Working with a REALTOR Brochure in British Columbia

If you’ve bought or sold real estate in Vancouver, you have probably signed a “Working with a REALTOR” brochure. If you are a first-time homebuyer, this brochure should be addressed by your REALTOR in the early stages of your working relationship.

The “Working with a REALTOR” brochure explains the agency relationship between you (the principal) and your REALTOR and the collection, use, and disclosure of your personal information.

A common misconception is that by signing this document people are committed to work with the same REALTOR for a set duration of time. THIS IS NOT THE CASE!

By signing this brochure, you are in no way obligated to work exclusively with the REALTOR or to buy/sell property. It is simply a signed disclosure expressing that the client has had his/her rights in the Agency
Relationship explained.

It’s the legal obligation of your REALTOR and his/her brokerage to protect and promote YOUR best interests. This is the foundation of the agency relationship.

The Agency Relationship is as follows:

1) Undivided loyalty. The Brokerage must protect the principal’s negotiating position at all times, and disclose all known facts which may affect or influence the principal’s decision.

2) To obey all lawful instructions of the principal.

3) An obligation to keep the confidences of the principal.

4) To exercise reasonable care and skill in performing all assigned duties.

5) To account for all money and property placed in a Brokerage’s hands while acting for the principal.

If you feel your REALTOR is not following these rules, please bring it to his/her attention. If this doesn’t work, try speaking to his/her Managing Broker.

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So you’ve hired a Realtor in Episode 3: How to Hire a Realtor. Now its time to put them to work!

Nobody likes to waste time. In this Episode we will talk about how to efficiently search from a home with the assistance of a Real Estate Agent. Let get started!

Get Some Tools!

Your Realtor will have some great web-based real estate research tools, like Private Client Services that will notify you of new listings, let you know whats actively on the market, and most importantly, how much properties are selling for. Why is sales data important? Because it allows you to the Buyer to distinguish between what is a good deal and what is not.

Start Looking with an Open Mind!

Once you have access to a web based research tool like Private Client Services, its time to start looking at properties. Email your Realtor the list of properties you want to see as well as a time you’re available and your Realtor should handle the rest.

• Keep an open mind when looking. There may be options you never expected that might be perfect for you.
• See as many properties as you can to get a clear idea of what is available at what price. Its a horrible feeling to buy something only to find out that what you really wanted was available but you missed it.

Communicate and Eliminate Options

As you search for that perfect property keep in mind what is important to you and what you like. Eliminate properties that don’t work for you and that you don’t like. Heavy sleeper/light sleeper? Don’t like the heat? Like light or not? Noise bother you? Big balcony small balcony? Make sure to communicate your needs, wants, and preferences to your Realtor. The more information your Realtor has, the faster they can find you properties you will like.

What to expect from your Realtor

The British Columbia Real Estate Association requires all Realtors in BC to have you the Buyer sign a document called Working with a Realtor. This document does not bind you to the Realtor in any way. It simply discloses to you the Buyer exactly the nature of the Agent Relationship. Remember your satisfaction as the Buyer is the most important thing in this process.

** Check out the next Video in the Series! ** Vancouver First Time Home Buyers Advice Episode 5: Comparative Market Analysis for Buyers!

I welcome your thoughts, questions, and comments!

Open the Georgia Strait or any other local paper and you’ll notice advertisements for apartments and condos. Most of these places don’t yet exist. Why? Because they are pre-sales!

What is a Pre-Sale?

A pre-sale is when a Developer sells a Buyer a property before that property is built or completed. The Buyer purchasing the pre-sales is buying the right to a completed property that will be built in future. In the UK and elsewhere Pre-Sales are referred to as Off Plan Investments.

Why do people buy Pre-Sales?

Pre-sales are popular with investors and other Buyers because it allows these Buyers to have the benefit of increasing prices without having to pay a mortgage, property taxes, maintenance fees, or deal with troublesome tenants. Pre-Sales also allow owner occupiers the ability to customize the property they buy.

Are Pre-Sales Safe?

In the Province of British Columbia, Pre-Sales are regulated by the Real Estate Development Marketing Act and are generally safe when you are buying from a reputable Developer. If you have concerns or questions about the Developer, contact the Home Owner Protection Office.

