Century 21 Redwood Realty

             Laurie Hailey   

                                                                   Realtor®

DISCLOSURE OF BROKERAGE RELATIONSHIP: In compliance with Section 6.3 of the
Virginia Real Estate Board Regulations ("VREB"), parties to transactions
involving real estate should understand the unique and valuable role that real
estate brokers and their agents play in marketing real estate. That role is
defined by a statute ("Statute") entitled "Duties of Real Estate Brokers and
Salespersons," §§54.1-2130 through 54.1-2144 of the Code of Virginia of 1950, as
amended ("Broker's Act"), and by regulations issued by the VREB. The following
is intended to give you a brief explanation of that role. Real estate brokers
and their agents are sometimes called "licensees" because they are required to
obtain licenses from the VREB to sell real estate.

1. AGENCY: Agency is the relationship formed when
one person works for or represents another person by express authority. People
whom licensees represent are called clients. People who receive services from
licensees without being represented by licensees are called customers. A
licensee does not necessarily represent the person who pays the licensee. As a
result, a licensee may represent the buyer, but be paid by the seller. Although
agency relationships may be formed without a written agreement, you should not
assume that any person represents you unless you have a written agreement. The
contract between the licensee and the client, whether verbal or in writing,
defines the brokerage relationship, in addition to the responsibilities set
forth in the Broker's Act and VREB regulations.


2. CLIENT STATUS: With this option, the buyer or seller signs an agreement with a licensee for that licensee to represent buyer or seller. For sellers, this agreement is usually called a listing. For buyers,
this agreement is usually called a buyer broker or exclusive right to represent
buyer agreement. The buyer or seller is then that licensee's client. If the
agreement is an exclusive agreement, the client is required to work through that
licensee. The licensee will generally be entitled to a commission if the buyer
buys or seller sells property, even if they do not use the services of that
licensee. The licensee is required to give its client advice as to price and
other matters and to disclose any information which might be helpful to its
client, and the licensee will help its client to negotiate the most favorable
terms.


3. CUSTOMER STATUS: With this option, the buyer or
seller does not sign an agreement with a real estate broker (although they will
still be required to sign a disclosure form). The buyer or seller is then the
real estate licensee's customer. The licensee will represent the other party in

the transaction, who will be the licensee's client. The buyer or seller has no
obligation to work through the licensee, and the licensee will only be entitled
to a commission if the buyer buys or seller sells property through the licensee.
The licensee may give the customer general advice and is required to treat the
customer honestly and disclose material facts actually known to the licensee
regarding the physical condition of the property, but the licensee generally may
not give advice regarding price or assistance in negotiating favorable terms.
The licensee is required to disclose to its client any information regarding the
customer which might be helpful to the client. Another form of customer
representation arises when the seller does not offer an agency relationship to a
selling firm The selling firm would act only in the capacity of facilitating the
transaction and would represent neither the seller nor buyer. The buyer would
remain a customer of the selling firm. Selling firm responsibilities to the
customer would remain the same as previously outlined in this
paragraph.


4. RESPONSIBILITIES TO CLIENTS: In addition to the
responsibilities set forth in the brokerage relationship, the Broker's Act
provides that the licensee shall perform in accordance with the brokerage
relationship and maintain the confidentiality of (I) all personal and financial
information received from the client and (ii) any other information that the
client requests be maintained confidential during the brokerage relationship
except as otherwise provided by law. Additionally, the licensee shall promote
the interests of client by seeking a buyer, tenant or property, as the case may
be, in terms agreed upon in the brokerage relationship; however, the licensee
shall not be obligated to seek additional offers to purchase or lease or seek
additional properties, as the case may be, if the client has entered into a
contract, unless agreed to as part of the brokerage relationship. The licensee
shall present in a timely manner all written offers or counteroffers to and from
the seller. The licensee shall account for in a timely manner all money and
property received in which the client has an interest. The licensee shall treat
all parties honestly and disclose to the other party material facts related to
the property or concerning the transaction of which the licensee has actual
knowledge. The licensee shall not knowingly give any party to the transaction
false information. A licensee engaged by the seller shall disclose to
prospective buyers all material adverse facts pertaining to the physical
condition of the property which are actually known to the real estate agent. A
real estate agent engaged by a buyer shall disclose to a seller the buyer's
intent to occupy the property as a principal residence. A licensee may provide
assistance to other parties by performing ministerial acts. Ministerial acts are
routine acts which a licensee can perform for a person which do not involve,;e
discretion or the exercise of the real estate agent's own judgment.


5. DUAL REPRESENTATION: Dual Agency, or Dual
Representation, is when the same company represents both the buyer and the
seller. This generally happens when a buyer who is a client of a licensee
becomes interested in real property which is listed with the company for which
the licensee works. Virginia law permits real estate companies to handle dual
representation in two different ways. The first alternative permits the broker
and all salespersons to continue to represent both the buyer and seller, but
they will not share any confidential information. The other alternative involves
the use of Designated Representatives. With this alternative, the broker is
still a dual agent, but separate agents are designated to represent the buyer
and seller, and these agents represent their respective clients as if the agents
work for separate companies. Both agents give their best advice and keep the
confidences of their respective clients. Real estate agents are required by law
to disclose to both the buyer and seller whenever a dual representation
relationship arises and any time designated representatives are used. In the
event a dual representation is agreed to, all parties must enter into a separate
Disclosure of Dual Representation/Disclosure of Designated Representatives
Form.


6. COMPENSATION: Prior to entering into any
brokerage relationship, a licensee shall advise the prospective client of: (I)
the type of brokerage relationship proposed by the licensee and (ii) the
licensee's compensation and whether the licencee will share such salary or
compensation with another licensee who may have a brokerage relationship with
another party to the transaction.


7. CHANGE IN STATUS: If a licensee's relationship
with a client or customer changes, the licensee shall disclose that fact in
writing to all clients and customers already involved in the contemplated
transaction.


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Product/Service Notice
The product information contained on this Web Site has been
prepared for informational purposes only and is not intended to constitute a
solicitation or offer for sale. All products listed may not be available in all
states.

 

All real estate advertised herein is subject
to the Federal Fair Housing Act, which makes it illegal to advertise any
preference, limitations, or discrimination based on race, color, religion, sex,
handicap, familial status, or national origin, or intention to make any such
preference, limitatio
n or discrimination. We will not knowingly accept any
advertising for real estate which is in violation of the law. All persons are
hereby informed that all dwellings advertised are available on an equal

opportunity basis.