- Find a Real Estate Professional
- Realtors®
- Mortgage Lenders
- Home Improvement Pros
- Other Real Estate Services
- Review an Agent, Lender or Pro
- Marketing on Zillow
- Real Estate Agent Advertising
- Join the Professional Directory
- Popular
- Real Estate Market Reports
- More
Best Answer
- Dan, "the_country_hick"
- Contributions:4700
Heather, I am looking for a house and acreage in several states. There is one realtor in one area I would use. I saw them in person 2 years ago. There is no written agreement between us. If something comes up in his area I give him a call. He knows what I am looking for and can help me to assess a property 1,000 miles away.
A written agreement will not change anything if both are willing to work with each other. Actually, a realtor needs to explain to a buyer just WHY they need to work with only one agent and not several. Once explained if the fit is right the buyer just could stay with you until such time as they either end up buying a house or give up on the whole idea.
A written agreement will not change anything if both are willing to work with each other. Actually, a realtor needs to explain to a buyer just WHY they need to work with only one agent and not several. Once explained if the fit is right the buyer just could stay with you until such time as they either end up buying a house or give up on the whole idea.
- Cindy Quinton, "Cindy Quinton"
- Contributions:1332
I am just trying to figure out if I am missing something here. Obviously, you can't expect a client to sign a BA when you first meet. But after you have a bit of time (a few hours) invested why wouldn't you ask for a commitment. Wouldn't you rather know a person was committed to using your serves (the ones you actually profit from) BEFORE you invest a lot of time in them? At that point you can address their concerns and either choose to continue TRYING to earn their business or cut your time suck and move on...
- Mack McCoy
- Contributions:1118
Blub, I appreciate your concern about the one-day show-a-thon. As a practical matter, that really rarely happens, and when it does, agents would probably say, "Well, it was only one day wasted." When it happens after showing eighty houses over twelve Saturdays, that's a bit different.
While I understand that buyers would prefer to keep their options open, there's also the question of whether it's reasonable to expect a professional to represent you in an agency relationship without your commitment to them as that agent. "Yes, I would like you to act as my agent, and show me around town educating me about the neighborhoods and the considerations that affect value locally - but be wary because I might elect to have some other agent write me up and collect the fee."
While I understand that buyers would prefer to keep their options open, there's also the question of whether it's reasonable to expect a professional to represent you in an agency relationship without your commitment to them as that agent. "Yes, I would like you to act as my agent, and show me around town educating me about the neighborhoods and the considerations that affect value locally - but be wary because I might elect to have some other agent write me up and collect the fee."
- Caveat Emptor
- Contributions:500
What people don't understand, is that if you don't like an agent that you saw a property with, rather than just go find another agent to write the offer, you can go to the agents broker and be assigned an agent that fits your needs better. That way, the first agent isn't completely cut out.
Its a solution, but if I went to the broker, i would expect him to be overly apologetic and polite and be motivated to keep my business. often-times this isnt the case and he is just as laissez faire about the whole thing as anyone else, again because of the EBA.
if a I ran a car dealership and someone came into my office screaming or crying because of one of my agents, do you really think that the issue would be as simple as assigning a different one to my account? but once I sign that contract with his agent, guess what happens?
__________________________
Scenario 1
well, we don't exactly know what happened up to that point in terms of time invested, etc but going just on what you said here, I'd say the listing agent did the most work. In fact, if all transactions went as smoothly as that, there would be no need for buyer agency at all.
of course, you contend that even though the BA was too busy to return his client's phonecalls that eventually led to the purchase of a house with-out any involvement from his side, he still deserves 5,000 dollars because he "signed" a client who wasn't experienced with the process? personally, this is what I'm referring to as "preposterous."
If your point was that the hardest part of selling the home excluding everything that comes after the first offer is the showing it, my answer is still the same. showing a home requires no more technical expertise than being in the home while the buyer looks around. thats not what BAs are paid for.
___________________
Scenario 2,
Cousin Jhonny didn't "steal" the listing, this sort of thing happens in sales. you deal with it. it doesn't happen frequently. On average buyers aren't motivated to milk an agent for all they are worth and then throw them aside and jump in with another "untested" agent or even solo because Listing agreements pre-include payment for a BA and if the buyer doesn't have an agent, it goes to the listing agent.
