Insulate Against Law Suits

Generally most of my posts are adaptable to sales in any industry. Today I am specifically addressing real estate sales. If someone practices real estate very long, they will face legal issues; especially if they sell a lot of real estate. There is a very simple explanation for it too. It’s impossible to please everyone, and especially, if you represent both the buyer and the seller. In this type situation the buyer feels like the seller took advantage of them, while the seller feels like the buyer took advantage of them. As a Realtor® who is wedged between both parties thinking the agent showed partiality to the other party in the transaction. To complicate matters worse, in a typical real estate sales transaction there are numerous entities that have specific requirements and guidelines that must be followed.

In most real estate sale transactions there are two separate agencies involved.
More times than not one agency will have the listing and represent the seller while the other agency will represent the buyer. Each agency has a qualifying broker who is held responsible to the consumer and to statutory laws; and is responsible for the actions of their agents. Additionally the agent is also held responsible to working within the framework of all state and federal laws while following the guidelines provided by their broker, and at the same time, fulfilling their fiduciary responsibilities to protect the consumer’s best financial interests. Many real estate purchases are the largest single investment a family ever makes and they may only go through the buying process a few times during their lifetime. Their lack of knowledge and a commitment to make large mortgage payment for 30 years makes them very cautious and distrusting. Since all communications about the transaction goes through their agent, it stands to reason that the consumer, whether the buyer or seller, will naturally blame their agent. Oh the web we may weave.

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