Thursday, February 4, 2010

Know your relationships

I showed new construction yesterday, a listing I have with my colleague Bill Hendrickson in Prospect Heights. I received communication from a Broker from another REBNY firm, (Real Estate Board of New York) that his buyer wanted to see apartments at this property.

His buyer, was a very nice smart woman who liked the building. I showed them both a number of apartments. There are signs in this building and the property across the street, built by the same developer, which feature my firm, Prudential Douglas Elliman. The buyer asked me with the Broker present, whether Prudential Douglas Elliman built the buildings. I responded we did not. Then she asked if we managed the buildings, and I answered that we did not. The Broker then explained that Prudential Douglas Elliman was the exclusive agent to sell the apartments in both buildings.

As I was leaving the building, I heard the buyer questioning the Broker if he would get paid if he sold the apartment to her.

If you are working with a Broker as a buyer, he or she has certain responsibilities to you, though it also depends on whether his or her firm has the listing. These relationships can be complicated and a good Broker will guide you through the process. Again, if you are a buyer, try to be clear what relationship you have to your Broker and what responsibilities he or she has to you as a buyer.

Buying real estate in New York City is more complicated than most other places in the United States. Try to be clear if you are working with a Broker as a buyer, what that relationship is.

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