Debe Maxwell, CRS, Charlotte Homes for Sale - Charlotte Neighborhoods (www.iCharlotteHomes.com | The Maxwell House Group | RE/MAX Executive | (704) 491-3310)

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Rainmaker
852,483
Thomas J. Nelson, Realtor, ePRO, CRS, RCS-D
Big Block Realty 858.232.8722 - La Jolla, CA
& Host of Postcards From Success Podcast

I see the best in people and the scum of the Earth in this business. Thank God more good than bad; but some "people" just need a short walk in the woods with a click click boom.

May 14, 2018 08:09 PM
Rainmaker
598,590
Candice A. Donofrio
Next Wave RE Investments LLC Bullhead City AZ Commercial RE Broker - Fort Mohave, AZ
928-201-4BHC (4242) call/text

OMG, WAIT. Seriously? Did you see the details of the story?
The buyers were so unqualified they had to have credit repair done before they could even qualify. 3 months is not long enough for that.
So the sellers allowed unqualified buyers not only to get under contract but to prepossess? Why didn't they get a huge down payment or deposit?
But that's even beside the point. Why were these buyers allowed to get under contract in the first place?
"The information was not made available to them"? Of course it's available. Why wasn't it known?
Yeah, they caused damage.
But this was all so preventable.
To answer:
Both Brokers get turned upside down to see how deep the pockets are. Buyer's broker because I don't know how CO is, but AZ they have to disclose anything material that would impede the sale. Lombardo v Albu 2000.
Seller's broker should have protected seller from making that dumb choice. Attorneys should have been involved.

May 14, 2018 08:08 PM
Ambassador
2,754,410
Debe Maxwell, CRS
www.iCharlotteHomes.com | The Maxwell House Group | RE/MAX Executive | (704) 491-3310 - Charlotte, NC
Charlotte Homes for Sale - Charlotte Neighborhoods

Disgusting, I know...

Encouraging sellers to do a buyer possession before Closing is like going to Vegas! 

May 14, 2018 07:45 PM
Rainmaker
1,424,681
Lyn Sims
RE/MAX Suburban - Schaumburg, IL
Schaumburg IL Real Estate

Just another great reason for no possession before you close. I had a scam situation like this last year & seller & I decided that once you got the buyers in the house, how to get them out? We watched as they trashed a house down the street & 3 months later did not close. They were eventually evicted. The sellers agent on the other property called to ask me what I thought & I told him to leave the buyers at the curb. There is something going on & the buyers agent is in on it.

We eventually closed with someone else. Dodged a bullet that is for sure.

May 15, 2018 05:30 AM
Ambassador
2,192,122
Fred Griffin
Fred Griffin Real Estate - Tallahassee, FL
Licensed Florida Real Estate Broker

   I hope those Realtors had atttorneys draft the sales contract and the lease.  Everyone is going to get dragged into that lawsuit, including the lender and the brokers.

May 14, 2018 09:22 PM
Rainmaker
2,586,960
Nina Hollander
Coldwell Banker Residential Brokerage | Charlotte, NC - Charlotte, NC
Your Charlotte/Ballantyne/Waxhaw/Fort Mill Realtor

I think anyone they can find who had a hand or even a pinky involvement in this will be caught up in a law suit.

May 15, 2018 06:46 AM
Ambassador
3,589,232
Bob Crane
Woodland Management Service / Woodland Real Estate, Keller Williams fox cities - Stevens Point, WI
Forestland Experts! 715-204-9671

Wow, some folks should be looking for a barn rather than a house.

May 14, 2018 08:21 PM
Rainmaker
2,747,175
Scott Godzyk
Godzyk Real Estate Services - Manchester, NH
One of Manchester NH's Leading Agents

Most likely as the listing agent should have done a lot of things different. First personally contacted the loan officer for a full write up and explanation of the pre qual. I would have insisted on a pre approval. NEXT a very large non refundable deposit. LASTLY, I would have insisted on a tenants insurance policy. I would also make sure I told my seller to get insurance for landlords. 

May 15, 2018 05:21 AM
Rainmaker
2,470,344
John Pusa
Berkshire Hathaway Home Services Crest - Glendale, CA
Your All Time Realtor With Exceptional Service

Debe Maxwell, CRS strange things happen everywhere.

