In the fall of 1999, the Pennsylvania Legislature a new law was passed governing the practice of real estate associates. This law is commonly referred to as "the consumer notice requirement for real estate transactions".
All real estate agents licensed in the State of Pennsylvania are required to disclose how they will be working with a consumer (buyer, seller, landlord or tenant) in a real estate transaction prior to entering into a substantive discussion with the consumer.(i.e. prior to discussing price range or motivation of the consumer to buy or sell). He or she must disclose to the consumer the role he or she will play with regard to a real estate transaction.
- As a SELLER'S AGENT or SUBAGENT. This means that the individual represents the seller and will disclose all material information supplied by the buyer to the seller.
- As a BUYER'S AGENT. This means that the individual represents the buyer and will disclose all material information supplied by the seller to the buyer.
- As a DISCLOSED DUAL AGENT. This means that the individual represents both parties. In this relationship, however, the individual may not, without written permission from the respective party, disclose to the other the possibility of adjusting terms with regard to price, conditions, etc.
Before an Associate of Coldwell Banker Hearthside (or any other legitimate real estate firm) enters into any substantial discussion with a customer, whether that customer is buying or selling a home, he or she MUST disclose to the customer the role he or she will play with regard to the transaction.
If you have any questions or concerns about new laws related to the purchase or sale of real estate, please do not hesitate to contact us.