THE AGENCY RELATIONSHIP According to regulations in Canada, a copy of the "Working with a Realtor" brochure must be handed to a client as soon as possible. The nuts and bolts of the brochure explains; The brochure goes on to list obligations such as; "Reasonable Care and Skill, 'Keep Confidences" , "Obey all lawful instructions" and number one on the list is, "Undivided Loyalty" in regards to disclosure and the negotiating position of the Principle. That’s it! I suppose it might be a better definition than the dictionary definition which briefly, refers to, "A person authorized to act on another's behalf ". Having completed the Real Estate Council pre licensing course, the Realtor’s post licensing course, two different seminars entirely concerned with agency law, and “The Business Practices an Ethics Manual” ; I have yet to see a document which definitively explains what the agency relationship is all about on a practical level. If the “Bar Association” and The “Canadian Real Estate Association” and I as a Realtor find it difficult to explain, It would be fair to assume, most potential clients with a limited experience of trading in Real Estate might be at a loss to understand what it is they get with the services we offer. Especially since there are so many contradictions in the articles written on the subject. For example; the number one item on the aforementioned brochure mentions, “Undivided Loyalty” and in the very next section describes “Dual Agency”. It might be fair to assume there are as many ways to interpret “Agency” as there are Realtors. When acting for a vendor, all material terms are stated in a contract so ought to be less open to interpretation. Whilst working with a buyer however things are usually much less defined. The Buyer agency relationship can be very intense. Spending a long day in the car scouting, or touring and walking properties with a client or alone, is a big part of this job which I love doing. Usually I find, the bigger the challenge, the more I enjoy the task. The intensity and importance of the task of acquiring a property which will be the perfect home for a particular client as well as a long term investment, can take months, but the achievement of the goal is the ultimate reward. The more I research oddities in Real Estate, the more I realize this job has more to do with people and relationships than it ever has to do with Properties in general. The best “Agency” relationships will include a level of understanding and empathy difficult to achieve with words alone. Whether it be intuition, body language, or simply, thoughtful listening. there has to be an attitude of “ Working Together ” to achieve the level of understanding required. Total Involvement and immersion are key to the agent and principle’s goals. It is such a shame, initially there can be a perception by some of the public, the Agency Relationship can be of an adversarial nature, when in fact the industry at large and all the people within it, advocate “Independent Representation”. The only correct instant for an adversarial meeting to occur might take place during a discussion between two agents on behalf of their principles who have conflicting interests and even then the meeting contains a professional level of co-operation. Every good agent would agree, no client wants to be “Sold” anything. Clients demand and are entitled to the type of information and education which enables them to make a tough decision and “Buy” with the assuredness and confidence that can only be possible with all the salient facts at their disposal. The same entitlement belongs to a vendor who has to make tough decisions regarding the timing and pricing of a property. The chief role of the Realtor is to inform and advise his Principle and protect those interests as though they were his own. Indeed there is a fiduciary duty to do so. There are many resources at the disposal of all Realtors, not the least of which, is the “Interface Program” which has been running for more than ten years and is paid for through “Board” membership fees. With the correct level of communication and involvement, the resources and experience a good Realtor can bring to a buyer, on a, “No Cost”, basis, should be invaluable. The challenge of Real Estate is it’s uniqueness. So too though are the needs of the clients who buy and the agents who serve them.
"Brokerages and their licensees are legally obligated to protect and promote the interests of their principles as they would their own."