Its a solution, but if I went to the broker, i would expect him to be overly apologetic and polite and be motivated to keep my business. often-times this isnt the case and he is just as laissez faire about the whole thing as anyone else, again because of the EBA.
if a I ran a car dealership and someone came into my office screaming or crying because of one of my agents, do you really think that the issue would be as simple as assigning a different one to my account? but once I sign that contract with his agent, guess what happens?
__________________________
Scenario 1
well, we don't exactly know what happened up to that point in terms of time invested, etc but going just on what you said here, I'd say the listing agent did the most work. In fact, if all transactions went as smoothly as that, there would be no need for buyer agency at all.
of course, you contend that even though the BA was too busy to return his client's phonecalls that eventually led to the purchase of a house with-out any involvement from his side, he still deserves 5,000 dollars because he "signed" a client who wasn't experienced with the process? personally, this is what I'm referring to as "preposterous."
If your point was that the hardest part of selling the home excluding everything that comes after the first offer is the showing it, my answer is still the same. showing a home requires no more technical expertise than being in the home while the buyer looks around. thats not what BAs are paid for.
___________________
Scenario 2,
Cousin Jhonny didn't "steal" the listing, this sort of thing happens in sales. you deal with it. it doesn't happen frequently. On average buyers aren't motivated to milk an agent for all they are worth and then throw them aside and jump in with another "untested" agent or even solo because Listing agreements pre-include payment for a BA and if the buyer doesn't have an agent, it goes to the listing agent.
- blub blub blub
- Contributions:145
I think we are talking about different things here. Let me try this:
1, A buyer calls a listing agent about one of his listings. Says he has an agent but wants to see the house and his agent is busy. Listing agent shows the house.
Now the buyer calls the listing agent to discuss the house and details about writing an offer. Listing agent say he needs to talk to his agent about this, but the buyer says his agent is busy right now.
Later an offer comes in and deal gets done. Which agent did more work?
2. Agent takes out a couple and shows them houses all weekend. Spends time afterward laying the groundwork on how to move forward. Couple wants to talk it over before making a decision.
That night the couple goes to Aunt Millie's for dinner and talks about a house they found and are thinking of writing an offer. Aunt Millie tells them that cousin Johnny just received his license and wouldn't it be nice if he wrote the offer for them and so he does.
Whether you agree with the BA or not, the BA is put in place to protect agents from doing the groundwork and then getting blindsided by another agent.
I agree that a BA should not tie you to an agent for 3 months or make you work with an agent that you do not like. However, there has to be some protection for an agent otherwise other agents would be stealing clients all day long.
What people don't understand, is that if you don't like an agent that you saw a property with, rather than just go find another agent to write the offer, you can go to the agents broker and be assigned an agent that fits your needs better. That way, the first agent isn't completely cut out. Their initial time spent is worth something and this way, they would receive something from the transaction for their time spent on it.
1, A buyer calls a listing agent about one of his listings. Says he has an agent but wants to see the house and his agent is busy. Listing agent shows the house.
Now the buyer calls the listing agent to discuss the house and details about writing an offer. Listing agent say he needs to talk to his agent about this, but the buyer says his agent is busy right now.
Later an offer comes in and deal gets done. Which agent did more work?
2. Agent takes out a couple and shows them houses all weekend. Spends time afterward laying the groundwork on how to move forward. Couple wants to talk it over before making a decision.
That night the couple goes to Aunt Millie's for dinner and talks about a house they found and are thinking of writing an offer. Aunt Millie tells them that cousin Johnny just received his license and wouldn't it be nice if he wrote the offer for them and so he does.
Whether you agree with the BA or not, the BA is put in place to protect agents from doing the groundwork and then getting blindsided by another agent.
I agree that a BA should not tie you to an agent for 3 months or make you work with an agent that you do not like. However, there has to be some protection for an agent otherwise other agents would be stealing clients all day long.
What people don't understand, is that if you don't like an agent that you saw a property with, rather than just go find another agent to write the offer, you can go to the agents broker and be assigned an agent that fits your needs better. That way, the first agent isn't completely cut out. Their initial time spent is worth something and this way, they would receive something from the transaction for their time spent on it.
- Caveat Emptor
- Contributions:500
offer, escrow, contract, inspections, financing, title, closing.
time > 1 hour.
technical skill/ utility > standing in the living room
time > 1 hour.
technical skill/ utility > standing in the living room
- blub blub blub
- Contributions:145
That one showing and a little instruction time is the prelude that led to the writing of the offer. How is the agent that wrote the offer doing more work than the first agent? How so?
