Working with a Real Estate Professional
A Realtor® can save you time and assist you in selling your home by:
- Advising you on what repairs or improvements can be done on the home to improve marketability;
- Marketing the property and making the most effective use of advertising;
- Scheduling appointments for potential buyers to view your home even if you cannot be available;
- Making a basic inquiry into the financial ability of the potential buyer to purchase;
- Interpreting for you the current selling prices for homes similar to your own as a basis for comparison;
- Handling negotiations regarding the amount and terms of offers you receive;
- Scheduling the buyer’s home inspection and other inspections requested by the buyer; and
- Furnishing you with copies of Connecticut’s Residential Property Condition Disclosure report form and the Federal Title X Lead-Based Paint Disclosure form so that you may comply with your legal obligations.
Not all real estate licensees are Realtors®. Membership in the national, state and local associations of Realtors® means that the Realtor® subscribes to a Code of Ethics which is generally more strict than state real estate licensing regulations.
There are different ways in which you can work with a Realtor®
There are several different ways that you, as a seller, can work with a Realtor®. When a Realtor® represents you, the Realtor® must keep information about your assets, liabilities, expenses, income, negotiating position, and motivations to sell confidential. The Realtor® representing you will also provide you with his or her advice, opinion and experience. You select the type of representation, but keep in mind that there are different advantages to each option. You should ask the Realtor® to explain these different advantages so you may make an educated decision as to which option will work best for you.
Connecticut law requires that the Realtor® furnish you with a written listing agreement setting forth all the terms and conditionas of the representation between you and the Realtor®. The Realtor® must provide this agreement to you prior to marketing your property.
There are three basic types of representation agreements:
(a) Exclusive Right to Sell (exclusive listing)
With this representation, you are giving the real estate firm the exclusive right to represent you. There is no need for you to look for a buyer on your ownand it may be to your disadvantage to do so as all buyer inquiries must be referred to the listing firm pursuant to the Exclusive Right To Sell agreement. A Realtor® exclusively representing a seller must make a diligent effort to sell the property at the listed price and on the terms set out in the listing agreement.
(b) Open Right to Sell (open listing)
Under this type of agreement, you are free to find a buyer through other Realtors® or to deal directly with a buyer. You are not committed to use that particular real estate firm, and that particular firm is not committed to you as a seller. However, keep in mind that a Realtor® under this type of agreement may have a legal obligation to bring new buyers to the attention of those sellers they represent exclusively before they bring such information to sellers under an open agreement. Your property will also not be listed in a multiple listing service.
(c) Exclusive Agency Right to Sell
This type of agreement is a hybrid of the two mentioned above. Under this form of agreement, you are free to act as a “For Sale By Owner”, but you agree to work only with the real estate firm to which you have given the exclusive agency representation agreement and not with any other firms.