January 27, 2008
Dual Agency
Dual agency occurs when a real estate agent is representing both buyer and seller in the same transaction. Since the agent has promised a duty of confidentiality, loyalty and full disclosure to both parties simultaneously, it is necessary to limit these duties in this situation, if both parties consent.
If you find yourself involved in a dual agency relationship, before receiving an offer both you and the other party will be asked to consent in writing to this new limited agency relationship.
This relationship involves the following limitations:
- The Agent will deal with the Buyer and the Seller impartially.
- The Agent will have a duty of disclosure to both the Buyer and the Seller except that;The Agent will not disclose that the Buyer is willing to pay a price or agree to terms other than those contained in the Offer, or that the Seller is willing to accept a price or terms other than those contained in the Listing;The Agent will not disclose the motivation of the Buyer or the Seller to sell unless authorized by the Buyer or the Seller;
The Agent will not disclose personal information about either the Buyer or the Seller unless authorized in writing;
- The Agent will disclose to the Buyer the defects about the physical condition of the Property known to the Agent.
For more information on dual agency see »
January 17, 2008
Real Estate Agency Representation
Here is a description of real estate agency representation from the perspective of a home buyer:
Listing Agent
The agent who represents the Seller.
This is the Agent you call when you see a ‘For Sale’ sign in a yard; or when you call about an ad in the newspaper; or when you walk into an open house on Sunday afternoon. This Agent is obligated to get the best price for the seller. This Agent becomes a “Dual Agent”, if he or she represents a buyer on the sale of one of his or her company’s listings.
Buyer’s Agent
The agent who represents the Buyer … and maybe the Seller too.
Every real estate agent now wants to call themselves a “Buyer’s Agent”. Buyer’s Agents that work in a traditional real estate office, which takes listings, can indeed represent a buyer. But if that buyer wants to see a home listed by the same company, then the buyer’s agent becomes a dual agent representing both the buyer and the seller. Can someone fully represent two parties, with opposing interests, at the same time? We think not.
Exclusive Buyer’s Agent
The agent who represents only the Buyer … and never the Seller.
This Agent works for a real estate company that never takes property listings, but rather, chooses to represent BUYERS ONLY - 100% of the time. This agent never risks becoming a dual agent. An Exclusive Buyer’s Agent represents the purchaser’s interest 100% of the time. This is the choice we prefer.
January 10, 2008
Land Transfer Tax Changes
In Ontario Economic Outlook and Fiscal Review released on December 13, 2007 the Provincial Government proposed amendments to the Land Transfer Tax Act, which when becoming law, would extend the Land Transfer Tax Refund Program for First-Time Homebuyers to include purchases of resale homes.
The maximum refund would be $2,000 and apply to Agreements of Purchase and Sale on resale home entered into after December 13, 2007.
See the government bulletin outlining details of the changes »