LeeJohansen.com

The Masiello Group
72 South River Rd.
Bedford, NH 03110
(603) 625-2800

Lee Johansen
Cell: (603) 315-0739
Lee@LeeJohansen.com
LeeJohansen.com

Jack Walsh

Are you a Customer or a Client? Understanding Agency and Non-Agency Relationships in Real Estate
Without a written contract for representation as a seller/landlord or as a buyer/tenant, you are a "Customer"..

As a customer, you can expect a real estate licensee to provide the following customer-level services:

• To disclose all material defects actually known by the licensee pertaining to the on-site physical condition of the real estate;
• To treat both the buyer/tenant and seller/landlord honestly;
• To provide reasonable care and skill;
• To account for all monies received from or on behalf of the buyer/tenant or seller/landlord relating to the transaction;
• To comply with all state and federal laws relating to real estate brokerage activity; and
• To perform ministerial acts.

NON-AGENCY? If you do not wish to have a licensee act on your behalf either as a seller/landlord agent or a buyer/tenant agent, you are a customer and shall be provided customer-level services.

As a client, in addition to the customer-level services listed above, you can expect the following client-level services:

• Confidentiality;
• Loyalty;
• Disclosure;
• Lawful Obedience; and
• Promotion of the client’s best interest.

For seller/landlord clients this means the agent will put the seller/landlord’s interests first and work on behalf of the seller/landlord.

For buyer/tenant clients this means the agent will put the buyer/tenant’s interest first and work on behalf of the buyer/tenant.

• Client-level services also include advice, counsel and assistance in negotiations.

DISCLOSED DUAL AGENCY? Disclosed dual agency occurs when a licensee and their firm acts as an agent for both the buyer/tenant and the seller/landlord in the same transaction. Disclosed Dual Agency requires written consent. When this happens, the licensee’s ability to represent you is limited. The licensee cannot advocate on behalf of one client over the other. The licensee cannot share confidential client information concerning the price, negotiations, terms, or factors motivating the buyer/tenant client to buy or the seller/landlord client to sell without your consent.

**IMPORTANT CONSUMER ADVISORY**
Even though real estate professionals must always present properties honestly and accurately under the law, you must specifically hire an agent - using a written hiring contract - before that person legally owes you a duty of loyalty. Otherwise, that agent may ultimately be hired by a seller, and have a legal duty to disclose to that seller any information that you have revealed. Until any agent actually contracts to represent your interests in a real estate transaction, do not disclose any information to him/her that you would not want a seller to possibly know.
http://www.nh.gov/nhrec/

When Buying, Selling, Renting or Leasing Real Estate,
Are you a Customer, or a Client?

Are You a Customer or Client?

• When you choose to work with a real estate licensee he or she may or may not be "your" agent. An agent owes certain duties to a client, bit has a different obligation  to a customer. It is important to know whether you are a customer or a client in a real estate transaction.
• You should discuss the following information with the real estate licensee with whom you may work in order to make informed decisions.

Who is a Customer?

• A customer is one who seeks to sell, exchange, purchase, rent or lease real estate, but has not hired the real estate licensee to represent them.
• As a customer, you cannot expect the licensee to act as your agent or to advocate on your behalf. A real estate licensee can, however, provide valuable market information and services to assist you as a customer. A licensee is also obligated by law to treat customers honestly, to disclose material defects actually known by the licensee pertaining to the on-site physical condition of the real estate, and to promptly present all offers and counteroffers.
• A licensee working "with" a customer may perform ministerial administrative acts, which include showing property, preparing and presenting offers or agreements, and provide information and assistance concerning the transaction.

Who is a Client?

• A client is a person who establishes an agency relationship with a licensee through a written contract ad agrees to be represented by the agent in a real estate transaction.
• This contract must clearly establish the terms and obligations of both the client and the licensee/firm who becomes the agent.
• As a client, in addition to the customer-level services listed above, you can expect the following client-level services:
  • Advocacy
  • Care, Skill and Diligence
  • Advice
  • Confidentiality
  • Loyalty
  • Lawful Obedience
  • Promotion of the client's best interest

Who is an Agent?

• An agent is a licensee with a fiduciary obligation to provide services through a written contract for a seller, landlord, buyer or tenant and is bound by the duties of loyalty, lawful obedience, disclosure, confidentiality, reasonable care, diligence, and accounting.
• The written agency contract is with the firm and not with the individual agent.
• The seller/landlord and/or the buyer/tenant may be liable for the actions of the agent and any sub-agents when these actions occur within the scope of the agency relationship.

What Types of Agency Relationships are commonly practiced in New Hampshire?

