Okay, this is one of the most important concepts that is really important for you to understand. Because the Seller is paying the real estate commission to the agent that you think represents you, the law says that you don't have representation unless you sign an agreement in writing. So, first you must state that you want representation in writing BEFORE the agent gives you advice. If your agent is telling you ANYTHING before you have signed something in writing - be weary. They know what they are doing and they know that they don't represent you.
So, let's talk about the form that you will sign if you are being represented, but the seller is paying the commission. Most agencies use the Georgia Association of Realtors Buyer's Brokerage Engagement form. At Duffy, we use our own form because the law says that you simply must have something signed in writing, otherwise the agent that is making and negotiating the offer for the buyer represents the seller. Period.
On the top of the brokerage agreement it says:
State law prohibits Broker from representing Buyer as a client without first entering into a written agreement
with Buyer under O.C.G.A. § 10-6A-1 et. seq.
The Purchase and Sale Agrement has this statement so that everyone knows who represents who.
Agency Disclosure: In this Agreement, the term “Broker” shall mean a licensed Georgia real estate broker or brokerage firm and,
where the context would indicate, the broker’s affiliated licensees. No Broker in this transaction shall owe any duty to Buyer or Seller
greater than what is set forth in their brokerage engagements and the Brokerage Relationships in Real Estate Transactions Act,
O.C.G.A. § 10-6A-1 et. seq.;
1. No Agency Relationship. Buyer and Seller acknowledge that, if they are not represented by a Broker, they are each solely
responsible for protecting their own interests, and that Broker’s role is limited to performing ministerial acts for that party.
2. Listing Broker. Broker working with the Seller is identified on the signature page as the “Listing Broker”; and said Broker
is OR is not representing Seller;
3. Selling Broker. Broker working with Buyer (including in transactions where Broker is representing Seller) is identified on the
signature page as “Selling Broker;” and said Broker is OR is not representing Buyer;
There is also an early termination on the brokerage engagement so that if you feel that the agent is not representing you, you can terminate. We give you a form right up front to terminate with.
Rhonda Duffy
#1 Real Estate Agent in Georgia, # 6 in the U.S
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