(This is pretty much normal paperwork in the process of buying a property in Ontario.)
However, the buyers go on about how they feel shafted by the terms of the agreement.
How is "I didn't know what I was signing" a reasonable explanation?
Maybe for a 5-year-old, or an 85-year-old.
So I have several thoughts about this.
Background - among other things, the Buyer Representation agreement creates a confidentiality between the agent and the buyer. Without this agreement, the default situation is that all Realtors are working for the Seller. It also states that the Buyers are not currently working with another Realtor. Poaching clients is unacceptable. It also helps to ensure that the buyer-agent gets paid for their efforts in finding and showing properties to that buyer. Nothing wrong with wanting to be paid for your efforts, right?
Additionally, if they're already working with a agent, why would I want to get involved when I'm not going to get paid? (I've actually had buyers contact me to see a house and when I ask them if they're working with an agent, they said "yes, but he said he's busy so we'd like you to show it". Too busy for your own clients?)
But I digress.
I don't agree with some of the Realtor's methods. Since they just met, I disagree with signing the buyers up to a Muskoka-wide geography and for that long duration of time. Neither of those are fair or realistic terms given that the parties just met each.
When I just met a possible buyer and they would like to see a property, I'm going to ask them to sign a Buyer Representation agreement with me but
a) just for that specific property address and
b) for a period of only 2 weeks
And if they decline, I'll first try to determine the concerns and address them. And if they still decline, I'll suggest that they contact another Realtor. (And if they're already working with another Realtor, then *I'll* decline!)
I think it's fair that if you decide to buy that house in that time, that my time and efforts be compensated.
And if you don't like working with me - well, our obligation begins and ends at that specific house and for just two weeks, at that. The agreement does not bind us together beyond that specific house for that 2 weeks.
No tricks.
If you wanted to see the house right next door, you're not obligated to use me.
A short duration in the agreement gives the buyer a chance to become familiar with me and my work style, real estate knowledge and professional ethics and we can mutually decide if we want to work together going forward and sign a longer one. But if instead, you want to see another house with another Realtor, go ahead.
What kind of Realtor gets their own clients to sign legal papers without explaining what they're for and why they should sign them? If you have a Realtor that works that way, maybe you should re-think who you're working with.
If you don't trust your Realtor when signing a simple agreement to work together, how could you ever trust them when they advise you to buy or not buy a property?
Not all Realtors are the same.
You need to find a Realtor that you can trust.
I disagree with the article referring to the geography and duration as being "fine print".
Wow, it's front and centre in the middle of page 1 of the agreement!
It's right in the fill-in-the-blank portion.
It's not buried at the bottom of the page or on the third page of legalese!
How obvious can it get?
The buyers claimed they didn't know what they were signing.
So then why would they sign it?
Why would anyone sign *any* agreement without knowing what they're signing?
If they buy a house, are they going to try making the same claim to get out of that? After all, both agreements are written in the same font. No different than a credit card transaction.
"What? A million dollars? No one told us!" Come on.
Right above their signatures it says "This agreement has been read and fully understood by me". If you're signing something, don't you want to know if you're joining a swinger's club or AOL or Publisher's Clearing House or KKK or cheese-of-the-month club?
I think the Realtor could have handled things differently/better but that's just my opinion.
When you sign an agreement to work with me, it's because *YOU* want to, and *I* want to do so.
The last thing I'm looking for is to bind someone who doesn't want to work with me, or someone I don't want to work with, into an agreement to work together. There's no point. And it's no way to build a lasting reputation or a business.
Sometimes personalities don't mix and it doesn't work out. I accept and understand that. I have let buyers out of agreements in the past when hasn't been working out.
At some point in all of our lives, usually when we become "adults", we're supposed to become accountable for our actions....and especially our signatures.
If someone asks you to sign something - ask yourself WHY??
Read.
Ask questions.
Know what you're signing.
Otherwise, DON'T SIGN A THING!
I'm here to help.