- Caveat Emptor
- Contributions:500
2 hours of work?!!! If that's what you think, then you have no idea what an agent does or the time they spend on a transaction.
the agent that spent time on the transaction in question got paid. the agent kicking himself for not "signing" the client has lost precisely 1 showing and a little instruction time. big deal.
Now that things are tougher those same people are dropping out like flies.
Good. the ones who are left will be the most knowledgeable, the most experienced and the ones who deserve to get paid. they will do more business because instead of there being 1 agent per 100 residents, there will be 1 agent per 1000 residents. It will be the agents who understand their responsibilities and who are accountable for the words they use unlike the ones who parrot the phases of their parent organization and paint a consistently rosy picture of a tough market. it will be the honest, trust worthy ones who are also good at closing the deal.
@ joan
I agree, its a very odd slant, but also think its useful. it shows that agents who believe in the EBA do so because they believe in a fictional order of things. they believe that their 30 minute initial meeting entitles them to a piece of my financial pie. no, their hard work and my gratitude for that work entitles them to payment.
Its funny because people like blub are referring to his not getting paid as "immoral" or as though he were "scammed" for his services. but to what end? as is so commonly pointed out on these boards, the buyer's agent is free(when a listing agreement is present). the buyer doesnt want to select one realtor to scam and another to enrich, the buyer wants to buy a house, with help. I don't believe there is a problem in the market with buyers "protecting" crummy agents by scamming good ones. if it happens once in a career, I say suck it up. if it happens multiple times a year, they aren't leaving because they "remembered" a relationship they had elsewhere, its because YOU aren't providing the value and the services they are seeking.
the agent that spent time on the transaction in question got paid. the agent kicking himself for not "signing" the client has lost precisely 1 showing and a little instruction time. big deal.
Now that things are tougher those same people are dropping out like flies.
Good. the ones who are left will be the most knowledgeable, the most experienced and the ones who deserve to get paid. they will do more business because instead of there being 1 agent per 100 residents, there will be 1 agent per 1000 residents. It will be the agents who understand their responsibilities and who are accountable for the words they use unlike the ones who parrot the phases of their parent organization and paint a consistently rosy picture of a tough market. it will be the honest, trust worthy ones who are also good at closing the deal.
@ joan
I agree, its a very odd slant, but also think its useful. it shows that agents who believe in the EBA do so because they believe in a fictional order of things. they believe that their 30 minute initial meeting entitles them to a piece of my financial pie. no, their hard work and my gratitude for that work entitles them to payment.
Its funny because people like blub are referring to his not getting paid as "immoral" or as though he were "scammed" for his services. but to what end? as is so commonly pointed out on these boards, the buyer's agent is free(when a listing agreement is present). the buyer doesnt want to select one realtor to scam and another to enrich, the buyer wants to buy a house, with help. I don't believe there is a problem in the market with buyers "protecting" crummy agents by scamming good ones. if it happens once in a career, I say suck it up. if it happens multiple times a year, they aren't leaving because they "remembered" a relationship they had elsewhere, its because YOU aren't providing the value and the services they are seeking.
- blub blub blub
- Contributions:145
I absolutely agree that a BA should only be for the work done and should be allowed to cancel at anytime without any repercussions.
However, not all buyers are loyal or honest. If they were that document wouldn't even exist. It's because some buyers don't have a problem using agents time and knowledge that it exists in the first place.
2 hours of work?!!! If that's what you think, then you have no idea what an agent does or the time they spend on a transaction.
It's funny. When things were going great, people ran out in droves to get their license because that's what they all thought. Now that things are tougher those same people are dropping out like flies.
However, not all buyers are loyal or honest. If they were that document wouldn't even exist. It's because some buyers don't have a problem using agents time and knowledge that it exists in the first place.
2 hours of work?!!! If that's what you think, then you have no idea what an agent does or the time they spend on a transaction.
It's funny. When things were going great, people ran out in droves to get their license because that's what they all thought. Now that things are tougher those same people are dropping out like flies.
- Joan Braunschweiger, "Morris County NJ"
- Contributions:1543
Yeah okay. Its so golden that I've had to give it up because I actually need a steady paycheck to support my 4 kids. Maybe if I had gone into RE years ago it would have been different but it is what it is. Again, not boo hooing but there is a huge disconnect, CRA, between what you are thinking is the average agent's reality and what is really true.
