Working with a Real Estate Agent in Alaska Commercial Properties, Inc.

AGENCY DISCLOSURE
In Alaska, all real estate brokers and their salespersons, when working with a prospective buyer or seller, must:

1. Present all offers to the seller promptly.
2. Respond honestly and accurately to all questions concerning the property.
3. Disclose all material facts about the property.
4. Offer the property without regard to race, color, sex, religion, familial status, handicap or national origin.
5. Disclose the type of working relationship they have with each of the principal parties.

In an agency relationship. The licensee has the fiduciary duties and responsibilities of reasonable care, undivided loyalty, confidentiality, full disclosure, accountability and obedience to his client, the principal he represents.
This means that a licensee may not represent any interest contrary to that of his/her client unless that client has given specific, written consent.
When a licensee provides property information or marketing services to someone they do not represent, that person is a customer, not a client.
An agency relationship may be created by a written contract or by an agent's actions.
There are several types of agency relationships, and you should understand them before a broker or salesperson provides any specific assistance to you.
If you still have questions after reading this brochure and discussing it with the real estate agent, you should consult an attorney for advice before entering into an agency relationship.

AGENT FOR THE SELLER
A seller's agent works solely for the best interests of the seller. In the listing contract, a broker agrees to represent a seller. All of the licenses affiliated with that broker's office then also represent the seller. Any subagents of the broker (cooperating brokers and their associates who assist the listing broker in selling the property) owe these same fiduciary duties to the seller.
The seller should realize that he may be held legally responsible for any representations made by his agents or subagents.
In instances where brokers belong to a multiple listing service (MLS), agents usually represent the seller as subagents of the listing broker unless written notice is given to the contrary. Sellers may specify whether they wish to offer sub agency to cooperating brokers.

AGENT OF THE BUYER
A buyer's agent acts solely on behalf of the buyer. A "Buyer-Broker" contract is generally used to establish this relationship.
When agreeing to represent a buyer, a broker or salesperson disclaims any fiduciary duty to the seller and pledges it to the buyer.
This enables the agent to counsel a buyer about market value or properties and to negotiate the best deal for the buyer.
Having an agent also means that the buyer may be held legally responsible for representations or promises made by that agent.

DUAL AGENCY
If both parties agree in writing, an agent may legally represent both buyer and seller in a transaction. This means that both buyer and seller waive their right to undivided loyalty from the agent. Some offices use disclosed dual agency to legally work with buyers on properties listed by their company. In this situation, it is good idea to spell out in the agency agreement exactly what information is confidential and what may be shared with the other party.

COMPENSATION
Each agent may be paid by the person he or she represents, or the agents may share the commission generated by the sale at closing. In either case, both the buyer and the seller should know how the agent(s) assisting them are to be compensated.
In considering compensation arrangements, sellers must realize that many buyers will not be able to qualify for as large a loan if required to pay their own agents. That could make offers at the listed price more difficult to obtain.


Back to Top