May 14, 2018 08:46 PM
Rainmaker
2,972,458
Michael Jacobs
Coldwell Banker Residential Brokerage - Pasadena, CA
Los Angeles Pasadena Area Real Estate 818.516.4393

Watch the evening news(anytime/any day I imagine) and you'll discover all sorts of things.

May 14, 2018 07:56 PM
Rainmaker
4,472,442
Barbara Todaro
RE/MAX Executive Realty - Franklin, MA
"Franklin MA Homes"

in my opinion, every rental has the potential of being a "crap shoot" and a "shit show".... no pun intended....

May 15, 2018 08:13 AM
Rainmaker
2,650,928
Kathleen Daniels
KD Realty - 408.972.1822 - San Jose, CA
San Jose Homes for Sale-Probate & Trust Specialist

Oh yes ... and the realtor who claims it is the lender's role to approve the loan ... that might be true however .... the Realtors job is to get the fact of the loan and "vet" the buyers.  This is WHY buyers on my listings are asked to be vetted by my lending partner.  

Yes, there will be more than one lawsuit on this one.  Realtors/brokerages prepare to ante up on this one!

May 15, 2018 07:56 AM
Rainmaker
639,564
Richard Bazinet /MBA, CRS, ABR
AZuRE Team - Realty ONE Group - Scottsdale, AZ
Phoenix Scottsdale. Sellers, Buyers & Relocations

OMG, I just can't believe it.... what in the name of *** is wrong with people?????

My heart goes out to the young couple. OMG, yes, sue the buyer, sue the buyer-agent, sue the listing agent too (I'll say why later), sue the lender, sue the brokerages... hell, sue the insurance company (ies).

Pre-occupancy agreements are a danger-zone to start with and how agents write the contracts. It takes experience and skill. The best answer is always 'no', no pre-occupancy agreement - they are fraught with danger.

In this case, I see pure negligence. Negligence especially from the listing agent. Negligence from negotiating the contract in its entirety, conducting due diligence on the lender affidavits, the buyer's background research, follow-up, their ability to buy a home, and writing a stinky lousy pre-occupancy agreement.

Sue the buyer-agent for bringing a lousy buyer without doing an appropriate background check of it's own buyer. What do you know about your client?  Sue the buyer.... go for not only damages, also for emotional distress....

May 15, 2018 06:47 AM
Rainmaker
2,988,621
Tony and Suzanne Marriott, Associate Brokers
BVO Luxury Group @ Keller Williams Arizona Realty - Scottsdale, AZ
Serving Scottsdale, Phoenix and Maricopa County AZ

Probably - although chance of recovery is slim...

May 15, 2018 05:30 AM
Rainmaker
725,242
Anthony Acosta - ALLATLANTACONDOS.COM
Harry Norman, REALTORS® - Atlanta, GA
Associate Broker

That's horrible 

May 15, 2018 02:20 PM
Rainmaker
2,588,074
Richard Weeks
Dallas, TX
REALTOR®, Broker

Very sad.

May 15, 2018 08:52 AM
Rainmaker
901,343
Kevin J. May
Florida Supreme Realty - Hobe Sound, FL
Serving the Treasure & Paradise Coasts of Florida

A preapproval with a clause to attend a class to improve your credit score should have been the 1st red flag. I hope these agents aren't the ones  who've "graduated" from a Utah real estate school. Everybody's getting sued!

May 15, 2018 06:47 AM
Rainmaker
441,137
Peter Testa
Nationwide Homes - Danbury, CT
PETER TESTA

There's a lot of people out there that will suck others dry given the chance. While there are many responsible renters there are always a few bad apples. These folks got mixed up with the wrong people. I see the biggest mistake made here was not running the buyer's credit or ignoring the results; the writing was on the wall.  None the less the sellers only recourse now is to sue for damages. Unfortunately the kind of people that do this kind of stuff also ignore the court judgement & rarely to ever pay up.  

May 15, 2018 06:08 AM
Rainmaker
4,480,693
Gabe Sanders
Real Estate of Florida specializing in Martin County Residential Homes, Condos and Land Sales - Stuart, FL
Stuart Florida Real Estate

If they can catch these slime balls.

