Two Anchorage Real Estate Teams, Two Coaches

Anchorage Real Estate TEAMS

There are usually two parties to a contract a Buyer and Seller.  Each should have representation, meaning a separate Buyers Representative and a Seller Representative.

The State of Alaska has rules each Associate must follow to inform the public of representation.  The legal document is the AREC or Alaska Real Estate Commission Consumer Pamphlet.  As an Alaska Real Estate licensees we are required to provide a copy of this to the public.  That way they can determine what types of representation are available and what duties are owed and what duties are not owed to them as a buyer or seller.

The tough part about most State, Government or Forms in general is the intrepretation and care taken to learn a form you have no experience or understanding of its meaning.  Most people that go to an open house do not understand who represents the Anchorage Seller or who represents the Anchorage buyer when they walk in.  It is highly likely the Anchorage REALTOR representing the Seller.

There are four different types of relationships established by Alaska Real Estate Law:

• Specific Assistance – Licensee owes “Duties owed by a Licensee in all Relationships” as described in this pamphlet.
• Representation – Licensee owes “Duties Owed by a Licensee when Representing a Party” as described in this pamphlet.
• Designated Licensee – This occurs when a Licensee represents or provides specific assistance to a party to a transaction and another Licensee within the same company represents or provides specific assistance to the other party in the same transaction.
• Neutral Licensee – This occurs when a Licensee does not represent either party but provides specific assistance to both parties in the same transaction.  The parties must authorize the Neutral Licensee relationship by signing the “Waiver of Right to be Represented” form.

So based on the above examples you could have one Alaska REALTOR, one who has know the Seller since going to West High School, watched Mr. Seller and Mrs. Sellers' kids, when they went to dinner, maybe took care of the dog too for vacations, knew when repairs where done and maybe invited to the daughters wedding...and the moment you walked in the door, you had the option to let him represent you too.  Of course the Real Estate Sales Associate didn't have to tell you all this.

A good way to clarify who represents who in a Alaska real estate transaction is to mirror it with sports. 

Simple and easy.  There are two basketball teams that compete against on another and there are TWO seperate unbiased coaches.   

Here is another explanation.

With all the how to books and internet information available, it would be possible for you to buy your Anchorage home almost completely without the aid of Anchorage real estate professionals.

That’s not necessarily recommended. The housing market, like politics, is basically local, and each state, city, and even neighborhood has a thicket of local laws or customs that you need to understand. For that, it helps to have a team of professionals to guide you.

You might want to start by finding an agent who can represent your interests in the search. This is not as simple as it sounds. Sure, 85 percent of sellers list their homes through an agent – but those agents are working for the seller, not you. They’re paid based on a percentage, usually 5 to 7 percent of the purchase price, so their interest will be in getting you to pay more.

What you need is what’s known as an “exclusive buyer agent.” Sometimes buyer agents are paid directly by you, on an hourly or contracted fee. Other times they split the commission that the seller’s agent gets upon sale. A buyer’s representative has the same access to homes for sale that a seller’s agent does, but his or her allegiance is supposed to be only to you.

To complicate matters, there are hybrid agencies called either single-agency or dual-agency brokers. In both cases, an individual agent in the firm may represent either sellers or buyers, sometimes both, in the same transaction. Potential conflicts of interest abound in this situation, so if you are seeking a buyer agent but no exclusive buyer agent is available, make sure to ask the agent about conflicts of interest.

There are now about a dozen Web sites that help connect buyers with buyers agents, among them HomeGain.com, House.com, RealEstate.com and Reply.com.

Lonnie Logan
RE/MAX Properties, Inc.
AKRealEstateInfo.com
BestAnchorageHomes.com
MyFirstAnchorageHome.com