Asif Khan Explains Client vs. Customer Representation

The purchase and sale of a home can be the most important financial and personal decisions that you will ever make.  Selecting the right Realtor to represent you is the key to a successful transaction.  Working with Asif Khan - a professional who acts in your best interest - will save you time, money and aggravation. Once you sign the Authority To Represent, Asif will act as your Agent for your transaction.  While the term "Agent" is not specific to the Real Estate industry, most Real Estate Salespeople, Brokers and REALTORS act as Agents when conducting business. An Agent is commonly defined as any person who represents another person in a business transaction.

Agency Relationships:

There are four agency relationship that can be created:

• Buyer Representation (Client relationship established)
• Seller Representation (Client relationship established)
• Multiple Representation  Buyer and Seller Representation in place. (Client relationship established)
• Customer Service ( No client relationship established)

Prior to starting the search/listing, Asif will schedule a 30 minute consultation at our offices to help you understand the Agency Relationships and complete the appropriate Authority To Represent.  Take the time to understand the differences in services that Asif provides to Clients and Customers.   As a Buyer or Seller, it is important  that you choose the best type of representation available from a Realtor.  Your choice is to become a Client or Customer.  There are many differences between the two. 

Real Estate Relationships Definitions Client: Often referred to as a principal, a client is a person who asks an Agent to act on his or her behalf during the purchase, sale, exchange or rental of a property or business. An Agent owes their clients full fiduciary duties, such as loyalty, confidentiality, accountability, duty of care, obedience to all lawful instructions, and full disclosure of all pertinent facts. This relationship is call Client-Agent Relationship.  In a Client-Agent relationship, you are able to receive market analysis, confidential market information as part of the full disclosure.    Customer: A customer is a person who has not retained an Agent to work on his or her behalf. While a customer does not enjoy the fiduciary duties and benefits of the Client-Agent Relationship, they are nevertheless entitled to be treated fairly, honestly and with due care at all times and cannot purposely be misrepresented.  As a Customer, you are not able to receive market analysis or the Confidential market information due to you under Full Disclosure.

Understanding The Differences Between Client and Customer Service

CLIENTS    CUSTOMERS  Buyer Consultation:  A Buyer Consultation is required to determine want and needs and to get an understanding of Buyer Agency.  Buyer Agreement is required: Flexible term     Buyer Consultation is optional:  The customer may request to learn about the buying process and to understand Buyer agency. A Service Agreement is required Access to MLS Information: The Buyer agent must ensure the client has full access to all homes for sale on the market. The  information must be provided to the client ASAP    Access to MLS Information: The  agent has no legal obligation to provide listings to the customer. The customer may do all the searching on his or her own.  Loyalty: The agent has loyalty to the client.   Loyalty: The agent has loyalty to the Seller. Confidentiality:  Buyer information is never disclosed to the seller. Buyer position is enhanced   Confidentiality:  Buyer information is disclosed to the seller to enhance the Seller position. Obedience: The Agent is under legal obligation to obey the instructions of the client.   Obedience: The agent is under no legal obligation to obey the customer. The agent should however listen to the customer. Accountability: The Buyer Agent has full accountability for all actions taken.    Accountability:  The agent has limited accountability to the customer. Market Analysis:  The Buyer Agent is under obligation to present all sales statistics to ensure the Buyer does not pay more for the home than it is worth.   Market Analysis:  The Agent is required to show statistics to support the seller's asking price.  Even if the asking price is over current market conditions.  Buyer Needs:  The Buyer Agent is under obligation to pay full attention to the buyer needs. Price, mortgage financing, etc,      Buyer Needs: The Agent is under no obligation to satisfy the customer needs, but must treat the customer with fairness. Disclosure: The Buyer Agent must disclose all known facts about the seller and the property(Good or Bad).   Disclosure: The agent has no such obligation to disclose facts about the seller or the property to the customer. Negotiating Strategy The Buyer Agent is under legal obligation to provide strategies that are in the best interest of the Buyer.   Negotiating Strategy: The agent has no such obligation to the Buyer. The agent has to provide strategies to help the seller. Showings to find a home:  Unlimited. The Buyer Agent is under legal obligation to show the client as many homes as possible until the client finds the right home.   Showings to find a  home:  The agent has no legal obligation to show homes to the customer. The agent can show homes as he or she deems necessary. Clauses In Offer:  The Buyer Agent is under legal obligation to insert clauses in the offer that protects and  serve the interests of  the Buyer.    Clauses in Offer:  The agent is under no legal obligation to insert clauses in the offer that protects the Buyer. The Buyer must be treated with due care and fairness

Schedule your 30 minute consultation by calling Asif today. 

Asif Khan, Realtor

Re/Max All-Stars Realty Inc.

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Posted via email from Markham Real Estate Today with Asif Khan