• Seller Agency
  • A seller agent is a licensee who acts on behalf of a seller or landlord in the sale, exchange, rental, or lease of real estate. The seller is the licensee's client and the licensee has the duty to represent the seller's best interests in the real estate transaction
• Buyer Agency
  • A buyer agent is a licensee who acts on behalf of a buyer or tenant in the purchase, exchange, rental, or lease of real estate. The buyer is the licensee's client and the licensee has the duty to represent the buyer's interests in the real estate transaction.
• Single Agency
  • A single agency is a practice where the firm represents only one client in a transaction (the buyer or the seller)
• Sub-Agency
  • A sub-agent is a licensee who works for one firm, but is engaged by the principal broker of another firm to perform agency functions on behalf of the principal broker's client.
  • A sub-agent does not have an agency relationship with the customer.
• Disclosed Dual Agency
  • A disclosed dual agent is a licensee acting for both the seller/landlord and the buyer/tenant in the same transaction with the knowledge and written consent of all parties.
  • A licensee cannot advocate on behalf of one client over another. Because the full range of duties cannot be delivered to both parties, written informed consent must be given by all clients in the transaction.
  • A Dual Agent may not reveal confidential information without consent, such as:
    1. Willingness of the seller to accept less than the asking price.
    2. Willingness of the buyer to pay more than what has been offered.
    3. Confidential negotiating strategy not disclosed in the sales contract as terms of the sale.
    4. Motivation of the seller for selling nor the motivation of the buyer for buying.
• Non-Agency
  • A licensee acting in a Non-Agency capacity shall only perform acts of an administrative nature (ministerial acts) which include showing property, preparing and presenting offers or agreements, providing information and assistance concerning the transaction.
  • The agency may change to an agency relationship by entering into a written contract for representation
• If another relationship between the licensee who performs the services and the seller, landlord, buyer, or tenant is intended, it must be described in writing and signed by all parties to the relationship prior to the services being rendered.

The material presented above is intended to assist consumers in making wise decisions regarding a real estate transaction in New Hampshire. Anything above should not be considered legal advice. Additional information can be obtained regarding the laws, rules and regulations in Real Estate Agency Relationships at: http://www.nh.gov/nhrec/adrules.html or by contacting the NH Real Estate Commission at the contact information below.

• NH Real Estate Commission
• 25 Capitol Street, Room 434
• Concord, NH 03301
• Office: (603) 271-2701
• Fax: (603) 271-1039
• nhrec@nhrec.state.nh.us
• http://www.nh.gov/nhrec/

This is a sample chart to help determine the actual proceeds of a property sale.

If this "no-hassle" approach interests you, please give me a call today... or send me an e-mail with your requirements.  Include as much of the following as possible:

• Property Type
  • Choose from Single Family, Multi Family, Condo or Mobil Home.
  • If choosing Multi Family, please list the minimum and maximum number of units desired.
• Towns
  • List all towns you want to search in.  If it's easier to select entire counties, I can set up the search by county instead of town.
• Price Range
  • What is the minimum and/or maximum price range you'd like to see listings for?
• Number of bedrooms
  • What is the minimum and/or maximum number of bedrooms you'll require?
• Lot Size
  • If you're concerned about land size, tell me the minimum size, in acres or square feet, that you'd like to include in the search.
• Miscellaneous
  • List any other requirements such as "must have a garage", "must be on a lake" etc.

When listing your property for sale, first and foremost, I work for you. My job is to help you maximize the value of your property. I'll utilize my experience and available tools to help price and market your property as effectively as possible. I'll start by meeting with you to help determine the optimum market price for your property. This typically starts with a CMA (Comparative Market Analysis). I'll create a custom CMA identifying comparative sales and available properties similar to yours in an effort to help you identify the right listing price for your property. Once listed, I'll market your property while providing advice and support throughout the entire process, from the CMA to the closing...

• Marketing
  • I'll utilize NNEREN's MLS system to market your property to most Real Estate offices in New Hampshire and along the Massachusetts border.
  • I'll advertise through our web site at www.masiello.com
  • I post all of my listings on Craigslist.
  • I'll advertise in local newspapers.
  • I'll place a sign on your property giving it exposure to drive-by buyers.
  • Open Houses may be planned for both local agents and buyers.
• Advice
  • I'll provide advice throughout the entire sales process.
  • I'll start by advising you on ways to help make your property more attractive than comparable properties.
  • I'll review purchase offers with you to help you understand the pros and cons of each offer. All offers are basically made up of "price and terms". I'll work to help you chose the best offer, based on price and terms, and then I'll work to ensure the sale closes as efficiently as possible.

Call today for a free CMA!

Looking for a rehab property?  Rehab

I (Lee Johansen) am not the listing agent on most of the properties displayed for sale on my web site; however I can and will research any property on a Buyer's behalf and/or arrange for any showings/viewings. I make every effort to display all available properties for the benefit of Buyers. By law, the Listing Agent, or Seller Agent, represents the "Seller's interests". I recommend that as a Buyer, you use a Buyer's Agent to help locate and procure property. By law, a Buyer's Agent represents the "Buyer's interests" and would help with the following: maintain Buyer confidentiality, locate property, prepare offers, present offers, account for funds/deposit monies, disclose information relevant to a transaction, arrange for inspections and provide advice throughout the entire process. Please refer to my Agency Disclosure page for additional information on agency relationships...

Lee Johansen, The Masiello Group 72 South River Rd., Bedford, NH 03110
Cell: 603-315-0739, Office: 603-625-2800 X-310, Personal Fax: 413-215-6420, E-Mail: Lee@LeeJohansen.com
Licensed in the state of New Hampshire              Privacy Policy

Any/all property listing information on this site is for consumers’ personal, non-commercial use and may not be used for any purpose other than to identify prospective properties consumers may be interested in purchasing.