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Understanding the Terminology

Client:

A person who has formed a brokerage relationship with a REALTOR, usually by signing a contract*, the REALTOR becomes their agent. They are now a client of the REALTOR.

(*listing agreement, buyer broker agreement, etc)

Customer:

A person who does not have a brokerage relationship with the

REALTOR.

Buyer Representation:

Prospective buyers and tenants have realized in recent years that they may want a REALTOR of their own representing them in a transaction. They do this by forming their own brokerage relationship , usually by written agreement with a REALTOR who becomes their agent and owes them the duties of a standard agent. A representative for the prospective buyer-client can freely advise about all aspects of the property. A seller dealing with a buyer's agent should remember that in this relationship, the REALTOR is working for the buyer. In many cases, the listing agent will share the commission with the buyer's representative, but that doesn't diminish the buyer representative's obligation to the buyer.

*Also known as Buyer Broker

Seller Representation:

If you are selling a property or offering it for lease, and sign a listing agreement with a REALTOR, then the REALTOR and the brokerage firm become your agent and you are their client. Salespersons for other companies who are cooperating with the listing company and showing it to prospective buyers may also be your agents. Their goal is to seek a transaction on terms acceptable to you and they owe you the standard agent duties.

Special Note:

Be sure that you understand the choices you have. Feel free to ask your REALTOR any questions that you may have.