THE ROLE OF THE REAL ESTATE AGENT IN GEORGIA

The term "agent" refers to the real estate company and its sales associates. Here is how real estate agents relate to buyers and sellers in Georgia:

1. SELLER'S AGENT: The company (including its sales people) who has been contractually engaged by the sellers to represent them in the marketing and sale of their property. They are pledged to work in the seller's best interest, but are also obligated to be fair and honest with other parties such as buyers and other agents. Sellers' agents often work with buyers as "customers."

2. BUYER'S AGENT: The company and its sales person who have been contractually engaged by the buyers to locate property for them and represent their best interests. The buyer's agent is obligated to be fair and honest with other parties to the transaction including the seller. Buyer's agents are usually paid by sharing the seller's agents commission which is paid by the seller.

3. DUAL AGENT: This relationship occurs when the seller's agent (listing company) has also entered into a contractual agreement to represent the buyer as the buyer's agent. This situation is the exception rather than the rule and all parties must be informed (disclosure) when it occurs. This situation does not necessarily work against either the buyer or seller when it occurs.

The broker will sometimes designate different salespeople to represent the buyer and the seller. This is referred to as DESIGNATED AGENCY.

4. TRANSACTION AGENT: This term is applied to a real estate company (including its sales people) who has not entered into a contractual agreement to represent either the buyer or the seller. They owe fairness and honesty to all parties but are not pledged to work in the interest of either party. They treat buyers as customers.

5. CLIENT: A buyer or seller who has a contract with the agent for representation.

6. CUSTOMER: When an agent works with a buyer without an agreement to be a buyer's agent, then the buyer is called a customer. The agent will be either a transaction agent or a seller's agent.