As a realtor, you have, on countless occasions, gone above and beyond your job description to help your clients buy or sell their property. After all, every client is different, and assisting them is beneficial to all parties.
Some consumers are very knowledgeable when it comes to buying or selling a house, while others are not. As the expert in the industry, your clients will automatically turn to you to have all their queries addressed. There’s a lot of information you can provide to your client. However, there are also questions you cannot answer. Here are the top five questions you should never answer as a realtor.
Pass this along to new real estate agents or tack it up in your office to serve as a reference!
In many states, it is illegal for real estate agents to offer legal advice to their clients. As a realty professional, you are not a legal professional and should never act like one. The National Association of Realtors® Code of Ethics states that realtors are not allowed to practice law as an agent, so you cannot draft legal documents or give legal advice to buyers or sellers.
Real estate agents are not allowed to answer tax-related questions. In fact, in most states, it is illegal for agents to answer their clients’ questions about taxes.
As an agent, you are not legally allowed to tell potential buyers anything about the demographics of any neighborhood or community. That includes information about the socio-economic status, race, color, ethnicity, or religious backgrounds of the people living in the area. You cannot disclose types of churches or schools in the neighborhood. Answering demographic-related questions also violates the Fair Housing Act and can be seen as discriminatory.
As an agent, you are likely to be asked for advice about who to see for a mortgage. Recommending certain mortgage brokers, banks, or other lending agents is prohibited. As an agent, you are a neutral third party when your clients are buying or selling property. You cannot show preferential treatment to any broker or financial institution.
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