Do You "Have" a Listing if You Don't Have a SIGNED Listing Agreement?

she had nothing....if the seller wants to pay her for nothing, let them. You did everything correct, no signed contract to list, no listing.....at least here in Michigan. If it isn't written down, in real estate, it never happened.

Nice scoop Michael. You did nothing wrong and everything right!

She should have gotten an Exclusive Listing signed to protect while the house was getting "ready". You were called by your friend. You did everything right. The agent is just pissted you got it done and she lost a quick sale. I love agents who say they have a house when they don't have paperwork. Don't be fooled...no signed paperwork, no listing representation. The seller could agree with you and shake your hand, then sign with someone else the next hour. Get your papers signed or take a chance.

She took a chance, she lost.

Have a good deal and sleep well.

First and foremost you did nothing wrong. 

Second, to the agent or two who said to be careful with this one...why?  Nothing was done incorrectly.

Third, for the agent who said that listing agreements can be verbal, not in the State of Virginia.

I agree with much of what Andy said about trying to obtain the listing.  However, I don't believe the "listing" agent had a listing since nothing was signed.

Seems to me that when the agent said the house wasn't "ready" she really meant that her listing wasn't signed yet. Perhaps it was in the mail.

I think she was afraid you'd sell it before she had a part in it - which you did. But didn't you say they rejected the offer because that agent promised to get them a higher price? That sounds kind of sleazy too. She can't KNOW that she'll get them a higher price. That was just a way to knock you out of her way.

I hope your buyers hang around... and end up with the house eventually!

As many have said you have done nothing wrong.

Sorry the sale didn't go through.  I think in addition to everything else said here I would of tried the "Hail Mary" pass at the end of the game.

1)  Since the home is listed as a FSBO and no listing agreement signed then I assume you were negotiating directly with the owners.  I would of put together a net sheet for them.  I have two figures for my on my sheet on where they will net with just my commission.  The other side shows a listing one as well.  To further reinforce the point show them the potential holding costs including.

2)  Suggest to them, since there is no listing agreement signed that they include a clause that The Listing Agent will purchase the home for xxx price within 30 days of the listing.  I'm certain that they will agree because they are certain that they can sell it fast and sell it for more.

I'm also making sure I get my Brokers sign off before I pursue this strategy.  I always try a hail mary when the deal is falling apart and a lot of times it works.

First, I'm a little surprised that you posted this as a public read and allowed it to be reblogged.  Regardless of whatever we think, as readers, local courts and attorneys may think different.  Public posting of the details may have as many issues as the issue at hand itself.  My opinion.

Second, to me, there's a BIG gray area as to whether it's an ethics violation or not (don't know your state laws, but I see nothing legally wrong, again, my opinion only).  Your only contact, per your post, to the property is a mother-in-law, who may or may not have had legal permission to show the house.  Did you actually have ANY contact with the actual seller prior to entering the home/making an offer?  Clearly, you did know before entering that a) they had spoken with another Realtor, and b) that they intended to list with them.  To me, that could possibly be seen as interfering with a contract, an ethics violation.

Third, if the listing agent recommended to this seller to reject the offer because they could get a "higher price, and possibly a bidding war" if they listed and they didn't, I also see potentially major ethics violations there, not only interfering with a contract (again) but also out and out lying (another ethics violation).  legally...that depends on state's laws.

my thoughts and opinions.

No listing agreement, no listing.   You were perfectly in order by going directly to the seller. The seller may regret that decision, as the first offer is USUALLY your best offer!

Roger (#76) has highlighted several potential problem areas. The owner apparently indcated that they were hiring the listing agent by the indication that the listing document was to be signed by Wednesday or Thursday. It seems the mother was trying to use you to by-pass the owner's intention to hire the listing agent and get a buyer in before the doc's were signed. I would have worked with the other agent knowing that a listing was imminent. It appears you had no contact with the actual owner.

That is bad, the seller didn't list with you to begin with... so, has this caused any strain in the relationship? You did the right thing, since you did't really know they were going with another agent until you had the buyer to show. As long as she didn't have a written contract, she had no listing. Chances are, had you made a sale, she would've probably been cut out of it, and you'd have an angry fellow agent, as well as an accusation of taking her client. Not a place you want to be in.

Hello Michael! The other Agent can complain all they want. You did the right thing. You were looking out for your clients best interest and that of the Homeowner as well. No listing existed since the Agent did not have anything in writing. Furthermore, the other Agents actions were unethical by mis-representing their relationship with the homeowner.