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CASE STUDY: REALTOR hires agent to sell his house as short sale, then asks for referral fee
 
CASE STUDY: REALTOR hires another agent to sell his house as a short sale, then asks for referral fee.

 
This REALTOR is going through tough times and needs to sell his house as a short sale
He knows enough about the arms-length nature of short sales, so he asks another agent from another real estate brokerage to list his house for him because he can't and he shouldn't represent himself in this sale.
But he wants a referral fee from the other agent. Other agent balks, doesn’t agree to the referral. This agent tries to explain that in a short sale, the seller shouldn’t get any proceeds from the sale of his property except for negotiated funds such as HAFA relocation funds approved by the short sale negotiator.
A referral fee paid to the agent/seller would constitute sales proceeds after all, it's part of earned commissions from the sale.
 
Who’s right?
... more

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