Recently my wife and I were interested in a property in another part of Arizona.
With an Arizona real estate license, you are licensed to work in any part of the state.
Although we could have represented ourselves, that would have proven to be fool hardy.
We hired a real estate agent to represent us who had great expertise in the area in which we were interested.
Consequently, the agent quickly focused on a desirable property, the transaction went smoothly, and he saved us multiple thousands of dollars because of his knowledge and expertise in that particular market.
Real estate agents are governed by the Arizona Department of Real Estate. The laws which we are governed by are in the Arizona Real Estate Law Book.
You can find the book online at: http:// www.re.state.az.us/.
It is 189 pages and to the government’s credit, it is written so it may be understood, although it is subject to interpretation.
Arizona Realtors are governed by the above mentioned law book and by the Realtor’s Code of Ethics. Realtors may be held to a higher standard than real estate agents through self governance by their association.
Real estate agents and Realtors may have expertise in many different fields.
You are probably most familiar with the residential real estate agent; however, there are many different specialties and fields of expertise.
For example, there are commercial agents, corporate agents, referral agents, and relocation specialists. Some agents specialize in property management, foreclosures, condominiums, co-ops, or only focus on certain neighborhoods or areas.
Article 11 of the Realtor code of ethics states: Realtors shall not undertake to provide specialized professional services concerning a type of property or service that is outside their field of competence unless they engage the assistance of one who is competent on such types of property or service, or unless the facts are fully disclosed to the client.
In addition, the Arizona Real Estate Law Book states: A salesperson or broker shall not undertake to provide professional services concerning a type of property or service that is outside the salesperson’s or broker’s field of competence without engaging the assistance of a person who is competent to provide those services, unless the salesperson’s or broker’s lack of expertise is first disclosed to the client in writing and the client subsequently employs the salesperson or broker.
Why is expertise important? If you owned a commercial building you may not want an agent with only residential experience to represent your property.
Another scenario is if you were looking for property in Payson, you most likely would be better served with an agent who knows our local market.
An agent from 100 miles away may, but usually does not have the expertise with the nuances of our market.
Ray Pugel is a designated broker with Coldwell Banker Bishop Realty. Contact him at (928) 474-2216.