RISMedia
  • News
  • Premier
  • Reports
  • Events
  • Power Broker
  • Newsmakers
  • More
    • Publications
    • Education
No Result
View All Result
  • Agents
  • Brokers
  • Teams
  • Marketing
  • Coaching
  • Technology
  • More
    • Headliners New
    • Luxury
    • Best Practices
    • Consumer
    • National
    • Our Editors
Join Premier
Sign In
RISMedia
  • News
  • Premier
  • Reports
  • Events
  • Power Broker
  • Newsmakers
  • More
    • Publications
    • Education
No Result
View All Result
RISMedia
No Result
View All Result

Pick Yourself Up and Try Again

Home Best Practices
By Marc D. Gould
November 12, 2019
Reading Time: 3 mins read
Pick Yourself Up and Try Again

Frustrated woman claiming on the phone in the night sitting on a couch at home

When Buyers Turn to Another Agent

No one enjoys being dragged into a procuring cause dispute. As a broker, you want to support your agents; however, picking up the phone and having an awkward conversation with another broker is probably not your favorite part of the job.

What steps can you take to prevent procuring cause disputes? Everyone knows who represents the seller. How can your agents strengthen their claim on the buy side?

The Role of Buyer Representation Agreements
The Accredited Buyer’s Representative (ABRĀ®) designation course emphasizes the importance of using signed buyer representation agreements and helps agents gain confidence in tackling this topic with buyers.

Sometimes, however, agents get confused about the role of buyer agreements, which are primarily designed to reinforce expectations, reduce misunderstandings and demonstrate the scope of services provided.

While an agreement is an excellent tool for encouraging loyalty and preventing procuring cause disputes, it doesn’t necessarily prove that an agent is entitled to compensation.

Remind your agents that a listing broker’s offer of compensation is entirely separate from a buyer’s agreement. They’re two unrelated issues.

When arbitration panels consider a procuring cause complaint, they’ll examine the entire course of events. Did the agent fail to stay in contact with the buyer? Did the buyer terminate the relationship for other reasons? These are some of the questions they’ll ask, which can supersede the existence of a buyer’s agreement.

It’s also important to note that each dispute is evaluated independently. Prior decisions are ignored.

New Dispute Resolution Options
A significant downside of arbitration is that one person “wins,” while the other party leaves empty-handed and unhappy. Usually, it’s preferable for the parties to find conciliation through mediation or newer REALTORĀ® ombudsman programs.

As of 2016, every local and state association of REALTORSĀ® is required to offer ombudsman services to members, clients and consumers. Some associations do this directly, while others have cooperative agreements with another association.

The ombudsman process is informal, voluntary and confidential. Once the parties have agreed to use an ombudsman, an impartial third party, conversations are usually handled over the phone, aimed at helping the parties reach an understanding and consensus.

Often, disputes can be resolved in a few hours or days. Note that the use of REALTORĀ® ombudsmen isn’t limited to agent-to-agent disputes; associations also rely on ombudsmen to help resolve consumer disputes against agents.

Prevention Is the Best Medicine
If your agents understand the critical factors that can shape an arbitration panel’s decision, they’ll be in a better position to develop behaviors that will prevent procuring cause disputes.

The best way to avoid a dispute is to do the best job possible. Educate buyers, use signed agreements and deliver on your promises.

It’s also a good idea to document your efforts so that you can demonstrate that you stayed in regular contact and provided valuable services.

An Offer From REBAC
Our most recent issue of Today’s Buyer’s Rep, the monthly REBAC newsletter, explores procuring cause in greater detail. We encourage REBAC members to check it out.

If you’re not a REBAC member, but would like to read this issue, please reach out to us at rebac@realtors.org and ask for a digital copy.

We also encourage brokers to support the ABRĀ® training to elevate their agents’ buyer representation skills.Ā 

Marc D. Gould is senior vice president of Member Development for NAR, overseeing a wide range of professional development programs for REALTORSĀ®, including the Real Estate Buyer’s Agent Council (REBAC). REBAC is the world’s largest association of real estate professionals focusing specifically on representing the real estate buyer. With more than 30,000 active members, REBAC awards the Accredited Buyer’s Representative (ABRĀ®) designation to REALTORSĀ® who have completed the specialized education and documented experience in working with consumers purchasing a home. To learn more, visit REBAC.net.

Tags: ABRĀ® DesignationBuyer's AgentCommissionsNARReal Estate BrokerageREBACRisk Mitigation
ShareTweetShare

Marc D. Gould

Related Posts

Seller Apprehension Helps Home Prices Inch Upward
Agents

Seller Apprehension Helps Home Prices Inch Upward

May 30, 2023
Fathom Recruits Leaders in Five Regions
Agents

Fathom Recruits Leaders in Five Regions

May 30, 2023
Same Day Mortgage: Guaranteed Rate Delivers a Loan Approval in Less than 24 Hours
Agents

Cracking the Competitive-Market Code: Guaranteed Rate’s ā€˜Same Day Mortgage’ Passes $2 Billion in Loans Within Months of Launching

May 30, 2023
How Does an Estate Sale Work?
Agents

How Does an Estate Sale Work?

May 30, 2023
HGAR Hosts Webinar Featuring New York Real Estate Leaders
Agents

HGAR Hosts Webinar Featuring New York Real Estate Leaders

May 30, 2023
New BHHS Florida Network Realty Mega Open House
Agents

New BHHS Florida Network Realty Mega Open House

May 30, 2023

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Tip of the Day

Not Hitting Your Recruiting Goals?

Take Sherri Johnson’s Recruiting Skills Assessment and access a free consulting call! Click HERE for a free download.

Business Tip of the Day provided by

Recent Posts

  • Seller Apprehension Helps Home Prices Inch Upward
  • Fathom Recruits Leaders in Five Regions
  • Cracking the Competitive-Market Code: Guaranteed Rate’s ā€˜Same Day Mortgage’ Passes $2 Billion in Loans Within Months of Launching

Categories

  • Spotlights
  • Best Practices
  • Advice
  • Marketing
  • Technology
  • Social Media

The Most Important Real Estate News & Events

Click below to receive the latest real estate news and events directly to your inbox.

Sign Up
By signing up, you agree to our TOS and Privacy Policy.

About Blog Our Products Our Team Contact Advertise/Sponsor Media Kit Email Whitelist Terms & Policies ACE Marketing Technologies LLC

Ā© 2023 RISMedia. All Rights Reserved. Design by Real Estate Webmasters.

No Result
View All Result
  • Home
  • Premier
  • Reports
  • News
    • Agents
    • Brokers
    • Teams
    • Consumer
    • Marketing
    • Coaching
    • Technology
    • Headliners New
    • Luxury
    • Best Practices
    • National
    • Our Editors
  • Publications
    • Real Estate Magazine
    • Past Issues
    • Custom Covers
  • Events
    • Upcoming Events
    • Podcasts
    • Event Coverage
  • Education
    • Get Licensed
    • REALTORĀ® Courses
    • Continuing Education
    • Luxury Designation
    • Real Estate Tools
  • Newsmakers
    • 2023 Newsmakers
    • 2022 Newsmakers
    • 2021 Newsmakers
    • 2020 Newsmakers
    • 2019 Newsmakers
  • Power Broker
    • 2023 Power Broker
    • 2022 Power Broker
    • 2021 Power Broker
    • 2020 Power Broker
    • 2019 Power Broker
  • Join Premier
  • Sign In

Ā© 2023 RISMedia. All Rights Reserved. Design by Real Estate Webmasters.

X