AGENCY LAW IN IDAHO
The following was prepared by the Idaho Real Estate Commission to explain basic agency issues and your rights as a buyer and seller. Effective July 1, 1996.
When you choose to work with a licensed real estate professional, it is important for you to understand the difference between a licensed broker and licensed salesperson or sales associate and decide on the type of service you need.
A real estate broker is a licensed person who is in charge of the real estate brokerage firm.
A licensed sales associate or salesperson is licensed with the broker and may only act through that broker. In other words, when you choose to work with any licensed individual, your business relationship is legally with that individual’s licensed real estate broker.
It is then important for you to discuss the following information with a licensed real estate professional and to agree on the type of business relationship you will have. Will you be a customer or a client? You may or may not want the real estate brokerage to “represent” you. If you DO want to be “represented” you need to become a client. If you choose NOT to be “represented” but to be assisted, you are a customer.
What is a Customer?
A customer receives valuable services from the real estate brokerage (assistance, information, etc.), but is NOT “represented” by it. Every person begins as a customer. If you do not sign a written listing contract or buyer-broker contract, you will NOT become a client, but will remain a customer. As a customer, you can expect the licensed real estate professional (a “nonagent”) working with you to:
the real estate professional you are working with to:
What is a Client?
A client is a buyer or seller who has signed a written listing contract or buyer-broker type contract to be “represented” by a broker.
This written contract or agreement should answer:
A client is represented by the broker and his or her sales associates.
Can the Broker Represent Both Buyer and Seller as Clients?
Yes, as a Limited Dual Agent This situation comes up, for example, when a brokerage company has your home listed for sale and also represents the buyer. Both of you are clients of the broker, and yet have different needs. The seller wants the highest price, the buyer wants to pay the lowest price. You do NOT have to agree to limited dual representation. It is not the same as having your own agent. If you DO agree, you must do so in writing, and your agent will ask you to sign a Consent for Limited Dual Representation. A limited dual agent will still provide most client services. Without your permission, he or she won’t reveal to the other party:
A limited dual agent will avoid conflicting interests of the two clients and will focus on negotiating a sale or purchase that is satisfactory to both. The limited dual agent must use reasonable skill and care, but offers a limited type of representation.
Click Here to download a copy: Agency Law In Idaho Brochure
