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Suuurrrrrrrrrrrrprise! I already have a REALTOR(r).

Phone rings. I answer. Conversation follows.

Prospect: Has your home at 2323 Acme Street sold?

Me: Not yet, but it's been getting a lot of activity and won't last long.

Prospect: Well , I would like to see it today if possible.

Me: Great, are you renting now?

Prospect: Well, I really am looking for my sister who will not be able to see it today, but she wanted me to preview it.

Me: Is your sister working with a real estate agent?

Prospect: Oh, no.

Me: Great, let's meet at the home around 4:30 this afternoon.

Prospect: See you then.

Fast forward several hours. Prospect shows up and says fortunately her sister can make the showing and is on the way. Sister shows up.

Sister: I absolutely love this home. What's the best you can do on the price?

Me: This home is already priced $10,000 below the home next door, which just sold - and this one has new carpet and paint.

Sister: Do you think the seller would help with closing costs?

Me: I'm sure he would be willing to look at it. If you are buying the home directly from me, my seller will pay at least $2000 towards closing costs. I don't collect a full 6% when I sell the home, so the seller is saving money.

Sister: Did I tell you that I'm an agent, er, or used to be.

Me: That's interesting.

Sister: Well, I don't have an active license but I guess I'm working with a REALTOR(r), such and such who works at so, and so.

Me: With that information, I will need you to get in touch with your agent ASAP and let her work this deal out with me.

TWO HOURS LATER...RING, RING. Todd, this is agent so-and-so, and I have a contract for you from the person you showed your listing to today.

Brokers need to teach their agents the proper way to work with clients. In almost every case where this has happened, it involved the same agency.

Should I call the broker about this?

Posted by Todd Murphy on 08/07/2007 05:17 AM

Comments (16)

do you have an agent, working with an invisible agent

16 Comments on Suuurrrrrrrrrrrrprise! I already have a REALTOR(r).

AUG

2007

Todd, you have a few options. First of all, unless procurring cause has changed, you might argue that you are the procurring cause of the sale and not pay them a commission at closing (though it would end up at the Board). I have not had much success at calling the other broker, they just want the sale. Good luck.

Get the property sold. Close. Make your client happy.

Shake the mud off your shoes. Move on to the next deal.

I mean, isn't it better when people like this do NOT put you into dual agency?

Todd ~ something like this happened to me and I had showed the same property 3 times and then a agent showed it and wrote and offer. I also asked 3 times if they were working with an agent and they said "no" as well. My broker had me write down time, date and comments of showing and then called the agent to inform that agent that they would not be getting a full commission. It never did close because we didn't like the offer, but It was a surprise to me none the less.

The fact about your little story that makes my blood boil is the fact that the "sister" used to be an agent and should have known the proper why to work with an agent. PERIOD!

The fact that she "used to be one" gives her no bargaining power in my mind. When my seller found out that this happened. They wouldn't budge on price or anything.

The toughest part here is that to remember are you working in the best interest of the seller? If it is a good offer for the seller then that is the first issue, the commission is broker to broker at that point. If that agent did not show the house to her/them than who is really has procuring cause?

I would like to know how this turns out, keep posting! AR is here for you!

Thanks, Joe, Mike, and Charlene. I'm just going to get the deal closed. The offer should be here this morning. If it's not full asking price, it will not be accepted. I have far too much activity on this property to just give it away.

Oh, you're just better off doing your best to get an acceptable deal between buyer and seller, and going on down the road to the next deal.

We've all had it happen to us more than once, so if it helps any at all, you are far from being alone.

The cost of becoming known as a contentious agent is far greater than the loss of this part of the commission or that you were horribly treated.

Bill, you are absolutely right. I'm not going to throw stones, I can tell you that. Hey, I'll grumble all the way to the bank, okay?

Todd- Sometimes I just can't believe how people can just lie. I usually try to get a buyers agreement before I even let them into the home. Just like mike said just get it sold fir the seller and move on to the next.

We've all heard it said, "Buyers are liars," so it's not surprising.

I would be MAD at first. Then I would have a talk with myself about taking the high road. Next, I would graciously present the offer and concentrate on making my client happy.

Always take the high road. Always be gracious. Always be kind. You'll be remembered as the better person.

(I wish I had learned this earlier in life.)

Todd

In the future you may want to show them the Transaction Brokers Notice BEFORE shwing them the house. That will reduce the possibility this will happen again. By not having an agreement prior to the showing it is a risk they will go elsewhere to have the offer written.

"Me: If you are buying the home directly from me, my seller will pay at least $2000 towards closing costs. I don't collect a full 6% when I sell the home, so the seller is saving money."

Suggestion- Had you stopped here:

"I'm sure he would be willing to look at it."

You might not have opened the door for them to go elsewhere.

I would have said:

" Let's write the offer now, and ask the seller for $2000 towards closing"

I am sorry it happened to you.

Great advice, Alllison. Thanks!

Many of our listings locally now carry a tag to the effect of "If we show this property to your client, the selling commission will be 0.5%" or some other low number.

The problem with letting it go (my first inclination) is that the agents that like to parachute in at the last minute, also like to drop out as soon as the contract is signed. I end up doing everything else the selling agent is supposed to do. I even had one that TOLD HER CLIENT TO CALL ME if he needed anything.

I'm becoming more of a hard-liner on this.

Lane, I actually thought about charging a fee when I show a home and another real estate agent writes the offer. I think that's a great idea.

It is our office policy to meet at the office and obtain a signed Agency Disclosure form & pre-approval letter before showing property. Sure, this makes the prossesss take longer, and it is not fool proof, but it does lessen the probabilty of problems occuring.

AUG

2007

As a listing agent, I realize that at any point an unrepresented buyer could obtain the services of a buyer agent, which is fine. I have a property I showed three times to an unrepresented buyer from a foreign country. I explained the laws of agency to her and she eventually decided to get a buyer's agent. She's now making an offer on my listing. The important thing is to sell the listing. In fact, I LIKE to show the listing. I know I do a better job than the buyer's agent will of pointing out the features and really SELLING it! Give me an "unrepresented buyer" any day for the first showing, then let them come back with their "buyer's agent".

AUG

2007

I have to agree with Charlene. The Sister should have known. Sounds a little fishy to me, like they were trying to work you over. But you can't let that get to you. Remember it is not your choice whether or not to accept their offer. It's your clients choice. Good luck!

AUG

2007

Thanks, Bonny. The good news is the my seller's home is getting sold.

You are correct, Gail.

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