Any realtors out there? Ethics ?

[Hillbeans]

My friend had just started looking to buy a house a few weeks ago. She had been referred to a realtor by another friend. This realtor was alright, but showed her things she didn't really like (ie, she had wanted a basement, he kept showing her places w.o a basment, showed her houses out of the price range, etc).

I think she went out with him 2 times to about 6 places.

Last week, she found a house that was just going on the market through someone who works with a family member. She got in the house the day before it was listed and made an offer which was accepted. The 1st realtor gentleman was away on vacation, came back, and ripped into her about how unprofessional that was to switch realtors mid-stream and he's going to call the other realtor and ask for a "cut".

I don't think she "broke the law" per se, however is it general practice to use one realtor even if they've proven to not really listen to what you're looking for? Ultimately, my friend who bought the house did 90% of the work anyways.

 

[The Mystery Machine]

If I am not mistaken she would have needed to sign something concrete with the realtor in order for him/her to have a "cut". Normally it is for a "X" length of time.

If she did that then I suppose the realtor will get paid.

 

[mickeyfan1]

If your friend signed an agreement with realtor number one, then he is going to get a cut of the commish. If she didn't, he is going to make a bad name for himself. As far as his unprofessional statement, I think he is the one acting that way. Unless she buys houses for a living.............. And that comment leads me to believe that she has no signed contract with him.

I signed an agreement with my agent to represent me as a buyer. She hasn't done anything except get me into the houses I wanted to see. I did all the research on line and had my list ready. She just made the appointments. She will still get a percentage of the price I am paying for my new home. Whether she "does" anything or not. As I did all the work, I think she owes me a cut, but I doubt that will happen, either.

 

[Kimberle]

No, she didn't "break the law" (at least in the state in which I live).

We absolutly hated our realtor. We fought cats & dogs with her. She tried to "box" us into a standard format, and no way were we going to agree.

I actually used another one as well, who I liked much better.

Unfortunantly, the 2nd home nasty realtor showed us was the one we wanted to buy (and did). Nothing nice realtor showed us even came close.

In CT the first realtor who shows you a home is entitled to his/her commission on the sale.

But you can bet I'll NEVER use nasty realtor again!!! Plus, I have told all my home buying friends to stay far away from her!!! She was truely out solely to line her own pockets!!!

 

[kasar]

We have a family-owned real estate company and you'd be surprised how common this is (either intentional or because people really don't understand how the real estate commission system works). Unless your friend was working with the agent as a buyer-agent, she is under no obligation to let him in on the commission. If he had showed her this house first, then yes. It's common courtesy if you're working with a realtor to go through them when you find a house that you think you'll like, especially if you've been working with them for a while and you're happy with their service. In my opinion, she should have told the realtor that she was unhappy with him and that she was moving on to another realtor or looking at houses by herself. That way he would have known that he isn't entitled to any commission. Since she bought a house when he was on vacation, it does seem that she was going behind his back (whether that's true or not) and he should have known ahead of time, avoiding all this confusion.

 

[DebºoºS]

Nope she did not break any laws and doesn't owe him a dime. The broker that gets her in the door over the threshold with a valid offer gets the agreed amount of comission. He knows it or should. If she didn't use a broker to view the property then she doesn't owe anyone anything. Even if he told her about it and she went to look at it without his knowing she wouldn't have to pay him.

 

[preshi]

We've had that happe a few times here, the only time someone got paid was when the previous agent showed the person the house and then they went out and bought THE SAME HOME with another agent.

I've personally never heard of having a contract with an agent you are buying with only listing with.

I don't think the other agent will get anything.

 

[Hillbeans]

I really had no idea how "ruthless" this business of real estate can be. I guess the moral of the story is to get something signed in writing.

 

[missypie]

Real estate brokers cut each other in to an unbelievable degree. Many (most?) of such arrangements are not legaly enforceable, but it happens all the time to grease the wheels of future deals, for professional courtesy, whatever. Once, on a large commerical transaction, my client paid a commission to a broker and we had a pretty strong suspicion that some way or another he was going to share his commission with another broker who was in prison for a real estate related crime. We had no control over what the broker did with his commission once it was paid to him (and we DIDN'T WANT TO KNOW.)

 

[DebºoºS]

I used to sell real estate and believe it or not most agents and their brokers are honest. You hear a lot about the creeps.
In NY and NJ people use more than one agent all the time. They hop around with different agents. The one that shows the house first and gets the deal signed gets the $$.
We don't have buyers agents in NJ. Getting it in writing wouldn't have mattered. Your friend acted in good faith. This guy is sour grapes because he lost a client whilst vacationing. Too bad for him.

 

[Talking Hands]

Unless she signed a contract with the agent for him to act as buyers agent for her she has every right to go to whatever realtor she wants. She is not bound to that realtor at all. TEll him to take a hike and leave her alone. If another realtor called my husband or I demanding a cut we would laugh at him unless he was the one to show her that specific house (procuring clause)

 

[kasar]

Just an FYI: Unless the agent has a buyer-broker WRITTEN agreement, all parties are working on behalf of the seller - working in their best interest. Even if you are working with a broker, looking at different listings, he is still supposed to be working for the seller (i.e., can't give you certain information regarding the home or their reason for selling) since the sellers are the ones paying the commission. That is most common around here, buyer-brokers are rare since you pretty much get the same service without paying for it.

 

[jipsy]

First, your friend really shouldn't care if he gets a "cut" from the other realtor or not, as the commission comes out of the seller's pocket, not your friend's.

UNLESS, your friend signed a buyer's agent agreement. Then she would owe him commission on anything HE SHOWED her. However, if she buys a house he didn't show to her, she owes him nothing.