May 15, 2018 05:37 AM
Rainmaker
545,036
Gloria Valvasori, Accredited Senior Agent
BETTER HOMES AND GARDENS REAL ESTATE SIGNATURE SERVICE - Mississauga, ON
REAL Experience | REAL Commitment | REAL Results!

Both agents should be accountable... for different reasons... It is required that any information relevant to the sale is to be disclosed... I see two agents in "deep doo doo" here.

May 15, 2018 05:19 AM
Rainmaker
2,819,390
Wayne Martin
Wayne M Martin - Chicago, IL
Real Estate Broker - Retired

You can sue, but from the facts it appears you can't squeezw blood out of a turnip! The Realtors dropped the ball but unlikely to face legal liability. The seller is screwed and rent to buy just took a hard blow!

May 15, 2018 05:06 AM
Rainmaker
681,777
Annette Lawrence , Palm Harbor, FL 727-420-4041
ReMax Realtec Group - Palm Harbor, FL
Making FLORIDA Real Estate EZ

When the charlaton and the predator meet each ohter,......It is the thing of which "I can't believe that!" movies are made.

 

May 15, 2018 04:49 AM
Rainmaker
1,178,837
Raymond E. Camp
Howard Hanna Real Estate Services - Ontario, NY
Licensed Real Estate Salesperson Greater Rochester

It will be a money maker for the attorneys and a pain in the arse for the others!

May 15, 2018 04:43 AM
Rainmaker
1,238,945
Kat Palmiotti
Grand Lux Realty, Monroe NY, 914-419-0270, kat@thehousekat.com - Monroe, NY
The House Kat

More than one party is going to be sued.

What a horrible situation. Wow. 

May 15, 2018 03:23 AM
Rainmaker
484,775
Dan Tabit
Keller Williams Bellevue - Sammamish, WA

Everyone will get sued, but since the buyers are broke, they won't be hurt much. The agents will be put through hell and the lender will say, "they didn't do what they were told."  All I can say is what a mess, literally.

May 14, 2018 11:46 PM
Rainmaker
1,397,412
Inna Ivchenko
Barcode Properties - Encino, CA
Realtor® • Green • GRI • HAFA • PSC Calabasas CA

Well, looks like they all ''found each other'' for this deal.

May 14, 2018 11:00 PM
Ambassador
4,217,267
Praful Thakkar
LAER Realty Partners - Andover, MA
Andover, MA: Andover Luxury Homes For Sale

Debe Maxwell, CRS - very sad story!

I just don't know how to proceed legally on this.

May 14, 2018 10:16 PM
Rainmaker
3,916,168
Ron and Alexandra Seigel
Napa Consultants - Carpinteria, CA
Luxury Real Estate Branding, Marketing & Strategy

Debe,

We are on the same page as Michael Jacobs.  We don't watch the evening, morning or any other news feeds.  We have the Reuters feed, from which most news are gleaned...A

May 14, 2018 10:07 PM
Rainmaker
888,415
Sam Shueh
(408) 425-1601 - San Jose, CA
mba, cdpe, reopro, pe

I would think so....

May 14, 2018 09:06 PM
Ambassador
3,695,358
Jeff Dowler, CRS
Solutions Real Estate - Carlsbad, CA
The Southern California Relocation Dude

Ugh, what an awful story.

May 14, 2018 08:09 PM
Rainmaker
3,742,823
William Feela
WHISPERING PINES REALTY - North Branch, MN
Realtor, Whispering Pines Realty 651-674-5999 No.

They could but there is no solid resaon always to be sued

May 16, 2018 08:27 PM
Rainmaker
1,470,639
Gary L. Waters Broker Associate, Bucci Realty
Bucci Realty, Inc. - Melbourne, FL
Fifteen Years Experience in Brevard County

Really crappy... someone's E&O premiums will be going up!

May 16, 2018 10:19 AM
Ambassador
3,868,970
Debbie Reynolds
Platinum Properties - Clarksville, TN
Your Dedicated Clarksville TN Real Estate Agent

I am sure there is an attorney somewhere chasing them down to encourage a lawsuit. That is disgusting behavior and has no place in business. 

