I’ve just come from my realtors office. My house has been for sale for one week. I’m using a company that charges a flat fee for selling houses. There would be additional charges if an “outside” realtor were used.
A lady (we never met her, all contact was via realtors) came to look at our house and fell in love with it. She used an outside realtor. When we went to review the contract, we discovered that she was requesting 6000 dollars toward closing costs, in addition to 5000 dollars for her realtors fees. We were not willing to pay both fees and neither was she, so we relayed that info to our realtor. The potential buyer insisted that we pay closing costs or realtor fees and would not budge. We told her that she had chosen to use an outside realtor, it incurred extra fees, which were not our responsibility. She wasn’t willing to do this, so the contract was nullified.
The next day, we get a call from another realtor (not an outside realtor) who said he wanted to show our house to someone. After the house was shown to the 2nd lady, we got a phone call saying she offered a full contract, and that she’d pay the closing costs. (there are no fees since the realtor is an “inside” realtor).
This morning, when I showed up at my realtors office, I discovered that the contract is signed by the SAME lady!! I feel that by going behind her realtors back to avoid fees is extremely dishonest. My realtor agrees, but says that she can do it since the first contract was voided, the second contract is perfectly legal.
Part of me says to says to decline this offer based on the moral issue. But part of me wants to sell my house and according to my realtor it IS legal.
I don’t see what’s wrong with this. She loved/wanted your house, and she did what was in the bounds of the law to get it. Going with her realtor would have cost her and/or you unnecessary fees. This way, it doesn’t, and you both win.
I’m not sure that that what the buyer did not violate her contract with her “outside” realtor, but that’s the buyer’s problem, not the seller’s. I suspect that buyer’s outside realtor will be able to obtain a commission from buyer if buyer buys a house that the outsiderealtor originally showed buyer.
*Not that this is your problem, but the buyer can be in a lot of trouble for this. If the first Realtor finds out that the same lady bought this house through a new Realtor, she can sue this buyer for her commission.
The first Realtor was the ‘procuring cause’ in the transaction and therefore, is owed a commission if her buyer buys this property.
Again, not really your problem, but if the first Realtor finds out about this before this woman closes on your house and she sues this buyer for the commission, it could hold up the closing or even kill the deal completely if the buyer is not willing to pay said commission.*
I am not a real estate agent, but my brother is, and I was also good friends with the real estate agent who helped me buy my house (not by brother).
My real estate agent made me sign a special set of papers that made it crystal clear that if I bought a house she showed me, without her knowing, she was entitled to the commission.
My brother told me that in the case of one real estate agent showing the house of another real estate agent, they generally split the commission.
But I agree…it is not your problem and for Og’s sake, why do you care in that the person buying your house obviously wants it so badly. Sell! Let them deal with the problems and lawsuits later amongst themselves!
