Please note that we at Koa Realty Inc take great pride and put immense efforts into our work as Realtors. If you are currently working with one of our experienced agents, please honor that relationship as they honor their’s to you. If you come in communication with an agent from another brokerage, please inform them that you are currently working with an agent at Koa. We are always happy to answer any questions that you may have about properties island wide and would be pleased to be your source of contact for all of your real estate needs here on Hawaii island.
The work and pay structure of a Realtor is strictly commission based and therefore we are very appreciative of the loyalty that our clients offer us.
Before you decide to sell or buy or rent a home you need to consider the following information.
please note that “seller” includes “landlord”; “buyer” includes “tenant”; and “purchase” or “sale includes “lease”
Agents Who Represent the Seller:
Seller’s Agent: A seller’s agent works for the real estate company that lists and markets the property for the sellers and exclusively represents the sellers. That means that the Seller’s agent may assist the buyer in purchasing the property, but his or her duty of loyalty is only to the sellers.
Agent to seller duties and responsibilities:
*Act and perform in a fiduciary matter which includes loyalty, care, integrity, honesty, and good faith.
*To obediently perform within the scope of his authority all duties given him by the seller.
*To act with confidentiality and not disclose to others, now or in the future, information that might harm or weaken his principals’s position.
*To account for all monies and property placed in his care.
*To have no personal or adverse interests inany negotiations.
*To ascertain and disclose all material facts about the property to his principal or third parties.
*If agent suspects there is a problem beyond his expertise, he should request that the seller have further investigation done by a progressional in the appropriate field.
It is an agents obligation to put forth his best efforts to obtain the most advantageous offer he can for his principal. He then has the duty to present all written offers brought him, regardless of the amount or terms of the offer. He MUST constantly attempt to keep himself fully informed on all matters of concern to his principal and inform him of any changes that might affect the subject matter of the agency.
Agents Who Represent the Buyer:
Presumed Buyer’s Agent (no written agreement): When a person goes to a real estate agent for assistance in finding a home to purchase, the agent is presumed to be representing the buyer and can show the buyer properties that are NOT listed by the agent’s real estate company. A presumed buyer’s agent may notmake or prepare an offer or negotiate a sale for the buyer. The buyer does not have an obligation to pay anything to the presumed agent.
If for any reason the buyer does not want the agent to represent him or her as a presumed agent, either initiallyor at any time, the buyer can decline or terminate a presumed agency relationship simply by saying so.
Buyer’s Agent (by written agreement): A buyer may enter into a written contract with a real estate agent which provides that the agent will represent the buyer in locating a property to buy. The agent is then known as the buyer’s agent. That agent assists the buyer in evaluating properties and preparing offers, and negotiates in the best interests of the buyer. The agent’s fee is paid according to the written agreement between the agent and the buyer. If you as a buyer wish to have an agent represent you, you must enter into a written buyer agency agreement before a contract offer can be prepared.
Agent to Buyer duties and responsibilities:
*The same fiduciary responsibilities owed to any principal.
*To seek to obtain the best price possible on the property the buyer is seeking.
*To obtain and disclose all facts known to the agent that affect the value or desirability of the property.
*To transmit any offer given by the buyer.
*To disclose any family or business relationship with the seller.
*To disclose his position with respect to any agency relationship with the seller.
The possibility of dual agency arises when the buyer’s agent and the seller’s agent both work for the same real estate company, and the buyer is interested in property listed by that company. The real estate broker or the broker’s designee, is called the “dual agent.” Dual agents do not act exclusively in the interests of either the seller or buyer, and therefore cannot give undivided loyalty to either party. There may be a conflict of interest because the interests of the seller and buyer may be different or adverse.
If both seller and buyer agree to dual agency by signing a Consent For Dual Agency form, then the “dual agent” (the broker or the broker’s designee) will assign one agent to represent the seller (the seller’s “intra-company agent”) and another agent to represent the buyer (the buyer’s “intra-company agent”). Intra-company agents may provide the same services to their clients as exclusive seller’s or buyer’s agents, including advising their clients as to price and negotiation strategy, provided the clients have both consented to be represented by dual agency.
If either party does not agree to dual agency, the real estate company must withdraw the agency agreement for that particular property with either the buyer or seller, or both. If the seller’s agreement is terminated, the seller must then either represent him or herself or arrange to be represented by an agent from another real estate company. If the buyer’s agreement is terminated, the buyer may choose to enter into a written buyer agency agreement with an agent from a different company. Alternatively, the buyer may choose not to be represented by an agent of his or her own but simply to receive assistance from the seller’s agent, from another agent in that company, or from a cooperating agent from another company.
No matter what type of agent you choose to work with, you have the following rights and responsibilities in selling or buying property:
- Real estate agents are obligated by law to treat all parties to a real estate transaction honestly and fairly. They must exercise reasonable care and diligence and maintain the confidentiality of clients. They must not discriminate in the offering of properties; they must promptly present each written offer or counteroffer to the other party; and they must answer questions truthfully.
- Real estate agents must disclose all material facts that they know or should know relating to a property. An agent’s duty to maintain confidentiality does not apply to the disclosure of material facts about a property.
- All agreements with real estate brokers and agents should be in writing and should explain the duties and obligations of both the broker and the agent. The agreement should explain how the broker and agent will be paid and any fee-sharing agreements with other brokers and agents.
- You have the responsibility to protect your own interests. You should carefully read all agreements to make sure they accurately reflect your understanding. A real estate agent is qualified to advise you on real estate matters only. If you need legal or tax advice, it is your responsibility to consult a licensed attorney or accountant.