With the market being so hot do I need a Real Estate agent?

Real Estate agent

The idea of people selling their own home, (FSBO – For sale by owner), without the services of a broker has become a popular one in some neighbourhoods of Quebec, but it has its ups and downs.  As a seller and a buyer dealing with a for sale by owner property, both parties are typically representing themselves and the question is do I need a real estate agent? In Montreal from my experience over 90% of these for sale by owner properties end up being sold through the representation of a broker. The best qualified buyers are working with a broker and sellers realize this. Buyers shopping on their own, are expecting a reduction in price since they feel that the seller is not paying any commission. Also have a look at realtors in casa grande az.

Real Estate agent
Do I need a Real Estate Agent?

FSBO – For Sale By Owner

One of my buyers was interested in a property that was sale by the owner and not listed on the official site that a licensed real estate broker would use (mls.ca and centris.ca).  After speaking with the sellers, they agreed to have me show the home to my buyers. The seller understood that the buyer was willing to visit their home only with the representation of their real estate broker by their side.  For my buyers, I took the time to explain that although the process may be slightly different, as their broker I am bound to perform my ethical duties and obligations which means following our due diligence process.

To make a long story short, my buyers loved the house and were ready to make an offer!  The seller cooperated well and provided us with a filled out Sellers Declaration form for us to review what they had declared about the property.  This form is an integral part of the sale and is mandatory when selling. When preparing an offer for a buyer, I diligently do the research, to make sure the property is worth a certain price.

Beware of previous seller’s declarations

After researching the history of the property (taxes, leans, previous listing information etc.), this revealed a previous Seller’s Declaration from the previous owner, mentioning mold in the attic and decontamination work, amongst other things.  Having not received this information by the seller from the beginning, raised an alarming flag to my buyers. The building inspector advised them to back out of the offer. The buyers were very disappointed to say the least! To avoid this, look out for whether previous sellers have made home improvements such as installing mobile home skirting to prevent mold growth in the home.

What happened next was that the sellers panicked and realized that despite their good intentions, they misrepresented the property by not knowing exactly what was expected of them from a legal standpoint. The sellers were licensed contractors and did an excellent job renovating the home! They had purchased that property through a broker but since they were selling without one, they made many errors when listing the home by omitting crucial information about the history of the property.

Legal issues down the road without a Real Estate Agent

This could have ended in the sellers selling to other unsuspecting buyers and possible legal issues down the road.  In order to resolve the situation, we started from scratch, and put everything on the table using our proven real estate process. The seller was asked to provide all of the documentation and information they had about the property from the time they purchased, so that there was a full disclosure.

The seller and buyer were able to come to a mutual agreement on price and conditions and both feel confident about the transaction!

The main risk of selling your own home or buying a For Sale By Owner home, is that all parties are taking a gamble with all the compulsory verifications that a real estate broker would be obligated to perform on their behalf.  The seller may not disclose certain things they feel are not important and by omitting information they jeopardize the sale and increase the chances of legal action against them.

Real estate agents governed by Civil Code

Real estate brokers, are governed by and adhere to the Real Estate Brokerage Act, which is a set of laws and regulations based on the Civil code of Quebec.  There is an established process that occurs when we put up a house for sale in Quebec, and a legal procedure and due diligence that follows.  When you sell your home on your own, unless you had a real estate license in your past life, chances are you will omit important steps in the process.  One small mistake can cost you the sale or worse, it could land you in court!

Other articles from: mtltimes.catotimes.caotttimes.ca

House sells for $620 000 over asking price in two days

Ray Of Light Canada

Ray Of Light Canada encouraging to post acts of kindness #RainbowChallenge

Share on facebook
Share on twitter
Share on linkedin
Share on email
Is it possible to get an A for a 5-paragraph essay assignment in 1 hour? We can safely say yes, a student can get an A+ mark if he turns to EduJungles

consolidate your debt

A complete guide on how to consolidate your debt

Are you struggling under the weight of debt? Are your loan balances spread across multiple different lenders, institutions, or credit cards? If so, it might be a great idea for you to consolidate your debt. Doing so could not only save you a ton of money but can save you a ton of headaches as

Gambling online

Gambling online using real money

A real money online casino is an online casino wherein players can play using real money deposited at the site and gets real money as well if they win. The reason why so many wagers prefer gambling online using real money is the excitement of winning a real money deposit straight to your account. It’s

wedding photographer

Top tips when looking for a wedding photographer

Wedding photographer – Congratulations on your engagement! Now the journey of wedding planning begins but it doesn’t have to be stressful always. mtltimes.ca recently got the chance to speak with Jimmy Chan, the wedding photographer behind Pixelicious, to share some of the best tips and what to watch out for when choosing a photographer. There

LaRonde Fireworks

Surprise LaRonde mini-Fireworks in various Mtl boroughs

LaRonde Fireworks will present as a prelude, surprise mini-fireworks, as part of the special edition of L’International des Feux Loto-Québec, Lights on essential workers. Starting July 24, and every week, a pyromusical performance will take place in various boroughs of Montreal. The event will end at La Ronde on September 4 with a special tribute to

freelancing jobs

News in the most profitable freelancing jobs for students

The focus of many students upon graduation lies in securing routine in-office jobs, and at times, however, getting rejections or work dismissal can be highly depressing. But are you aware of the existence of online freelancing jobs for students and earning platforms that, at times, pay better than many in-office jobs? Well, first, one good

National Spritz Day

Its almost National Spritz Day – Win a free trip to Veneto, Italy

If you’ve ever struggled to strike the right balance when making your Aperol Spritz, fear no more: Aperol has just launched their convenient 375 ml pack size. They contain the perfect amount for a round of Spritzes at a joyful, intimate backyard gathering with friends!  For those consumers who can’t decide on the perfect prosecco,

Mtltimes Subscription

The latest on what’s moving Montreal and the world – delivered straight to your inbox