Why You Need a Seller's or Buyer's Agency Agreement in Arizona.

In Arizona Real Estate brokers and their salesperson are required to disclose in writing the type of working relationship they have with their clients in a real estate transaction.  There are several types of relationships that are available to you.  You should understand these at the time a broker provides specific assistance to you in buying or selling real estate.  Buyer's Agent and Seller's Agent relationships are commonly referred to as "agency" relationships and carry with them legal duties and responsibilites for the broker as well as for the buyer and seller.

Buyer's Agent

A Buyer's Agent act soley on behalf of the buyer and owes duties to the buyer which include the utmost good faith, loyalty, and fidelity  The agent will negotiate on behalf of, and act as an advocate for, the buyer.  The buyer is legally responsible for the actions of the agent when that agent is acting within the scope of the agency.  The agent must disclose to sellers all adverse material facts concerning the buyer's financial ability to perform the terms of the transaction and whether the buyer intends to occupy the property.  A seperate written buyer's agreement is required which sets the duties and obligations of the parties.

Seller's Agent

A Seller's Agent acts solely on behalf of the seller and owes duties to the seller which include the utmost good faith, loyalty and fidelity.  The agent will negotiate on behalf of, and act as advocate for the seller.  The seller is legally responsible for the actions of the agent when that agent is acting within the scope of the agency.  The agent must disclose to buyers or tenants all adverse material facts about the property known by the broker.  A seperate written listing agreement is required which sets the duties and obligations of the parites.