Most agents aren't bothered by one day's worth of time ending up with nothing because that happens frequently, so this odd slant to this discussion is sort of pointless anyway.
Most agents aren't bothered by one day's worth of time ending up with nothing because that happens frequently, so this odd slant to this discussion is sort of pointless anyway.
- Caveat Emptor
- Contributions:500
@ joan,
I don't have exact numbers and I don't even have a lot of my own experience but I'm pretty sure 1 day transactions are a rare event.
my point aswell.
feeling cheated because someone that you worked with for one day made an offer a week later is childish. chances are you were ditched and it wasn't because they "remembered" their uncle is an agent who is just starting out. if they end up buying a home that you showed them, using another agent, obviously there is an element of trust in that relationship that you don't have and considering the discussion we are having, I wonder why.
I think Blagojevich said it best "I've got this thing and it's f***ing golden. And I, I'm not giving it up for f***ing nothing"
I don't have exact numbers and I don't even have a lot of my own experience but I'm pretty sure 1 day transactions are a rare event.
my point aswell.
feeling cheated because someone that you worked with for one day made an offer a week later is childish. chances are you were ditched and it wasn't because they "remembered" their uncle is an agent who is just starting out. if they end up buying a home that you showed them, using another agent, obviously there is an element of trust in that relationship that you don't have and considering the discussion we are having, I wonder why.
I think Blagojevich said it best "I've got this thing and it's f***ing golden. And I, I'm not giving it up for f***ing nothing"
- Caveat Emptor
- Contributions:500
"that signed little piece of paper could equal payday!!"
yes, that signed piece of paper is gold because then you have a legal strangle-hold on your client. If I sign one and then find out that you don't care about me or your listings(or worse, your attitude changes once you have it in hand) even if I cancel my contract, I have to wait 60-90 days(also known as the rest of the season and therefore, probably a whole year) before I can buy confidently without some creepy agent trying to come after me under the premise that I owe him his commission anyway.
its wrong and unfair. the idea that the average consumer is going to organize a small syndicate of realtors if you don't have this document is preposterous. the idea that this payday is yours because you spent 2 hours with a client is ridiculous. Buyers' money is theirs, NOT yours. agents need to work for their pound of flesh, like everyone else.
yes, that signed piece of paper is gold because then you have a legal strangle-hold on your client. If I sign one and then find out that you don't care about me or your listings(or worse, your attitude changes once you have it in hand) even if I cancel my contract, I have to wait 60-90 days(also known as the rest of the season and therefore, probably a whole year) before I can buy confidently without some creepy agent trying to come after me under the premise that I owe him his commission anyway.
its wrong and unfair. the idea that the average consumer is going to organize a small syndicate of realtors if you don't have this document is preposterous. the idea that this payday is yours because you spent 2 hours with a client is ridiculous. Buyers' money is theirs, NOT yours. agents need to work for their pound of flesh, like everyone else.
- Joan Braunschweiger, "Morris County NJ"
- Contributions:1543
Oh and as a buyer's agent, there is no way I wouldn't insist on little things like inspections, title searches and there's this NJ thing called attorney review, which is a minimum of 3 business days, unless both parties agree to waive it or shorten it. That pretty much never happens.
Point being that 1 day transactions aren't feasible.
Point being that 1 day transactions aren't feasible.
- blub blub blub
- Contributions:145
Procurement is a dirty word and even the idea that you are "out" 5 grand and entitled to a commission after 1 days work is insulting
When did real estate become a charitable cause? Who goes to work and doesn't expect to get paid. What difference does it make if it took 1 showing or 10? The transaction doesn't end with that one showing.
They don't write an offer and that's it. Isn't their time and effort accountable? Why is it so wrong that they would expect to get paid for doing the job they did. Do most people go to work, put in a days work and then hand off their pay for their input and efforts to someone else?
Them expecting to get paid for their efforts is insulting? Expecting them to do it and not get paid is insulting.
When did real estate become a charitable cause? Who goes to work and doesn't expect to get paid. What difference does it make if it took 1 showing or 10? The transaction doesn't end with that one showing.
They don't write an offer and that's it. Isn't their time and effort accountable? Why is it so wrong that they would expect to get paid for doing the job they did. Do most people go to work, put in a days work and then hand off their pay for their input and efforts to someone else?
