Let the buyer beware! The phrase, while well known, is in profession, circles now considered essentially meaningless. The courts are continually striking down the defense of the professional who relies upon the purchaser's responsibility to know what he is buying. Where will it all end? Are professionals required to think for a purchaser?
Frequent industry complaints are heard with regard to the considered impossible burden being placed on real estate brokers. Yet, if we could analyze the overall picture, we would understand that the responsibility (burden) being placed on real estate brokers is nothing more than an industry goal being realized.
Reviewing the decisions handed down by the courts, we frequently find words such as "expert", "superior knowledge", and other words and phrases recognizing real estate brokers and salesmen as professionals. Recognition as a professional has been a long standing goal of the real estate brokerage industry. Recognition as a professional has been sought through rigid licensing standards, pre-licensure educational requirements, and most recently continuing educational requirements.
The easy part's over. Now that we have the recognition, the courts are holding us to professional standards in the services provided to the public. We once could state that we were not aware of material defects, but now, with our acquired technical competence, we are expected to detect and disclose those defects. We once could expect buyers and sellers to fend for themselves following an offer and acceptance, but now we are being held responsible, as the architect of the transaction, through and beyond closing.
We should not be discouraged. Real estate industry people today are well equipped to meet the challenge of required professional standards. Those few who are not qualified or do not exert the necessary effort will fall by the wayside. The forecast for the real estate marketplace is questionable and only those providing the quality of service demanded by the public will survive. That is the "professional service".
-Reprinted From Vol. 12 No. 4
Maine Real Estate News