real trends for today
Beth Pressler CRS GRI LTG
Toll Free 1.888.886.4060
Designated Agency Comes to Michigan
A new law that provides guidelines to real estate agents practicing designated agency took effect in June. The new statute makes agency representation in a real estate transaction clear and consistent to the consumer. It allows a client, via a written contract, to designate one or more agents within a firm to represent them exclusively.
"We have spent three years, researching and developing a designated agency statute," said Carol Frick, Michigan Association of REALTORS® president. "Our goal was to simplify things for the consumer, so a client can work with the agent of their choice from the beginning to the end of the transaction without wondering who the agent represents."
Under traditional agency, a client has an agency relationship with everyone in the firm. With designated agency, a client has an agency relationship with only those persons named in the listing contract or buyer broker contract. This means that the buyers real estate agent agrees to work in their best interest while the agent listing the property is working for the seller.
By using the new designated agency model, all parties agree up-front who is representing whom. Designated agency is implemented by the buyer or seller signing a contract containing designated agency language.
"Another positive aspect of this type of agent/consumer relationship is the requirement for written disclosure," continued Frick. "By clarifying the relationship in writing, there are fewer opportunities for problems down the road."The Michigan Association of REALTORS® (MAR), with over 26,000 members, is a trade association, which protects the rights of private property owners while serving as the primary source for Michigan housing and real estate data. MAR is comprised of 43 local REALTOR® associations, which adhere to a strict code of ethics, established by the National Association of REALTORS®. v Source: The Michigan Association of REALTORS®
Web Site Design by Internet