Them expecting to get paid for their efforts is insulting? Expecting them to do it and not get paid is insulting.
- Joan Braunschweiger, "Morris County NJ"
- Contributions:1543
I'm not here to defend EBAs although if done right, such as the way Rachel presented, I could see how the agent may benefit and the buyer doesn't feel trapped into a business relationship they don't want.
However, it is statement such as this: "Procurement is a dirty word and even the idea that you are "out" 5 grand and entitled to a commission after 1 days work is insulting," which makes me wonder how much even the most learned among us know about a typical RE transaction. I don't have exact numbers and I don't even have a lot of my own experience but I'm pretty sure 1 day transactions are a rare event. Most buyers require (as they should) more than one day to find a house they are willing to put an offer on and most buyers don't have a suitcase full of cash which is pretty much what would be required for a one day transaction.
Finding a house for buyers, as challenging as it may be sometimes, is often the easy part for REAs. It's all the stuff that comes between the offer and the closing that distinguishes the excellent REA from the mediocre.
- Mack McCoy
- Contributions:1118
Blub, procuring cause is an interesting issue, because the standards vary by state and MLS rules, and there's an overlay of Realtor® rules on the subject - which basically states, if you didn't write it, you didn't procure it! Or, at the very least, the Board of Realtors® isn't going to help you claim the commission!
Here in Washington, the general sense is that agents need to have buyers sign some sort of agency agreement before seeing property. It doesn't have to be exclusive, but it does need to have the buyer agree that when showing a house listed by a colleague in the same office, that the agents will represent their clients but the designated broker will be a dual agent.
AO, I think things have changed in NY; it used to be that brokers would get listings and run through their Roladexes to sell them before submitting them to one of the several MLSes in Manhattan; I don't know if that's still the case. (I think it's a touchy subject).
CRA, I'll establish my own criteria, thank you.
Here in Washington, the general sense is that agents need to have buyers sign some sort of agency agreement before seeing property. It doesn't have to be exclusive, but it does need to have the buyer agree that when showing a house listed by a colleague in the same office, that the agents will represent their clients but the designated broker will be a dual agent.
AO, I think things have changed in NY; it used to be that brokers would get listings and run through their Roladexes to sell them before submitting them to one of the several MLSes in Manhattan; I don't know if that's still the case. (I think it's a touchy subject).
CRA, I'll establish my own criteria, thank you.
- blub blub blub
- Contributions:145
If this was fishing and one "got away" that's one thing. But this is your livelihood and that signed little piece of paper could equal payday!!
- Caveat Emptor
- Contributions:500
But what happens if you spend the day with that buyer and show them a dozen houses, talk about getting pre approved, discuss how the buying process works etc. and the next day, one of the houses shows up as contingent because they bought with a friend of theirs that's just getting started and they want to be helpful or with a relative that they forgot was in the business? You are going to have a hard time proving procuring cause without any kind of buyers agreement.
You take a deep breath, dive back in and keep going and make it up with the next one.
Procurement is a dirty word and even the idea that you are "out" 5 grand and entitled to a commission after 1 days work is insulting, honestly. which is again, my problem with agency contracts in the first place.
You take a deep breath, dive back in and keep going and make it up with the next one.
Procurement is a dirty word and even the idea that you are "out" 5 grand and entitled to a commission after 1 days work is insulting, honestly. which is again, my problem with agency contracts in the first place.
- blub blub blub
- Contributions:145
That approach sounds great and hopefully the buyer wasn't a one time shot to impress and you are able to get them to sign the agreement after you have made your impression and or have been out with them a few times.
But what happens if you spend the day with that buyer and show them a dozen houses, talk about getting pre approved, discuss how the buying process works etc. and the next day, one of the houses shows up as contingent because they bought with a friend of theirs that's just getting started and they want to be helpful or with a relative that they forgot was in the business? You are going to have a hard time proving procuring cause without any kind of buyers agreement.
Can't blame agents for trying to get them to sign from the get go.
But what happens if you spend the day with that buyer and show them a dozen houses, talk about getting pre approved, discuss how the buying process works etc. and the next day, one of the houses shows up as contingent because they bought with a friend of theirs that's just getting started and they want to be helpful or with a relative that they forgot was in the business? You are going to have a hard time proving procuring cause without any kind of buyers agreement.
