The next stage of cooperation, when the realtor has already been selected, is the conclusion of an agreement with the agency. By the documents that you will be asked to sign, you can judge the reliability of the company.
For example, you should be wary of the agreement contains clauses or footnotes in small print – they may contain conditions that are unfavorable for the client. Serious agencies usually try to use a uniform style of paperwork. But the points concerning the correct organization of the transaction, on the contrary, should not raise doubts. The following points must be discussed in the contract with the realtor:
The subject of the contract. The papers must record the relationship for which the agreement is concluded (sale/purchase of the real estate, lease of premises, etc.), the terms and cost of services, as well as the terms of termination of the contract.
Who is obliged to prepare all the necessary documents: client or agency
The client’s obligation to assist the realtor: provides an opportunity to view the property, show up for the deal at the appointed place and time, issue a power of attorney for the agent (if necessary) to collect documents, provide the necessary reliable information about yourself (location, marital status, etc.) )
Possibility for the client to change their wishes
Also, a good sign is the clauses on the professional liability insurance of a realtor. As a rule, reliable certified companies resort to this service. But the obligations, which are designed to mask the presence of a hidden commission, should be the subject of detailed discussion with the real estate agency.
These include, for example, a ban on direct communication with representatives of the seller or the owners of the acquired real estate, as well as the right of the realtor to the difference between the real sale price and the figure that is indicated in any agreement with the client.
Also, you should pay attention to the various sanctions. The requirement to pay a fine in case of unilateral termination of the contract at the initiative of the client is legitimate, but its amount should not exceed the cost of the agency’s services (approximately 3-6% of the real estate price).
Be sure to clarify whether the agreement with the realtor is exclusive – in this case, during the period of the agreement, no one except the company you have chosen will be able to sell this property.
When choosing a real estate agent, remember that his main professional qualities are honesty and responsibility. A real estate agent should be interested in getting the maximum benefit for the client, and not just the commission due to him.
However, a real specialist will not promise you mountains of gold or agree with all requirements – such compliance is often a sign of an inexperienced agent or a professional fraudster.
When are you a buyer?
When an offer is made, the seller can accept the offer or not. If necessary, the seller can make a counteroffer. At this point, you can still cancel the purchase.
Making an offer does not oblige you to buy. The moment both parties (buyer and seller) agree on the most important matters (price, resolutive condition), the purchase can be established on paper.
This is done with a so-called purchase deed. Resolutive conditions are important. Both parties must have already reached an oral agreement on this.