a company have fudiciary duties to either a buyer or seller client and you have to have a written agreement with either to be anyone's agent.

As an example one agent in my company can be the "designated selller's agent" and another can be the "designated buyer's agent" with full fudiciary duties to both AND the broker is not a dual agent in this case.

But neither she nor I have ever needed a signature to ensure loyalty. Instead, we do what the Guru advised.
We ASK for it!

Duncan [/QB][/QUOTE]

I agree wholeheartedly with your advise and philosophy. That is precisely the kind of explanation that gets my clients committed to me. Almost 100% of my clients are referral so explaining to them how I do business and what I expect from them in return is very simple. If you don't explain how you work you can't blame the customers for not understanding the implications of using multiple agents.

How do handle this type of situation, if they're working with another agent in a similar fashion?

Good question Dave. I'm guessing one agreement with supercede another.

"I'm guessing one agreement with supercede another."
If they have signed 2 agreements to pay the agents, they could owe 2 commissions.

Sorry, I guess I didn't state my question properly. Referring back to Duncan's post: "...Indeed, they can do whatever they choose to do EXCEPT for one thing: when they are ready to make an offer, they let you and you alone be the agent that draws it up, presents it, negotiates it, and -- by this simple, straightforward, but undeviating means -- allows you to get paid for what you've done..." How do handle this situation, if the they're working with another agent(s) without having signed an agreement with either you or the other agent(s)?

Hi

I was reading your post, and I was wondering, could you share with us what you put on your list of services that you can not provide to the prospective buyers?

Thank you
Leighlee

Ok, I know this was covered I think on my first day of class..but Imma ask again anyhow.


I have a client, we have an agreement, could I tell her that if she sees a home/condo elswhere with a different realtor (say they work for Remax) and she REALLY wants that one (and I work for Coldwell Banker) to let me know... how does that work....she's loyal and tells me "I want that home, what can you do to make a deal?"

You cover that when you complete your buyer agreement...

Mr./Mrs. Buyer

There are ostensibly two rules for you with this agreement.

1. I get to show you the property, if you see something let me know and I'll arrange the showing, OK?

2. I get to write the contract, after all if the seller's agent writes the contract, I don't get to protect you're interest, make sense?

You will need to trade a little bit of instant gratification for a higher level of service, does that sound fair?

Super... I need your driver's license so we can complete the paperwork.

If applicable, study up on agency law and then be in a position to explain to the prospect the difference between a fiduciary relationship and a non-fiduciary relationship and the advantage and disadvantage of both relationships. An intelligent consumer will quickly see the difference if explained to them right and if they are not willing to engage your service, then don't give then any.

Excellent post Duncan!

This could lead to many commission disputes (procurring cause) and be costly to all agents involved thus must be avoided.
If buyers are hesitant to sign the agency agreement, inform them that this is your office policy. Further, you can explain in detail that they have the right to cancel the agreement if disatisfied with your services. That should eliminate any discomfort or concerns unless they are not serious about buying.

"If buyers are hesitant to sign the agency agreement, inform them that this is your office policy."

If it really is not office policy, it could be perceived as discrimination and land you in different hot water.