FIDUCIARY DUTIES

In Arizona, as your agent in listing or buying, Zach has full fiduciary duties only to you in the transaction. Agency is an important consideration that we take very seriously whether representing buyers, sellers or both. As your fiduciary, acting through Tierra Antigua Realty we are held by law to specific duties as described in the following documents: listing agreement, buyer representation agreement, or the consent to limited dual agency disclosure. In addition to these obligations, our specific fiduciary duties include:

LOYALTY

One of the most fundamental fiduciary duties an agent owes to the principal. The duty obligates us to act at all times, solely in your best interests, excluding all other interests, including our own.

An example of breach of loyalty is when a broker purchases a property listed with his/her firm, and immediately resells it at a profit. Such conduct is usually considered inappropriate and unlawful except by persons who act at arms length. The fiduciary would be considered to have stolen an opportunity for profit that rightfully belongs to the principal. We won’t do this.

Sellers Agent

Must do everything possible to gain an advantage for the Seller.

Exclusive Buyer’s Agent

Must do everything possible to gain an advantage for the Buyer.

OBEDIENCE

An agent is obligated to promptly and efficiently obey all lawful instructions from you, that conform to the purpose of our agency relationship.

This duty does not include an obligation to obey unlawful instructions, such as instructions to not market a property to minorities or to misrepresent the condition of a property. We won’t be involved in any unlawful or discriminatory actions.

Sellers Agent

Must obey all lawful instruction of the Seller, is not obligated to obey instructions from the Buyer.

Exclusive Buyer’s Agent

Must obey all lawful instruction of the Buyer, is not obligated to obey instructions from the Seller.

DISCLOSURE

An agent must disclose to the principal all known relevant and material information that pertains to the scope of the agency. The duty includes any facts affecting the value or desirability of the property, as well as any other relevant information pertaining to the transaction.

An agent’s duty of disclosure to his/her principal must not be confused with a real estate broker’s duty to disclose any know material facts about the property value to non-principals. The duty to disclose known material facts is based on a real estate broker’s duty to treat all persons honestly. The duty of honesty does not depend on the existence of an agency relationship and we pride ourselves in being honest and fair with everyone involved.

Sellers Agent

Must reveal any known material defects in the property.
Must NOT reveal information about traffic problems, poor school system, declining property values, etc. since these items might make the property less desirable to Buyers.

Exclusive Buyer’s Agent

Must tell Buyer everything they can find out about the Seller including the motivation for selling and any reasons the Seller may have for wanting a quick sale.
Must tell Buyer everything they can find out about the property, including traffic problems, poor school system, high crime rates, etc.

CONFIDENTIALITY

An agent is obligated to safeguard his/her principal’s lawful confidences and secrets. Therefore, a real estate broker must keep confidential any information that may weaken a principal’s bargaining position.

The duty of confidentiality does not include an obligation by a broker who represents a seller to withhold know material facts about the condition of the seller’s property from the buyer, or to misrepresent the property’s condition. Whether representing a buyer or seller we encourage all parties to do their due diligence and will assist all such efforts.

Sellers Agent

Must tell the Seller everything they can find out about the Buyer, including all financial details they can obtain.
Must conceal anything about the Seller that would help the Buyer gain an advantage, such as impending foreclosure, need to move in a hurry, need to sell to settle divorce, etc.

Exclusive Buyer’s Agent

Must keep all information about the Buyer confidential, including the Buyer’s ability or willingness to pay more for the property than they are offering as well as the Buyers motivation for buying.

REASONABLE CARE & DILIGENCE

An agent is obligated to use reasonable care and diligence when pursuing the principal’s affairs. The standard of care expected of a buyer’s or seller’s real estate broker is that of a competent real estate professional.

As an agent who represents others in their real estate dealings, a broker or salesperson is under a duty to use superior skill and knowledge while pursuing the principal’s affairs. If concerns arise outside the scope of our expertise, we will suggest assistance from a reliable outside source.

Sellers Agent

Must prepare themselves through education and study to competently represent the Seller in all matters.

Exclusive Buyer’s Agent

Must prepare themselves through education and study to competently represent the Buyer in all matters.

ACCOUNTING

An agent is obligated to account for all money or property that belongs to his/her principal entrusted to that agent. We will safeguard any money, deeds, or other documents that may be povided.

Sellers Agent

Must account to Seller for any money or documents entrusted to them.

Exclusive Buyer’s Agent

Must account to Buyer for any money or documents entrusted to them.