How you can still sell your own house For Sale by Owner (FSBO) and utilize the services of a professional realtor? Here’s how…Use a Transaction Licensee.
What is a Transaction Licensee in Real Estate?
Ever heard of a transaction licensee? Most people haven’t. A transaction licensee is defined by the Real Estate Licensing and Registration Act (RELRA) as such:
A transaction licensee provides real estate services without having any agency relationship with a consumer. Although a transaction licensee has no duty of loyalty or confidentiality, a transaction licensee is prohibited from disclosing that:
- The seller will accept a price less than the asking/listing price.
- The buyer will pay a price greater than the price submitted in the written offer, and
- The seller or buyer will agree to financing terms other than those offered.
Responsibilities of a Transaction Licensee:
- Provide real estate services without loyalty or confidentiality.
- Disclose material defects of the property.
- Assist with contracts, inspections, and appraisals.
- Coordinate the transaction from agreement to closing.
In other words, you as a seller can hire a licensed agent to provide all the services as they would under all the guidelines set forth in the Consumer Notice and established by the Real Estate Licensing and Registration Act, but still sell your own property.
Why it benefits a For Sale By Owner to utilize a Transaction Licensee.
We all know that selling a home can often come with a hefty commission paid to a real estate company. Yes, these commissions can be warranted because of the time spent on preparing your home for sale, handling the contracts, overhead, insurance, and most importantly advertising expenses. But, with today’s technology, social media, free home posting sites, and readily available low cost advertising avenues, many home owners are choosing to try and sell their home For Sale by Owner (FSBO) However, as is often the case, a homeowner places a FSBO sign in their yard and finds a ready, willing, and able buyer, but then fails to realize what the next steps are to get this offer from sales agreement to closing.
This is where a Transaction Licensee comes in to play. You can hire the services of a fully licensed and insured real estate professional for a reduced rate from the typical 6% commission. By law, this agent needs to abide by all the rules and regulations as any other listing transaction, but can often save the homeowner hundreds if not thousands of dollars.
Frequently Asked Questions
What is the difference between a buyer agent and a transaction broker?
A buyer agent represents the buyer exclusively, providing loyalty and confidentiality, while a transaction broker facilitates the transaction without representing either party, focusing on ensuring the deal moves smoothly.
Can a transaction licensee disclose confidential information?
No, a transaction licensee cannot disclose confidential information like the lowest price a seller will accept or the highest price a buyer will pay, as required by law.
Do I need a transaction licensee if I’m selling my home myself?
Yes, a transaction licensee can be beneficial in handling the paperwork, inspections, and other details of the sale, even if you’re selling your home as For Sale By Owner (FSBO).
Can a transaction licensee help with closing?
Yes, a transaction licensee can assist with coordinating all necessary steps to ensure a smooth and timely closing, including handling contracts, appraisals, and inspections.
One of our qualified licensed associates can see that the sale of your property is handled in a professional manor from start to finish. We can assure that all the contracts are filed property, that both the sellers and buyers obligations are taken care of during the contingency period, coordinate inspections, appraisals, and get your home to a smooth and easy closing.
Want to learn more about the transaction licensee?
Please call now 412-884-4900 for a free consultation or estimate or contact us.
