Responsibilities of a Real Estate Broker
As we are looking at the end of the year, I began to contemplate exactly what a Real Estate Broker does for the Buyer and Seller in a transaction. Some homeowners are attempting to save money and offer their property as a “For sale by Owner.” In the end many transactions become too complicated and the homeowner or buyer end up with costly mistakes.
The Colorado Real Estate Agent posted their position on the obligations of a Broker. Most transactions run through my office engage the Broker as a Transaction Broker. The Commission statement is as follows:
(1) A broker engaged as a transaction-broker is not an agent for either party;
(2) A transaction-broker shall have the following obligations and responsibilities:
(a) To perform the terms of any written or oral agreement made with any party to the transaction;
(b) To exercise reasonable skill and care as a transaction-broker, including, but not limited to:
(I) Presenting all offers and counteroffers in a timely manner regardless of whether the property is subject to a contract for sale or lease or letter of intent;
(II) Advising the parties regarding the transaction and suggesting that such parties obtain expert advice as to material matters about which the transaction-broker knows but the specifics of which are beyond the expertise of such broker;
(III) Accounting in a timely manner for all money and property received;
(IV) Keeping parties fully informed regarding the transaction;
(V) Assisting the parties in complying with the terms and conditions of any contract including closing the transaction;
(VI) Disclosing to prospective buyers or tenants any adverse material facts actually known by the broker including but not limited to adverse material facts pertaining to the title, the physical condition of the property, any defects in the property, and any environmental hazards affecting the property required by law to be disclosed;
(VII) Disclosing to any prospective seller or landlord all adverse material facts actually known by the broker including but not limited to adverse material facts pertaining to the buyer’s or tenant’s financial ability to perform the terms of the transaction and the buyer’s intent to occupy the property as a principal residence; and
(VIII) Informing the parties that as a seller and buyer or as landlord and tenant they shall not be vicariously liable for any acts of the transaction-broker;
(c) To comply with all requirements of this article and any rules promulgated pursuant to this article; and
(d) To comply with any applicable federal, state, or local laws, rules, regulations, or ordinances including fair housing and civil rights statutes or regulations.
These are the obligations of the Broker. Our true responsibility goes well beyond the obligations. We market property globally. We calendar and advise the parties of upcoming deadlines. We help with recommendation on everything from local contractors to local cell phone service. Many times we can help when working with banks and title companies. We are quite simple the liaison between Homeowner, Buyer and the community. We form friendships with our clients.
Outside of the actual job, we volunteer our time and resources to the community. Wes Hill & Associates also gives back one percent of every transaction locally. These donations go to the schools, food bank, Farm to Table, Habitat for Humanity, ArkValley Humane Society and many other worthy organizations.
A Broker is a cheerleader for the place they live and work. Our children attend schools. We are knowledgeable about recreation, hospitals, schools, industry, government, regulations, historical societies – just about everything that goes on in a community.