Hawaii

Why Selling Without Full Representation Can Be Scary

Even in a buyer’s market, finding a buyer is the easy part. Positioning a property to ensure that a buyer steps up to the plate can be critical. Establishing the proper price point, investigating permits, providing disclosure advice, evaluating planning, title, and survey issues as well as determining highest and best use of the property are but a few of the pre-listing subjects that arise.

David Castillo Dominici

Photo courtesy David Castillo Dominici/freedigitalphotos

Proper pricing and effective marketing quickly bring REALTORS® to the point where they really begin earning their money. REALTORS®:

  • assist with negotiations
  • provide advice regarding the nuances of the contract
  • assure that buyers are qualified to proceed
  • trouble-shoot the transaction through to closing

Each Transaction is Completely Different

Watch this. This week alone, I’m juggling an access issue, tracking down documentation for a corporate sale, untangling a probate problem with an out-of-state owner while at the same time dealing with the more common problems related to termite inspections, surveys, title problems, easements, setback violations, permitting problems, settlement statement accuracy, closing dates, and property inspections to name a few. Whew!

It’s no surprise then that when it comes time to show a listing represented by a discount broker, a limited service broker, or for-sale-by-owner, extra caution is required. Without another full-service agent involved, the work load and liability for the transaction lies squarely on the lone full-service agent.

Performance of pre-listing tasks by discount brokers is normally non-existent. Also absent are critical double-checks which ensure the seller is making full and accurate disclosures; permits are difficult to validate and fair housing compliance is not guaranteed.

When we are put in the position of working directly with a seller who is self-represented, we must be careful about providing advice, otherwise we risk becoming an “accidental” dual-agent. This sometimes alienates sellers who may get the impression that we are being less than cooperative. Additionally, agents involved in such transactions often lack assurance of compensation for their professional services.

Choose an Agent Who Will Represent You to the Fullest

Most buyers these days still work with a committed agent with whom they have an established relationship. They understand the nuances of buying property in Hawaii mean that purchasing without competent representation can be very scary. Buyers and sellers deserve full and complete representation. Any arrangement which provides less is really unacceptable, especially given the size and gravity of the transaction!

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