Bulletin 1978 V9-1
Transacting Business With The Buyer
Good business practices are essential in operating a real estate business and will help you avoid future complaints by the buyer. Here are a few tips designed to promote good relations with the buyer.
Remember that you are being paid by the seller to bring about a trouble-free sale, and to do this you must give accurate information to the prospective buyer. General statements to the buyer such as "this house is just right for you" or "this property is a good investment" are harmless and even if untrue cannot be cited by the average buyer as a misrepresentation; the low regards such sales talk as "puffing your wares". On the other hand, specific statements such as "the storage building is within the boundary line", or "the roof is only five years old", or "the walls are fully insulated" are representations of fact which, if untrue, may render the sales agent liable for misrepresentation,
Here are some simple "do's" and "don'ts" which should help you maintain the buyer's trust and good will:
DON'T .
rush the buyer. An unhappy buyer is not worth the commission you will receive.
make statements about the house and lot unless you personally know them to be true, If your statements are based upon what the owner has told you or what you have read in the MLS, make this clear to the buyer.
tell the buyer to sign a sales agreement merely to take the house off the market while the buyer makes a final decision. A sales agreement is not an option to purchase - it is an important legal document which obligates the buyer to purchase.
ignore the buyer after sales agreement has been signed. Promptly answer the buyer's calls and letters. Problems which arise in a transaction will not go away, they will only grow larger. If the buyer complains that you have not answered his letters or phone calls, you can be sure this office will want to know why.
DO
investigate to make sure you are giving the buyer correct information. This is your job and the buyer will expect you to do it well.
advise the buyer to obtain a survey if there is any question about the location of the boundary lines.
take your time and make sure that the sales agreement is prepared properly. This document should contain the entire agreement of the parties right down to who gets the curtains and dog house if there was an agreement on this.
be careful if the buyer is moving into the house on a rental basis prior to closing. The Licensing Board constantly receives complaints from sellers and buyers in such cases.
keep a complete file on each transaction including a record of each phone call and letter. Failure to keep adequate business records is automatically reported to the Licensing Board by our field representatives.