3 Important Facts about Pre-Sales

1. The Purchaser of a Pre-Sale has the right to walk away from the contract to purchase the property for any reason for 7 days after there is an accepted offer. This a BC Provincial Law and its called the “7 Day Rescission Period” If you can’t get financing, if your mother says its a bad idea, if you have a nightmare about Real Estate – YOU CAN KILL THE DEAL FOR ANY REASON!
2. All deposits paid by the Buyer of a Pre-Sale are held in a lawyers trust account. This money stays in the account until the building is either built or the Developer fails to meet the time deadline to have the building built. The Developer cannot use this money and does not have access to this money until the building is complete. If the Developer goes under, the money in the trust account is not part of the bankruptcy and has to be returned to the Buyer.
3. The Disclosure Statement will have all of the important info about the property you are buying such as the size of your suite, what will be included in the suite, and what the building will look like. Make sure you read it!

Check out my list of Vancouver Presale Condos if you’re interested in buying on one of these real estate investments.

If you have any questions on Pre- Sales feel free to contact me at any time.

I would love to hear your thoughts, and questions down below in the form of a written comment.

Thanks!

Multiple Offer Situations for Buyers

What are they?

A Multiple Offer Situation is when more than buyer wants to present an offer on a property at the same time. The relationship between buyer and seller goes from a negotiation to an auction, with the highest bidder winning. The Buyers have to compete to get an accepted offer.

3 Ways a Buyer can Win in a Multiple Offer Situation!

1) Hire a good Realtor who specialises in the type of property or area you are interested in. Ask them how many times their buyers have been successful in a multiple offer situation. The more success the better.

2) Be prepared! Make sure you are pre-qualified with a mortgage broker or your bank. This means you will have a written confirmation about how much they will loan you. Get as much information about the property that you can before you write an offer. This will allow you to have a shorter due diligence or “Subject Removal Period”

3) Know what you want to spend before you write the offer. It’s very easy to get caught up in a multiple offer situation. Your Realtor should do an independent market analysis on the property to give you an idea of value. Decide what you want to pay before the offer is presented and stick to it.

If you utilize all three of these suggestions, your chance of winning a bidding war or multiple offer situation increases dramatically. For more information call 604-763-3136 or Email me!

Check out the latest Stats from the REBGV to get an idea of whats been happening in the Vancouver Market.

Do YOU Want a Bidding War on YOUR Property? Call 604-763-3136 or EMAIL me or Check out How to Create a Bidding War on YOUR Vancouver Property!

First Time Home Buyer? You need to see these videos for First Home Buyers!

I’d love to hear your thoughts in the form of a comment question down below!

Thanks!

Working with a Realtor The Agency Relationship in British Columbia by Mike Stewart Vancouver Realtor from Mike Stewart on Vimeo.

Hi All,

The “Working with a Realtor” brochure is one of the most misunderstood documents I work with.

Some people think that by signing this document they are committing to work FOREVER with the Realtor who got them to sign it. THIS IS NOT THE CASE!

The “Working with a Realtor” brochure is simply a signed confirmation the Realtor has explained the Agency Relationship to the client.

By signing this brochure, the client is NOT BOUND TO THE REALTOR. It is simply a signed disclosure that the client has had their rights in the Agency Relationship explained as well as the Realtors obligations and responsibilities to the client in this relationship. Nothing more.

The Agency Relationship is as follows:

1) Undivided loyalty. The Brokerage must protect the principal’s
negotiating position at all times, and disclose all known facts
which may affect or influence the principal’s decision.
2) To obey all lawful instructions of the principal.
3) An obligation to keep the confidences of the principal.
4) To exercise reasonable care and skill in performing all assigned
duties.
5) To account for all money and property placed in an Brokerage’s
hands while acting for the principal.

If you feel your Realtor is not following these rules bring it to their attention. If this doesn’t work, speak to their manager.

Here’s a copy of the Working With a Realtor Brochure:
Working With a Realtor by Mike Stewart Vancouver Real Estate Agent

Please leave a comment, I’d love to hear your thoughts and questions!