1 / 110

Introduction to Agency

Introduction to Agency. Pre-test Page 9 Student Handout. 1. What is your brokerage agency policy? 1. Exclusive Buyer Agency 2. Exclusive Seller Agency 3. Split Agency 4. Dual Agency All in-company transactions

cuomo
Download Presentation

Introduction to Agency

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. Introduction to Agency Pre-testPage 9 Student Handout

  2. 1. What is your brokerage agency policy? 1. Exclusive Buyer Agency 2. Exclusive Seller Agency 3. Split Agency4. Dual Agency All in-company transactions 5. Split Agency Represents buyers/sellers Never both parties as dual agents

  3. 2. List the three types of properties to which Ohio Agency laws apply.

  4. 3. An agent is conducting an open house when a couple walks in the door and ask to look around. At this point the agent represents the ______.

  5. 4. A potential buyer called and said, “You were referred to me by a mutual friend. We would like to schedule an appointment to see the property at 815 Main Street tomorrow at 3:00 p.m.” At this point, are you the buyer’s agent? ____Yes ____No

  6. 5. All fiduciary duties are the same whether you are seller’s agent, buyer’s agent or dual agent. ____True _____False

  7. 6. Before reviewing the pre-approval letter that a potential buyer has secured from the lender, the agent must provide the buyer with which form?______Consumer’s Guide______Agency Disclosure

  8. 7. A tenant signed a 12 month lease agreement. Is the property manager required to provide the tenant with the Consumer’s Guide to Agency Relationships?

  9. 8. Define fiduciary.

  10. 9. Define confidential information.

  11. 10. An agent does not have any legal duties to a customer. ____True ____False

  12. We will review the answers throughout the class.

  13. Objectives 1. Define agency, dual agency and split agency 2. Distinguish the difference between a client and customer duties3. Identify your brokerage company policy

  14. Objectives 4. Analyze how agency is created. 5. Analyze the timing and purpose of the Consumer’s Guide to Agency Relationships for buyers and sellers 6. Analyze the timing and purpose of the Agency Disclosure Form

  15. ORC 4735.51 (A) “Agency” and “Agency relationship” mean a relationship in which a licensee represents anotherperson in a real estate transaction.

  16. Black’s LawDictionary client.1. A person or entity that employsa professional for advice or help in that professional’s line of work.

  17. Black’s LawDictionary fiduciary.1. A person who is required to act for the benefit of another person on all matters within the scope of their relationship; one who owes to another the duties of good faith, trust, confidence, and candor.

  18. Black’s LawDictionary fiduciary.2. One who must exercise a high standard of care in managing another’s money or property.

  19. Modern RealEstate Practice customer.The third party or nonrepresented consumer for whom some level of service is provided.

  20. Creation of Agency1. Listing Agreements 2. Buyer Agency Agreements 3. Tenant Representation Agreement 4. Property Management Agreement 5. Contract to auction real estate Can be written or oral agreements

  21. Black’s LawDictionary express agency.An actual agency arising from the principal’s written or oral authorization of person to actas the principal’s agent. i.e. Agency results from a formal agreement between the parties

  22. Black’s LawDictionary implied agency.An actual agency arising from the conduct by the principal that implies an intention to createan agency relationship. i.e. Agency results from the behavior of the parties

  23. ORC 4735.69 No, providing information does NOT create agency. A licensee gave the buyer a list of lenders and property inspectors. Did this act create an agency relationship with the buyers?

  24. ORC 4735.51 (G) “Confidential information” means all information that a client directsto be kept confidential or that if disclosed would have an adverseeffect on the client’s position in the real estate transaction,

  25. Except to the extent the agent is required by law to disclose such information, and all information that is required by law to be kept confidential.

  26. Modern RealEstate Practice customer.The third party or nonrepresented consumer for whom some level of service is provided.

  27. Was the word MONEY in the agency definitions?

  28. MONEY does NOTcreate agency!

  29. A contract or conduct creates agency.

  30. 4735.53 Agency relationships permitted. (A) The types of agency relationships a licensee may establish in a real estate transaction are limited to the following: (1) An agency relationship between the licensee and the seller; (2) An agency relationship between the licensee and the purchaser; (3) A dual agency relationship between the licensee and both the seller and the purchaser;

  31. (B) When an agency relationship is formed between a licensee and a client,ALL of the following also are considered the agent of that client:

  32. (1) The brokerage with whom the licensee is affiliated and, except as provided in division (C) of section 4735.70 of the Revised Code, the management level licensees in that brokerage who have direct supervisory duties over licensees; (2) Any licensee employed by, or affiliated with, the brokerage who receives confidential information from the agent of the client ; (3) Any other licensee in the brokerage who assisted in establishing the agency relationship; (4) Any licensee in the brokerage who specifically is appointed with the client’s consent to represent that client.

  33. (C) Except as otherwise provided in divisions(B)(1) to (4) of this section, another licensee who is affiliated with the same brokerage as the licenseeis NOT an agent of that client. (D) A payment or the promise of a payment to a licensee does NOT determine whether an agency relationship has been created between a licensee and a client or between other licensees in the brokerage with which the licensee is affiliated and that client.

  34. Use of the Agency Disclosure Formapplies to residential homes One-to-four family

  35. Rental properties over 18 months

  36. Commercial properties

  37. XYZ Realty(Dual Agent) Split Agency

  38. ORC 4735.62 - Applies to ALL Agents Other duties will be discussed throughout the class.

  39. To inform consumersof the Brokerage Policy What is the purpose of the Consumers Guide?

  40. 1. Split Agency 2. Dual Agency on in-company transactions 3. Exclusive Buyer Agency 4. Exclusive Seller Agency5. Split Agency – No dual

  41. When do you give me the Consumers Guide?

  42. 4735.56 …prior to marketing or showingthe seller’s real estate

  43. What are the three things you do if the seller or buyer refusesto sign the receipt of the Consumer’s Guide?

More Related