by News Oresund
Question by Victoria: What does a real estate broker do in the home buying process?
I am a new real estate broker in CA. I got my license fresh out of college because I have a BA degree and in CA they let you do that. I am working with a broker now to gain experience but I am only doing nominal things- not really gaining incite into what he does. Can anyone please streamline the process for me on what a real estate broker does, or provide a timeline of events in which the broker enagages? I want to open my own brokerage and need to be able to provide support for the agents.
I am preferably looking for an answer from someone in the real estate field or an active real estate broker themselves. Thanks.
Answer by Mohammad
1. A real estate broker or real estate agent is a person who acts as an intermediary between sellers and buyers of real estate/real property and attempts to find sellers who wish to sell and buyers who wish to buy. The broker has a fiduciary relationship with his clients.
2. In the United States, real estate brokers and their salespersons (commonly called “real estate agents” or, in some states, “brokers”) assist sellers in marketing their property and selling it for the highest possible price under the best terms.
3. When acting as a buyer’s agent with a signed agreement (or, in many cases, verbal agreement, although a broker may not be legally entitled to his commission unless the agreement is in writing), they assist buyers by helping them purchase property for the lowest possible price under the best terms. The real estate broker “broker” is obligated to provide fiduciary duties to whomever that broker services as client, this agency relationship can become very confusing; if the broker is helping both the buyer and seller, this is called dual agency. Traditionally, the broker represents the seller, and has a fiduciary duty to the seller. If the broker suggests to the buyer that he will help them negotiate the best price, then it is said the broker is practicing undisclosed dual agency, which is unethical and illegal in all states. Under a dual agency transaction it is vital the broker discloses to either/or part whom they represent as client, and whom they represent as customer. A real estate broker owes his client fiduciary duties, those duties include care, confidentiality, loyalty, obedience,accounting & disclosure. A real estate broker owes his customer fair & honest dealing. A real estate broker must request all parties(seller & buyer)sign a dual agency agreement, to protect their license.
4. In most jurisdictions in the United States, a person must have a license before they may receive remuneration for services rendered as a real estate broker.
5. For details, please read:
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