With a Realtor like this...

Real Estate Agent with Realty Executives of Mid Missouri

who needs enemys? I pride myself on going the extra mile for my clients.  I know that my future business is dependent on the job I'm currently doing for each client, and I truly want the best for them.  I get paid for my industry knowledge and my ability to protect their interests.  If you don't feel that way as a Realtor, then I believe you chose the wrong profession.

I'm writing about something that happened to an acquaintance of mine, let's call him Joe.  He chose Realtor Jane to list his home with.  The home was financed by the original seller, we'll call him Jack.  Realtor Jane is a close friend of Seller Joe, and the niece of Financer Jack.  And Realtor Jane's broker is her mother.  Nice and cozy. 

Well, the house sells quickly.  The inspection negotiations go smoothly, and within a few weeks, it's time to close...or maybe not?  A few days before closing, and problems begin.  First, Realtor Jane asked Seller Joe if the new buyers could move their belongings into the house 2 days before closing.  Seller Joe said he still had some stuff to move, but would probably have it out by the next day.  So, he didn't really say no, but he didn't say yes.  When Seller Joe is driving up to his house the next day, people are in the process of moving in!  He was surprised to say the least.  Even if there was a misunderstanding of giving the new buyers permission to move in, Realtor Jane should have at least put something in writing for Seller Joe's protection, right?  Didn't happen. 

At this time, Seller Joe realized that the new buyers are also related to Realtor Jane and Financer Jack.  The buyers' relationship with the Realtor should have been disclosed in the sales contract, right?  Didn't happen.  And now, to make matters even worse, the appraisal didn't come back until the day before the scheduled closing and came back $5000 under the sales price.  The buyers don't want to pay more than the appraised value (who would?), and the seller doesn't want to sell for less than the contract price.  By the way, there was not an appraisal contingency in the contract (state of Missouri has a specific rider for this).  But now the buyers have moved in.  And how, exactly, did the buyers get into the house?  They were apparently let in by the broker! 

This is when Seller Joe called me to ask what his options were (by now he realized he wasn't getting the best advice from his agent).  So I asked about terms of his sales contract, and he tells me that he was never given a copy of it.  I asked if maybe he'd just misplaced it during the move, but he said, again, that he never received a copy of anything pertaining to the sale of his home, not even the listing agreement.  So many red flags are going off that it has become one big red blur.

I know that agents who have been in the business for any length of time have heard many stories like this-stories of agents who are unethical, incompetent, and extremely manipulative.  But sometimes I find myself asking, "What were these people thinking?"  The agent who thinks it's OK to do business like this, and the seller for not better protecting himself.  He needed an agent to watch out for his best interest and instead got an agent who was watching out for everyone else's. 

Comments (4)

Ryan Hukill - Edmond
ShowMeOKC Real Estate Pros of KW Elite - Edmond, OK
Realtor, Team Lead
Wow, just another story to validate why we're here and what we're supposed to be doing for our clients. Thanks for sharing. I store these stories up for just the right time when you get that prospective client asking why they can't just do everything on their own. There are so many complexities involved that onlookers just don't foresee. Nice post.
Apr 15, 2007 06:21 AM
Sandra Cummings
William Raveis Real Estate - Guilford, CT
Real Estate Agent, Guilford Connecticut

My advice to Joe would be to contact a real estate attorney to find out what his options are here, especially since he doesn't appear to have representation by his real estate company.  I sure a quick phone call from the attorney will produce the required copies of the listing and sales agreements.


Apr 15, 2007 06:25 AM
Jen Walker
Realty Executives of Mid Missouri - Jefferson City, MO
Jefferson City, MO Real Estate

Ryan--My sentiments exactly!  Many people just don't understand all the things that can go wrong during the transaction.

Sandra--He did receive a copy of his contract and the deal is still going through.  He is, however, going to report his agent to the local Board.

Apr 15, 2007 07:02 AM
Christina Williams. REALTOR® TN property search & local insights
First Realty Company - Crossville, TN
Great Blog. I can use this information.
Apr 15, 2007 07:19 AM