Special offer

THINK before You Send That offer!

By
Real Estate Agent with RE/MAX Compass 0524642

1. Don't send me an offer with a pre approval letter and say.. "I have very strong buyers." When you don't really know. Why? Because I'm the type of listing agent who verifies your pre approval letter before executing your offer. Maybe you were speaking to your buyers physical prowess because you sure as sugar didn't do any research prior to putting those buyers in your car. Did you know your buyers tax returns haven't been submitted? I found that out in one phone call. You should be spanked.

2. Don't add foolish language to special provisions in your offer. Typing things like.... "seller to make sure home is clean and picked up prior to closing" is really unnecessary.  The 1-4 residential contract that's promulgated by TREC (Texas Real Estate Commission) speaks to condition already. It essentially says that the home must be in the same condition as it was when the offer was executed. You GET a final walk-thru! Use it. "CLEAN" is subjective, open for interpretation and the wrong verbiage to use to make such a request.

3. If you hand write your offers be prepared to work twice as hard. Everything that's hand written should be initialed. How else could you prove that I, the sellers or Santa Clause didn't write something AFTER everything was initialed and signed. Hmm? I can't here you?

4. In Texas you have 2 days to deliver the option fee check. That's TWO days; not 5. If you mail the check it's quite possible that I won't get it until the 3rd or 4th day. If you're wise you'll ask for page 8 to be returned to you, signed and noted that the listing agent RECEIVED the option fee check. Don't think this is important? Just wait until you cross a listing agent who holds your buyers feet to the fire. You'll never allow the mistake to happen a second time. Remember, if the LA doesn't "receive" your option fee check then your buyer never had an option to begin with!

5. And what about the phantom & mysterious offer? This is where the buyers agent shows the property, submits an offer then disappears for 3-4 days. Then, a week later they call..... "did you get my offer?" Before you SHOW a property it's ALWAYS best to call the LA prior to doing so. What if I already have an offer but simply haven't executed it yet? You just wasted your buyers time! Not to mention yours. You'll look like a fool in front of your clients! Don't submit an offer then call me 180 hours later to talk about it. It's YOUR job to represent your buyers BEST interest. Snap!

More to come..

Posted by
Greg Nino
Realtor
RE/MAX Compass 
Direct & Text 7 days a wk: 832-298-8555 
 
 
Realtor since 2004
Mediator & Arbitrator for the TX Assoc. of Realtors
Member of the Professional Standards Committee for the TX Assoc. of Realtors
Arbitrator for the Comptroller's office for the State of TX for Arbitration of Property Tax Values

 Member of the RE/MAX Hall of Fame & Platinum Club

 

The information contained in this blog is believed to be reliable and while every effort is made to assure that the information is as accurate as possible, the author of this blog, and its comments disclaim any implied warranty or representation about it's accuracy, completeness or appropriateness for any particular purpose. All information is copywritten and the property of Greg Nino.  

Comments(20)

Donne Knudsen
Los Angeles & Ventura Counties in CA - Simi Valley, CA
CalState Realty Services

GMan - I'm just going to add one more if you don't mind.  Don't call me up asking for a pre-approval letter and then get pissed off at me when I tell you that the only contact that I have had with your clients was one 15 minute phone conversation two weeks ago.  And when I tell you that I haven't heard from them since even though I have left two messages for them and sent two emails providing them with the info that they asked for. 

It's not my fault you were the moron who chose to put those people in your car and drive them around showing properties for the past two weeks.  SNAP!

May 12, 2010 05:30 AM
Donne Knudsen
Los Angeles & Ventura Counties in CA - Simi Valley, CA
CalState Realty Services

P.S. - If I don't verify my borrowers tax returns are you going to come over and spank me too?  LOL  :) 

May 12, 2010 05:32 AM
Team Honeycutt
Allen Tate - Concord, NC

As a realtor how do you verify tax returns? I can't imagine not following up on an offer for several days.

May 12, 2010 06:39 AM
Jeanna Martinez
RE/MAX Access - Schertz, TX

Greg - these are some GREAT points!  I am actually on the opposite end right now, I submitted an offer on Saturday and CAN NOT get a hold of the agent to even confirm she received it!  (3 emails and 5 messages so far) uggggghhhh! 

On another note...the handwritten offer and crap put in special provisions are two of my biggest pet peves!! :-)

Thanks for making me smile!

May 12, 2010 06:44 AM
Donne Knudsen
Los Angeles & Ventura Counties in CA - Simi Valley, CA
CalState Realty Services

The Realtor doesn't verify the tax returns, the MLO does that when they order a 4506T report (SOP for pre-approving borrowers).  The Realtor verifies with the MLO that this has been done.

May 12, 2010 06:49 AM
William J. Archambault, Jr.
The Real Estate Investment Institute - Houston, TX

Greg,

What symbolism!

What insight!

I know it's Freudian, but it's magnificence!

What a great lesson in failed professionalism!

If the offer isn't right the first time, Greg will be "executing your offer."

We've all seen TLW executing an offer with a shotgun!

We've all had offers killed by being hung up in the listing office.

We've all had offers nit-picked to death.

We've all had offers die from neglect.

We've all had offers that arrived in terminal condition.

What I want to know is what's your preferred method of execution?

