The broker’s obligations with respect to sellers’ specific requirements

A trend is currently being observed regarding the content of detailed description sheets. Some brokers are including specific statements requiring mortgage prequalification or the submission of promise to purchase prior to a visit of one of their listings. A reminder of the broker’s obligations in this regard is necessary.

 

First, it is important to understand that such requirements or conditions to the viewing of a property are not recommended. This practice sends a negative message and could make the property less appealing to prospective buyers.

The seller may not be aware that including such prerequisites may prevent his property from being marketed to the fullest and from attracting as many interested buyers as possible.

The broker’s obligations

The broker is responsible for advising the seller and informing him of the impact of these requirements. In fact, conditions of this type should only be used in special circumstances (e.g. the sale of a multi-housing properties or prestige homes). The use of such statements on detailed description sheets should not become standard practice for brokers.

When warranted by circumstances, the broker must make sure that any such demand or requirement on the part of the seller is included in the brokerage contract (clause 11) and that the seller clearly understands the impact on the marketing of his property. And of course the requirement must appear on the detailed description sheet, so that prospective buyers and other brokers will be aware of it right from the start.

Any questions?

Please contact the Info OACIQ information centre by email at info@oaciq.com or by phone at 450-462-9800 or 1-800-440-7170.

 

 

 

Last updated on: September 18, 2019
Article number: 207139