Something about this crazy market is bringing out all the crazy people. I could write a book on the stories I've amassed just over the past year. I suppose people will try to find opportunity where they believe it exists. I've decided to set a few things straight as it pertains to working with me.
You MUST have a real estate license to be entitled to commission. I received a call last night from a gentleman who lives next door to one of my listings. He said he has a co-worker that he is going to "make" buy my listing. A realtor that I know very well lives just across the street from my listing. He told me that he has always used this realtor, but she has moved now and her home is vacant and he has nobody else to call but me. Since he cannot use her to handle the transaction, he is going to "broker" it himself and I can just pay HIM half my commission. Seriously?!? Ummm.....no. You must have a real estate license to earn commission. While I appreciate you introducing me to the buyer, unless you have a license placed with another broker, I CANNOT legally pay you commission. Next!
Can you show us some homes...but we prefer to handle the transaction through the listing agent. I seriously had one of these calls. The buyers seriously got angry when I refused to show them homes. I asked why they thought they needed to work only with the listing agents. They were forthright enough to tell me that they intended to ask the agent to reduce their commission by half and get a better deal. My answer? No. Not no, but h*ll no. You really think I am going to take time out of my busy day to show you 20 homes knowing full well that you do not intend to use me? What's even funnier, do you really think you're going to be saving money by going through the listing agent? Let me explain this from a listing agent's point of view. If you want to write an offer on one of my listings, and I actually do agree to lower my commission....whose pocket should that go in? Yours or the sellers? If my seller knows I'm throwing money to you, how do you think they will feel about that? So go ahead and tour listings of homes for sale, but you can avoid mine. If I reduce my commission, I'm not ashamed to say that money will go to my seller. They respected my services enough to retain me first. Next!
The double closing...aka FRAUD. An agent in my area contacted me recently to let me know that she had an investor who would write an offer on one of my short sales. The terms of the offer would be as follows:
1. The offer will be very low.
2. I must get permission from the owner to allow this agent to take over the negotiations of the short sale.
3. I must withdraw my listing immediately.
4. I must obtain permission from my seller to allow this agent to relist the property at a higher price.
She would negotiate with the lender to accept a very low price for the home. She will then procure another offer from another buyer at the higher listing price. Both transactions would close the same day. I will still be paid my full commission on the original listing.
In other words, you are going to CONVINCE the bank that property is only worth "X". All the while, you're marketing and securing offers much higher. How do you think the bank will feel about that when they find out? This is called talking out of both sides of your mouth and the reason that realtors have such a poor reputation. I don't choose to participate in perpetuating the poor image you are creating. There is a term in the legal field called FRAUD. Don't believe me? Go ahead...find out for yourself. :) But you can stop calling me about my short sales. It's simply not going to happen. Next!
I have been blessed to have a wonderful year in real estate in spite of the market. There are good, true, honest people who need to buy or sell and actually respect and appreciate my services. My time and energy will be spent on them.
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