Bill

May 12, 2010 07:08 AM
Robert The Earl of Real Estate
St Pete LUXE Living Group - Saint Petersburg, FL
The Earl of Real Estate

So well put - this is very good checklist for potential purchasers and their agents.  And your explanation will ensure that the next 12 offers you get will be hand written. :-)

May 12, 2010 07:17 AM
Paul C. Wilkinson
CENTURY 21 Preferred - Menifee, CA
GRI, REALTOR -Menifee, Murrieta, Temecula - (951)

Greg -  How bout.......  "I just showed your listing and my clients really liked it so we are going to be sending you an offer!"   YEAH RIGHT!   I hate getting that call, and then ...NO OFFER!  And I am NOT going to call you back to find out what happened, my guess is you just wasted mine and your time with that little call.  Just send the offer, and then follow-up with a call to make sure I got it.

May 12, 2010 07:21 AM
Greg Nino
RE/MAX Compass - Houston, TX
Houston, Texas

Robert - oh you know it will!

Bill - how about one that's just drawn up correctly?

Donne - thanks for explaining that!

Jeanne - that stinks! i know the feeling.

Team Honeycutt, read Donne's explanation. :-)

May 12, 2010 07:21 AM
Angelia Garcia
Pure Realtors - Dallas, TX

I had an offer on one of my listings and the buyer's agent had not dropped off the option fee.  I reminded him that if I don't get it soon the buyer would not get an option period.  The buyer's agent just would not get it together.

May 12, 2010 07:35 AM
Craig Rutman
Helping people in transition - Cary, NC
Raleigh, Cary, Apex area Realtor

It's incredible some of the bungles that we encounter when we receive offers on our properties. Thankfully, though, we're receiving offers!

I can work through the nonsense if I have an offer. Can't do a thing without one...even if it's silly.

May 12, 2010 08:29 AM
Shirley Parks
Sands Realty 210-414-0966 - San Antonio, TX
Broker, 210-414-0966, San Antonio TX Real Estate

If your seller accepted an offer from another buyer and my buyer lost out, don't fax me the Amendment to the other guy's offer, especially early in the morning... you woke me up with the incoming fax but I had a good laugh when I saw what it was...

May 12, 2010 08:33 AM
Betsy Schuman Dodek
Washington Fine Properties - Washington DC Area Real Estate - Potomac, MD
SearchPotomacHomes.com

I guess it doesn't take a rocket scientist to be in this business :) 

May 12, 2010 09:09 AM
J. Philip Faranda
Howard Hanna Rand Realty - Yorktown Heights, NY
Associate Broker / Office Manager

We bet agents here who submit verbal offers with no pre approval just to avoid wasting time in case the seller doesn't accept. 

Talk about self defeating. 

May 12, 2010 12:06 PM
Wendy Rulnick
Rulnick Realty, Inc. - Destin, FL
"It's Wendy... It's Sold!"

Greg - I like a lot of your points, but initialling handwritten items on the original offer is something I am not sure I agree with.  To me, initialing an area that can be handwritten OR typed, such as number of days, or perhaps an additional terms section, makes it seem as though it was a counteroffer.  The requirement is like saying if you don't type the clause at your computer, and write it at the kitchen table, you must initial it.  If that's the logic, then one must initial the typed insertion, as well.  Of course, I might be missing your point.

May 12, 2010 12:21 PM
Cliff Kavanaugh
Keller Williams Realty of Charlottesville Virginia - Charlottesville, VA
ck@kw.com - 434-466-5128 - www.CvilleHomeSearch.com

3. If you hand write your offers be prepared to work twice as hard. Everything that's hand written should be initialed. How else could you prove that I, the sellers or Santa Clause didn't write something AFTER everything was initialed and signed. Hmm? I can't here you?

Actually the original dosent need any initials because everyone has a copy of the same (proof) document.  It is only after there is a counter that everyone needs to initial.

 

May 12, 2010 12:26 PM
Greg Nino
RE/MAX Compass - Houston, TX
Houston, Texas

Cliff,

A copy? Surely you're kidding. You send me an offer and it's handwritten. We execute it. Later that same day I hand write in special provisions

Cliff Kavanaugh forefits his commission to Listing Agent - Greg Nino.

The original that you sent me is yours and you have it; that is correct. I now have what you have sent me. I simply add the above statement after it has been executed and submit it to the title company and you lose your commission.

Your argument would be that you have "the original that you scanned/faxed me." I argue that the version of what I have is what you sent me AFTER you and I had a verbal discussion to donate your commission to RE/MAX and that you must have manipulated your document once you realized you hadn't made your most recent  Buick & Boflex payments.

The SMART thing to do is type your offers. It is nearly impossible to manipulate a typed contract. The font and impression would not be the same as the promulgated froms.

 

May 12, 2010 01:42 PM
Chris Olsen
Olsen Ziegler Realty - Cleveland, OH
Broker Owner Cleveland Ohio Real Estate

Hey Greg -- Sage advice.  Your clients are lucky to have your grounded and indepth knowledge of the process, rules, etc.

May 13, 2010 10:39 AM
Nancy Larson
I am a licensed referral agent in NJ - Hutchinson Island, FL

The second bullet, I came across just recently. This Realtor was so nit picking, I was ready to jump down her throat. Oh please, stop treating me as you do your children. I am not your child and if I was, I would surely have run away from home by now.

May 15, 2010 09:20 AM
Robin Rogers
Robin Rogers, Silverbridge Realty, San Antonio, Texas - San Antonio, TX
CRS, TRC, MRP - Real Estate Investment Adviser

Hi, Greg:

Here's what I've been seeing typed into the Special Provisions on a third of the offers I get these days:

This contract is contingent upon lender's appraised value being equal to or greater than the sales price or the buyer may terminate this contract and the earnest money will be returned to the buyer.

Wasn't that already covered on the very first page under the financing paragraph 4A and referenced again in the financing addendum?

It drives me crazy!

Cheers,

Robin

May 16, 2010 10:25 AM