Hey Agent, Give Me Your Commission And We Have A Deal!

Your story makes me sick! I would say I can't believe that someone would do that, but I have seen my fair share of unbelievable stories too. Good tip for everyone to check a HUD before you give anything away!

Hello Doug,

this is a sore topic for me.. I have been asked couple of times now to give half of my commission to my sellers. And this agers me. They have no idea how much work we are putting into all of it.

Once I just replyed: "Sorry, my commission will be hardly enough to cover up my therapy bill." I hope they got it.

 

Doug, I like Tiffany's comment in 34: 'Your story makes me sick'.  You handled it very professionally doing two "seller's net sheets".  I too have learned lessons the hard way. We all do.  You learned a lesson and you're a better Realtor for it.  Like Carla in #16, the custom in Silicon Valley is to get a Preliminary Report when we first list the property.  It shows all recorded liens.  But I know customs vary and some states don't even have title reports.

It is a hard lesson to learn for sure.  I have sometimes worked for free, but it was always for a good reason.  Someone that lost their job and was forced to move and lose money.  Or a divorce situation where the house sold extremely quickly...I felt guilty on that one!  I know now that I should never feel guilty for their situation.  I deserve every dime sometimes, especially when being in the middle of a bitter divorce and trying to stay impartial.

I had a deal (transaction) which the seller would not close escrow unless he got $10,000 more for his property, while we were in escrow--- I represented the buyer which was doing a 1031 Exchange, (we were in the up leg of the 1031) this was when the market was hot, hot, hot and unfortunately for the buyer this seller pull this maneuver 10 days before closing, if the buyer did not close would have costed this buyer a great deal of money,  in tax consequences so the buyer capitulated ---also, the seller would not allow commission's to be  increase to either agent. Sometimes when you are between a rock and a hard place ----its hard.

I've never had a client ask me to cut my commission but most of my recent sales are from people who have been in their homes for many years and not upside down on their homes.

Hi Doug, people will lie. I always ask if there are second mortgages, liens, etc. I can also check our counties public records for any outstanding monies owed. I was only asked once and it never transpired. I have helped people by giving them a break on commission but that was my choice. There are some that will try and tak advantage of us. Thank goodness most do not.

Lesson learned, always check the HUD. Second remember Karma will happen to this person. Put good or bad vibes out into this world then see it return 10 folds. :)

Good evening Doug..

What an excellent lesson especially to young Realtors.  Before making any contribution, do your homework Make sure you check the HUD

Doug - I want to see the prelim early on to make sure there are no surprises along those lines.

This is so true. I often have to remind people that agents are NOT principles to the transaction.

truly agree with your: 'contribute with coution'!

Well, sometimes you must glue the deal, but each situation requires a very careful consideration( Especially with investors).

Good advice. It does make you wonder how people justify lying.  I guess their moral compass is broken.

Doug - This is how we make our living and we work very hard.  Lesson learned.

Those people doing cons like that make me sick.  WHy do people think we earn boatloads of money, or do little to earn our commissions?

doug, Represented the buyer in a short sale. The listing agent advised at the start that a second had been discharged in a prior BK and was just not properly recorded. While we were awaiting the confirming documentation for this second, the first agreed with the offer and all moved ahead quickly except the confirmation of the 2nd being settled.

Long story made shorter... the listing agent advised that the second actually had NOT been discharged and asked for us to share from our commission. Feeling I wanted to help my buyer, I was tempted but my broker said no deal. That was to help the Listing agent understand..... Come to find out, that had been aone by the listing agent before. We closed with our commission intact.

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We had a regular sale closing last week where the seller "forgot" about his 3rd mortgage...(he had some tragedy in his family, so everyone understood). 

Seller came to closing with $54,000 of his own money(he went and borrowed it)...and he never asked anyone for a commission cut.  (I would have refused to cut my commission anyway)

He was a class act...

Great words of wisdom to view the HUD before agreeing to anything.  You'll never know the whole story until you see it in writing. 

Doug, I'm sorry you had to learn the hard way. As a rule of thumb, I always review HUD before the client. I've had Buyers ask me to give them half of my commission as they heard other agents do..I REFUSE!! Yes, some went to other Realtors, so be it!

I've never cut my commission to help out a broke Seller. Some may think it's cruel but it's my policy.