How Does a Seller "Reward" an Excellent Offer ?

By
Real Estate Agent with EXP Realty 414-525-0563 57026-90 Broker

  In an extreme Sellers Market...lots of things are different on both sides of the transaction.  Sellers realize...or should...they have a great opportunity to get what in some markets is the very highest and best price that the area has seen in a long,long time.  The house is very carefully analyzed hopefully by "experienced eyes". Everything from light bulbs to leaking window panes, dripping faucets, new  paint, fresh landscaping is a detail considered and repaired, replaced, etc. The listing agent is aware of what items are on a condition report....if there are obvious issues...like a leaking window that is foggy rather than clear...and the Sellers elect not to repair/replace it...it must be disclosed. It is the fair, honest and ethical thing for both agents and Sellers to do in the business of real estate.  To find out after
an inspection that a Seller has no intention of replacing or repairing items that they were  or should have been aware of that are reflected in items of magnifying glassdeferred maintenance....is no way to for any Seller to behave.....OR for agents to allow it...if the "oversights" were truly "over-sighted" and less experienced eyes did not notice them. When called to the Listing agents and Sellers attention...choosing not to repair/replace what was neglected on a condition report sets an understandably and could have been avoided  sour tone for the entire transaction. Agents are not expected to be foundation specialists...roofing experts...but they do have an obligation to point out areas of concern...AND to be aware of what those areas might be in any home. It may not be pleasant to give Sellers a "heads up" about maintenance issues...BUT...as they say..."it IS part of the job" and keeps the listing on an honest and even keel with both sides appreciating the efforts of the other.

      Buyers go out of their way to accomodate Sellers in every way possible...writing their highest and well financed offers...sometimes excluding appraisals ...foregoing inspections...choosing the closing date that the Seller wanted or being flexible about moving day...allowing Sellers to rent back for little or no money, etc, etc. etc.

   The market is soooo tight in many areas...the all intrusive door knocking has become an appeal by agents to "entice" homeowners to list with them.   We always put ourselves on the other side of the door...IF I were going to list my house...would I wait until someone knocked on our door ? Probably not.

    Buyers have a right to believe as stated earlier that Sellers and their agents will abide by the ethical standard of disclosure...and also repair/replace items found by a a licensed home inspector. Ooops...expect and receive are apparently not the same thing. Ethics and reality tossed aside...the word from Agents with less experience is ..."golly, gee whiz....the Sellers had all kinds of offers...some that didn't even have inspections...here is a little discount...they "knew" that had they chosen another Buyer with No inspection no repairs would be necessary." Hmmmm...was the price the same...were ALL the conditions of the offer the same ?  Guessing not...Money talks, sings and dances.

    Sellers AND listing agents...do what is honorable and ethical...picking a random number without knowing costs of repairs. When an inspector/agent tells you that  you have an obligation to disclose items you knew..or should have known as a responsible homeowner ...were "defective" ...to ignore or refuse to correct it...is not professional, moral, honorable and not the way you would want yourself characterized is it ?  Is Morality worth sacrificing for Money ? Hmmmm

       This has been an ethical guideline post brought to you by Sally K. & David L.Hanson, Broker Associates with EXP Realty, LLC honored to be ethically of service for all things real estate in southeastern Wisconsin.

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Sally K. & David L. Hanson, ABR, CDPE, CSS, e-Pro,ILHM, REDS


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Rainmaker
3,200,405
Wayne Martin
Wayne M Martin - Chicago, IL
Real Estate Broker - Retired

Good morning Sally. What one should do and what some, sometimes do may be juxtaposed. Enjoy your day 

Jun 24, 2019 04:10 AM #1
Rainmaker
4,907,685
Barbara Todaro
RE/MAX Executive Realty - Franklin, MA
Marketing Agent for The Todaro Team

Good morning, Sally K. & David L. Hanson (sally).....listing agents have an ethical obligation to guide the seller properly.... on our first visit to the home we make note and ask questions specific to repairs.....our second visit is when we discuss price and what needs to be done prior to listing.... we want it all done....  our closings run smoothly because all of the initial problems were resolved before the home hit the market and the final walk through is hassle free.... 

Jun 24, 2019 04:19 AM #2
Rainmaker
3,211,302
Sally K. & David L. Hanson
EXP Realty 414-525-0563 - Brookfield, WI
WI Realtors - Luxury - Divorce

Exactly right Barbara Todaro ....the very BIG real estate....Ethical ...Moral rule is the duty to disclose.....and if you do not...it's on you Mr, Ms, Seller...and the agent who did not explain that to the Sellers.

Jun 24, 2019 04:28 AM #3
Rainmaker
3,140,727
Lawrence "Larry" & Sheila Agranoff. Cell: 631-805-4400
The Top Team @ Charles Rutenberg Realty 255 Executive Dr, Plainview NY 11803 - Plainview, NY
Long Island Home and Condo Specialists

Sally and David, Seems that some sellers are not guided properly by their listing agent. ETHICAL is the magic word!

