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Sending Listings Does Not Procure the Cause - Who's Due the Commission With Multiple Online Agents

By
Real Estate Agent with Virtual Properties - Atlanta Real Estate 255736

Procurring Cause ConfusionAs competition increases online for the potential buyer's attention it also increases the number of situations that warrant some tough questions.

I had a client the other day ask me if another agent e-mailed her a listing, did that mean she would have to use the agent.  While states differ on Agency and procurring cause, I can answer that one with a simple no, especially if that's all the agent was doing.

I e-mail listings to people in a 10,000 person database.  If I was due a commission for every person in there, I would have retired a long time ago.

Georgia is a procurring cause state and commission issues are resolved the agent that can prove they procurred the sale to the buyer.  More than any other evidence, SHOWINGS, are what the courts/arbitors typically rely on as the single most important thing.  More important than a Buyer Brokerage/Agency Agreement.

So how do you keep your potential clients in your pipeline and not someone else's?  Well I'm all ears for suggestions, but I've had some success with a drip campaign aimed at educating buyers.  The trouble is getting people to read it!

With the increase of sites like Trulia and the agent unfriendly Zillow, consumers THINK they are doing the job of the Realtor.  In reality, finding the home was NEVER my job.  Getting my clients the best deal and the smoothest closing was.  Once we as Realtors were are more akin to sports agents (ala Contract Advisors) then car salespeople we'll be taking a step in the right direction.  

The problem for now is educating the potential clients on what we do and differientiating ourselves from others agents.

Your thoughts on this are welcome!

Drew Riley
Spa Realty, Inc Team Riley - Hot Springs, AR
Great angle on this.  I use a drip system also, and still feel like I'm losing some....but one thing I've learned is staying in contact i.e. picking up the phone, is crutial to staying in their mind.  Emails work, but often go overlooked or get buried and forgotten.  Being unique and percieved as vital to the role of finding a home helps too!c
Oct 09, 2007 06:21 AM
Bill Gillhespy
16 Sunview Blvd - Fort Myers Beach, FL
Fort Myers Beach Realtor, Fort Myers Beach Agent - Homes & Condos
Joshua,  Interesting post and I loke the premise that we are more than a way to find a house.
Oct 09, 2007 06:26 AM
Maria Couto
RE/MAX Premier - Berkeley Heights, NJ
Realtor with "Results That "MOVE" You'
Good post. This just happened in my office. An agent sent out a e-mail with listing info. Buyer then called agent in my office and asked to see it. Contract was signed with my office agent. Original agent who sent 1st e-mail said she had procuring cause. To shorten story, my office agent got full commission. It takes a lot more that just sending out one e-mail. Shame on other agent for even trying.
Oct 09, 2007 06:29 AM
Joshua Jarvis
Virtual Properties - Atlanta Real Estate - Duluth, GA
Moving Families Forward.

Drew - Thanks! It takes more than just emails to get clients into the pipeline these days.

Bill - I've always thought that.  What do you have to offer outside of MLS access?  That's what matters today and for the future.

Maria - Takes more than one e-mail or series of e-mails.  Hey, it happens to me all the time.  I even get calls from agents asking me about listings that aren't mine because their buyer is on my website.  It's what we have to deal with.  I'm sure there are some states out there that will make an issue of this, but it seems pretty clear that just sending a home online doesn't warrant getting paid.

Oct 09, 2007 06:36 AM
John MacArthur
Century 21 Redwood - Washington, DC
Licensed Maryland/DC Realtor, Metro DC Homes

Joshua - Excellent post my friend. You are correct. Procuring cause requires that you actually assist in the selection of the home. If email is the only thing that led to the sale, I suppose you would have a case for that. The most important thing you said was...."In reality, finding the home was NEVER my job.  Getting my clients the best deal and the smoothest closing was. "

The skill is in the professional sheparding the offer through the minefield that exists between your client and closing.

Oct 09, 2007 06:37 AM
Eva Armstrong
Environmental Visions - Tallahassee, FL
Environmental Visions

Joshua - interesting article, thanks for the clarification.  I haven't run into this situation yet - but it's only a matter of time.

 

Oct 09, 2007 06:39 AM
Joshua Jarvis
Virtual Properties - Atlanta Real Estate - Duluth, GA
Moving Families Forward.

John - That's an awesome line:

The skill is in the professional sheparding the offer through the minefield that exists between your client and closing.

Do I need to quote you on that or can I just take off with that.  Great one!

Oct 09, 2007 06:40 AM