Subscribe to Answers
Not so much for foreclosures.
I'm a BIG time stickler on the agency disclosure AND the representation agreement. I won't open a door without these. They do however intimidate people, but I've found that having them sign an initial agreement for only the homes we're viewing on our first day out seems to really put them at ease. I basically present it as "I know you've never met me before, so I'd like the initial agreement to only be for the homes we are seeing on XYZ day so that you can get a chance to meet me, see how I work and how I can assist you. If you feel I'm a good match for you after we meet, then we'll sign another agreement for a longer term". Works like a charm EVERY time! I also remind them that signing a rep agreement does not obligate them to buy/rent and can be terminated in writing later should they choose.
Sign this so that I an reprent you, until you sign this the state makes me look after the interests of the seller, after you sign this I owe all of my expertise to you.
It is not required in FL unless we are performing as a single agent or in a non-agency relationship.
It would be unwise to begin the work without a signed disclosure.
We first show the consumer notice. It is not a contract so people sign it . When it is the buyer agency contact they hesitate.
Explain that it is not a contract or an agreement, its just a disclosure and a State Law!
I explain to them that in NC and SC, if they don't have a buyer representation agreement by law I must represent the seller's best interests. And why would they want me to do that, as seller already has an agent watching out for them. When they understand this, they don't resist signing. But if someone is really nervouse, sign them up for two weeks and tell them if they are not happy with your services in those two weeks, there's no futher obligation. That puts many minds to ease.
I discuss agency and then we go over the form. No, I've never had anyone express discomfort with it.
I have had people get nervous when they are presented with that form. I can understand that, too. Most people don't understand the process and our paperwork.
At my first buyer consultation meeting, I explain them the Agency Relationships A.J. Tourigny. And yes, I have fired a buyer because he did not want to sign it!
Here in Colorado, we must identify the relationship upfront, and explain this needs to be in writing, and identifies my duties, and how I get paid.
I would emphasize that it's NOT a contract, but a disclosure and the signatures are acknowledgment of that.
I had a man once that didn't like the expiration date, which was one year. He was an investor. I shortened the contract to suit him. That was 5 years ago. We are good friends now, and he always comes to me for Real Estate advice.
If meeting prospects for the first time at the showing, have them sign the agency disclosure before opening the door. If they decline to sign, note that information of the form. Most will sign the form if properly presented as a requirement.