May 15, 2018 07:53 PM
Rainmaker
216,269
Lesley Wilson-VanGoethem
Innovative Realty Solutions Group - Winter Springs, FL
Residential Real Estate Broker Associate

WOW,,,,,,,,,,,,,,,,,,,,,,,, looks like a  lot of balls were dropped..
One more reason to NOT to preoccupancy ...

Sad...

May 15, 2018 04:06 PM
Rainmaker
362,661
PropertyMinder (AccelerAgent)
PropertyMinder, Inc. - San Jose, CA
Modern Tools for the Modern Agent

!!! (I rarely allow emoticons/emojis to speak for me - but I have no words for this). - Tim

May 15, 2018 03:53 PM
Rainer
195,290
Caroline Gerardo
Eagle Home Mortgage, LENNAR HOMES Home Loans - Newport Beach, CA
C. G. Barbeau the Loan Lady

 I looked up the house. New tract sold for $349100 with no yard 2/2015. Still has no yard. $450000 was a huge gain. Listing agent gave the Fisch couple BAD advice to allow buyer possession for three months for an unknown reason. The buyer could file BK, die, divorce, lose job... a terrible decision. The Fisch couple is partly to blame. Did they get landlord insurance- no they kept their owner-occupied policy so they aren't covered. They didn't get a large nonrefundable deposit and started a war with the young buyers. Lawsuit coming but buyer probably has nothing. The Fisch couple have a Go fund me account which might recoup a little. Best advice to them is to hurry and clean it up, patch the drywall with a Home Depot kit, paint, and new carpet. Then get it back on market with a better agent.

May 15, 2018 02:13 PM
Rainmaker
1,456,773
Sandy Padula and Norm Padula, JD, GRI
Realty National - Carlsbad, CA
Presence, Persistence & Perseverance

A civil suit needs to be filed against all parties on the other side. Realtors, mortgage broker, mortgage company, and most importantly the buyers. Seems like most attorneys will be glad to assist on this one. The sad thing is even if a judgment is issued against the buyers, they most likely don't have a pot to piss in. Therefore the final court judgment I would seek would be one determining all defending parties to be jointly and severably liable, but damages will be most likely apportioned according to the percentage of liability and involvement.

May 15, 2018 11:49 AM
Rainmaker
478,444
AJ Heidmann ~ CRS
McEnearney Associates, Inc. - Alexandria, VA
YOUR Alexandria & Arlington, VA Real Estate Expert

Debe ~ I hate, hate, hate pre-settlement occupancy and this case proves it.  I am sure that several E & O policies will ultimately be tapped because of what happened.  And it is just gross!

May 15, 2018 10:01 AM
Rainer
85,757
Jon K. Judd
Keller Williams Realty - Central Delaware - Dover, DE
GRI, e-PRO, SFR, Delaware Homes

I see a possible potential for more than 1 being sued, to include the "buyers", and possibly both agents (and brokers)... Of course anyone can sue anybody for anything... but it's up to the courts to weed it out...  

I feel sorry for the people who owned the home.  

May 15, 2018 09:49 AM
Rainmaker
4,810,801
Roy Kelley
Realty Group Referrals - Gaithersburg, MD
Roy and Dolores Kelley Photographs

Wow. Thanks for the link.

May 15, 2018 08:53 AM
Rainmaker
4,186,213
Gita Bantwal
RE/MAX Centre Realtors - Warwick, PA
REALTOR,ABR,CRS,SRES,GRI - Bucks County & Philadel

Thank you for sharing 

May 15, 2018 08:07 AM
Rainmaker
3,700,923
Joan Cox
Metro Brokers - House to Home, Inc. - Denver Real Estate - 720-231-6373 - Denver, CO
Denver Real Estate - Selling One Home at a Time

Wow, I did not hear about this one.  We have another HUGE deal happening in Denver right now.   Over 300 homes were sold as a regular sale, when they are in an affordable housing section.  The City is trying to figure out what to do, and will be interesting to see what happens.    Two REALTORS have already been served.

May 17, 2018 09:08 AM