Jun 24, 2019 05:17 AM #4
Rainmaker
614,839
Carla Freund
Keller Williams Preferred Realty - Raleigh, NC
Raleigh - Cary Triangle Real Estate 919-602-8489

Good Morning Sally & David, As a listing agent we do discuss potential repairs, etc. However, our contract states the house is being sold "as is". Buyers can get an inspection and request repairs. Sellers are not obligated to make the repair. If they know about them up front, they can choose not to disclose. If it is a material fact and the agent should know, they cannot choose not to disclose.

Jun 24, 2019 05:17 AM #5
Rainmaker
3,211,302
Sally K. & David L. Hanson
EXP Realty 414-525-0563 - Brookfield, WI
WI Realtors - Luxury - Divorce

How different one state is to another...Wisconsin Sellers are obligated to disclose EVERYTHING...up front....the repair...is another issue..."as is" is seldom the case here unless it is upside down or sometimes an estate Carla Freund 

Jun 24, 2019 05:29 AM #6
Rainmaker
2,958,155
Scott Godzyk
Godzyk Real Estate Services - Manchester, NH
One of Manchester NH's Leading Agents

When i list a home, i like to first go over how the home selling pricess will work form start to finish, then ask lots of questions to be able to head off any future issues. We have to disclose anything here in NH as well. Many sellers are enticed by high asking prices and end up with lots of stress and issues becuase the rest of thr service is lacking. It is why i write so much to try to reach sellers to do it right from the start

Jun 24, 2019 05:53 AM #7
Rainmaker
2,434,768
Richie Alan Naggar
people first...then business Ran Right Realty - Riverside, CA
agent & author

Forming a cohesive team is essential to setting up a result...A good agent can do

Jun 24, 2019 07:19 AM #8
Rainmaker
2,478,894
Brian England
Arizona Focus Realty - Gilbert, AZ
MBA, GRI, REALTOR® Real Estate in East Valley AZ

Sellers would definitely be wise to have their home in tip top shape, so the buyers will fight over who gets to purchase it.  I have seen in seller markets where the sellers just assume that since it is a sellers market, they can get top dollar without having to get their home in top dollar shape.

Jun 24, 2019 07:56 AM #9
Ambassador
3,803,748
Kathy Streib
Room Service Home Staging - Delray Beach, FL
Home Stager - Palm Beach County,FL -561-914-6224

Hi Sally and David-what it all boils down to is that sellers owe it to their investment they have in their property to hire the very best and ethical agent that they can find. 

Jun 24, 2019 01:16 PM #10
Rainmaker
3,211,302
Sally K. & David L. Hanson
EXP Realty 414-525-0563 - Brookfield, WI
WI Realtors - Luxury - Divorce

Agreed Aunt Kathy Streib sometimes other relationships get in the way of best...

Jun 24, 2019 01:30 PM #11
Rainer
296,835
AndreaBFerreira CRS - SRS - CLHMS
Keyes Co. - Davie, FL
Miami Dade, Broward and Palm Beach County in FL

So many agent that I know could benefit from this post. Well said. Thank you for sharing

Jun 25, 2019 03:08 AM #12
Rainer
507,309
Sham Reddy CRS
H E R Realty, Dayton, OH - Dayton, OH
CRS

Great points made, thanks for sharing!

When an inspector/agent tells you that  you have an obligation to disclose items you knew..or should have known as a responsible homeowner ...were "defective" ...to ignore or refuse to correct it...is not professional, moral, honorable and not the way you would want yourself characterized is it?

Jun 25, 2019 04:16 AM #13
Ambassador
3,937,288
Jeff Dowler, CRS
Solutions Real Estate - Carlsbad, CA
The Southern California Relocation Dude

Hi Sally and David:

Full and complete disclosure is a key responsibility of sellers here and of course we, as listing agents, have a duty to disclose what we know as well. Our contract also states that properties are sold As Is unless otherwise agreed upon in writing. Buyers can request repairs but this is subject to negotiation.

Jeff

Jun 25, 2019 07:36 AM #14
Rainmaker
3,211,302
Sally K. & David L. Hanson
EXP Realty 414-525-0563 - Brookfield, WI
WI Realtors - Luxury - Divorce

Unlike lots of states Jeff Dowler, CRS  in Wisconsin a property is not "as is" unless it says it is...it isn't a default. Agents not experienced as listing agents and without training don't understand that pointing out "issues" that need repair is a part of their job...sooo afraid of "offending" the Sellers or not getting the listing.

Jun 25, 2019 07:58 AM #15
Rainmaker
699,501
Richard Bazinet /MBA, CRS, ABR
West USA Realty - Scottsdale, AZ
Phoenix Scottsdale. Sellers, Buyers & Relocations

Great post with the reality of the business. A pro agent worth his/her salt would tutor and encourage his/her client to do the right thing.

Jun 26, 2019 05:56 AM #16
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Rainmaker
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Sally K. & David L. Hanson

WI Realtors - Luxury - Divorce
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