All too often when people view a SOLD sign on a Comox Valley luxury property they assume that the home was sold by the agent whose name appears on the sign. In most instances this is not the case. Why you ask?
Luxury real estate and property listings and sales are very different from the transactions that occur between vendors of products (such as a car or a kitchen appliance) and their customers. As a customer, the vendors sells you a product and you get a receipt for the transaction.
With real estate, there can be as many as three contracts associated with the three different real estate relationships. First, there is a contract between the home seller and the listing agent. The listing agent is the one whose name appears on the sign on the lawn. Second, there is a professional relationship between the buyer and the real estate agent who represents the buyer. There may or may not be an actual contract signed to solidify this relationship but there are obligations on the part of the agent towards the buyer. Third, there is a contract between the seller and the buyer of the home to effect the sale of the home and the transfer of the title to the new home owner.
Let’s now take a look at the involvement of the real estate agent or agents in the home sale process. There is a listing side of the transaction and a selling side. In most instances, different real estate agents are involved in the listing and selling sides. It is in the best interests of both the buyer and of the seller to have their own agent representing them and their interests within the context of what is currently known as Designated Agency in British Columbia. It is important to understand that the listing agent works for the seller within an agency relationship and that a buyer can be either a customer or a client to the agent they deal with. To be best served, buyers should be a client of their own agent.
So, back to the SOLD sign. The realtor whose name appears on the sign on the latest luxury real estate listings on the market in Comox lawn is the listing agent. The real estate agent who actually sells the home is the one who brings the buyer to the contract and this is most often not the listing agent. The problem is only the listing agent’s name ever appears on the sign when the SOLD topper is placed on it. The selling agent does not get public credit for the sale on the sign (except in the relatively small number of instances when the listing agent both lists and sells the home).
Want to know more about the real estate process or need help buying or selling a home? Aim high for peace of mind and contact Brett.