What's your kickback story?

By
Services for Real Estate Pros with HappyGrasshopper.com

I read Kathleen Daniels' post yesterday and it really got me thinking about kickbacks.  She describes being asked for $2,500 to "close the deal".  As ugly as that is, she is willing to pay to keep her short sale sellers out of foreclosure, but it gets worse.  The real rub comes when the lender asks her to break the law by paying it out of escrow!!

This makes my blood boil, so I can only imagine how Kathleen must feel.  But she's not alone, right?  Please help the AR community by sharing your kickback stories and how you deal with them.

 

Comments (4)

Kathy Denworth
Century 21 Schwartz Realty - Islamorada, FL
Realtor in the Florida Keys, Islamorada, Key Largo

That is pretty much what Powerlink is. They take 1.5% of the commission and kick it back to somebody. I am not sure who gets it, but I know it wasn't me or the other Realtor.

Apr 07, 2011 03:07 AM
Irina Riley
American Dream Colorado - Woodland Park, CO
GRI, SFR, CNE, e-PRO, SRES

It's so unfortunate that some Lenders do that. I admire Kathleen's kindness to pitch in for her Seller, but there is no reason to risk her license.

Apr 07, 2011 03:08 AM
Linda Papallo
Century 21 Access America Licensed in CT - Wethersfield, CT
860 221-8600, Your Wethersfield CT Realtor SFR, CDPE

Dan,

Excellent suggsestion  to have AR members share these stories. Unbelievable they asked her to do that. And to keep it off the HUD too. I recently heard of an excellent letter to Wells Fargo from an agent that was asked to reduce her commission. It was posted on Short Sale Super Stars.

Apr 07, 2011 03:16 AM
Dan Stewart
HappyGrasshopper.com - Safety Harbor, FL
Happy Grasshopper

Thanks for the comments!  I'm hoping that we can generate some best practices.

@Kathy - I googled Powerlink, but nothing seemed to match.  Do you have a url?

@Irina - Clearly, Kathleen has a big heart.  It's just wrong for them to ask her to break the law.

@Linda - I'll look for the letter, if anyone has the link please post it for others.

Apr 07, 2011 03:35 AM