Why work with a REALTOR® when you buy or sell in Edmonton

In Alberta, the difference between having a REALTOR® and talking to one is written down. A licensee who represents you as a client in a residential purchase or sale has to have a written service agreement with you, and before that they have to walk you through the Real Estate Council of Alberta's Consumer Relationships Guide. That agreement is what makes them your representative: someone who advises you, keeps your information confidential and negotiates for you, not just someone who unlocks doors.

Client or customer: the part most people skip

The Consumer Relationships Guide explains two ways a real estate professional can work with you.

As a customer, a professional can show you homes, share listing details and sold statistics, and answer general questions. They cannot give you confidential advice or advocate for you, and if they are the seller's agent, their duties are to the seller.

As a client, you have a written agreement with the brokerage, and the professional works in your interest: what to offer, which conditions to keep, when to walk away. The agreement spells out the services, each side's obligations, how long it lasts and how the brokerage is paid. Agreements can be exclusive or non-exclusive, and the length is negotiable.

Walking into an open house does not make you anyone's client. The moment you start sharing your budget, your motivation or how far you would go on price, you should know which of the two you are.

What a buyer's REALTOR® actually does

• Prices the home before you offer. Asking price is the seller's opinion. We look at what similar homes in that community sold for, how long they took, and what the listing history says about the seller.
• Writes the offer to protect you. Financing, inspection, condominium documents and a Real Property Report are all handled through conditions and dates in the Alberta purchase contract. Which ones you keep, and for how long, is where most of the risk sits.
• Negotiates for you, on price and on everything else: possession date, what stays with the house, repairs after the inspection.
• Keeps the deal moving to possession, with your lender, lawyer, inspector and the other side.

On a new build the work is different. Builders write their own contracts, deposits and draw schedules, and some do not pay buyer agents the usual way, so read the fee section of any agreement with your REALTOR® before you sign it.

What a seller's REALTOR® does

For a seller, the job is the price, the presentation and the negotiation. A price that is too high costs you time on the market, and in Edmonton a stale listing usually ends up selling for less. A good listing agent shows you the comparable sales behind the number, prepares the home and the listing to Alberta's Residential Measurement Standard, and handles the offers, conditions and the Real Property Report requirements in the purchase contract. If the RPR question is new to you, our article on title insurance and Real Property Reports explains it.

How to choose one

Ask how they would price your home or which communities fit your budget, and look for an answer built on recent sales, not a feeling. Ask who you will deal with day to day. Ask them to explain the Consumer Relationships Guide and the agreement in plain language before you sign anything. If they cannot, keep looking.

We are happy to have that first conversation with no agreement and no obligation. Get in touch, or start with the Home Matchmaker if you are buying or a free home valuation if you are selling.

Sources

• Real Estate Council of Alberta, Written Service Agreements
• Real Estate Council of Alberta, Real Estate Act Rules (Consumer Relationships Guide, Schedule 1)
• Real Estate Council of Alberta, Working with Consumers