Can't blame agents for trying to get them to sign from the get go.
- Caveat Emptor
- Contributions:500
CRA, my ideal client respects my profession, too.
and here, I was thinking money, education and decisiveness were your only criteria. glad to hear that you are more complicated than that...of course for future reference it might be better to have personal respect rather than industry respect. such a goal would be... respectable.
and here, I was thinking money, education and decisiveness were your only criteria. glad to hear that you are more complicated than that...of course for future reference it might be better to have personal respect rather than industry respect. such a goal would be... respectable.
- Joan Braunschweiger, "Morris County NJ"
- Contributions:1543
TU Rachel.
We don't use EBAs in our office or even much in our area but that may change and if it does, I would think your approach is the best way to go about presenting it.
We don't use EBAs in our office or even much in our area but that may change and if it does, I would think your approach is the best way to go about presenting it.
I would still like to read some discussion on Mack's question regarding how to see the exclusives of another agent/brokerage if one already has an agent...
Any insight?
Any insight?
- Cindy Quinton, "Cindy Quinton"
- Contributions:1332
Thank you Rachel excellently presented, I really wish my thumbs up button was working!
- Mack McCoy
- Contributions:1118
Rachel, I think you're spot on.
Acknowledging that some people aren't going to want to sign one, part of the problem is how we establish our relationship in the first place.
If we go meet a sign-caller in front of a house with a buyer contract in hand, that's probably not going to go over too well.
If we set up a professional appointment in our office to listen to the client, find out how (and whether) we can help them, talk about the process and answer questions, we can send them home with the contract and they will bring it in, signed, to our next meeting, just about every time.
Dan, I am pleased to pique your interest.
CRA, my ideal client respects my profession, too.
Acknowledging that some people aren't going to want to sign one, part of the problem is how we establish our relationship in the first place.
If we go meet a sign-caller in front of a house with a buyer contract in hand, that's probably not going to go over too well.
If we set up a professional appointment in our office to listen to the client, find out how (and whether) we can help them, talk about the process and answer questions, we can send them home with the contract and they will bring it in, signed, to our next meeting, just about every time.
Dan, I am pleased to pique your interest.
CRA, my ideal client respects my profession, too.
- Rachel Tiller, "RachelTiller"
- Contributions:5
I believe that people don't want to sign exclusive buyer contracts because the agent didn't present it correctly. This is one way I would present it:
"Have you ever heard of an exclusive buyer's contract? I like to call this a loyalty contract. I know that you want me to be loyal to you. I also want you to be loyal to me too. This agreement shows me that you are loyal to me as your one and only buyer's agent. As your agent, my goal is to serve you. If you do not feel comfortable about signing this, then it is because I have not proven to you my loyalty. If you do not want to sign this today, that is okay. I will ask you again in a week because by then I know I will have proven my loyalty to you. Also, if at anytime you want to break this contract all you need to do is let me know. Like I said, my goal is to serve you. Let's go through the contract together and I will point out some important points..."
I know this is not perfect, but this is one of many ways to go about it. Question, would you want to sign something from someone that you didn't trust? The buyers will sign it if they trust you. Don't ask them to sign it on the first day unless you know they trust you. Would you sign a legally binding contract if you didn't read it? Go through it with them, and give them time to read over it. Tell them to bring it back next time you meet. Let them know that if they forget it that you always have an extra one on hand. Hope this helps.
"Have you ever heard of an exclusive buyer's contract? I like to call this a loyalty contract. I know that you want me to be loyal to you. I also want you to be loyal to me too. This agreement shows me that you are loyal to me as your one and only buyer's agent. As your agent, my goal is to serve you. If you do not feel comfortable about signing this, then it is because I have not proven to you my loyalty. If you do not want to sign this today, that is okay. I will ask you again in a week because by then I know I will have proven my loyalty to you. Also, if at anytime you want to break this contract all you need to do is let me know. Like I said, my goal is to serve you. Let's go through the contract together and I will point out some important points..."
I know this is not perfect, but this is one of many ways to go about it. Question, would you want to sign something from someone that you didn't trust? The buyers will sign it if they trust you. Don't ask them to sign it on the first day unless you know they trust you. Would you sign a legally binding contract if you didn't read it? Go through it with them, and give them time to read over it. Tell them to bring it back next time you meet. Let them know that if they forget it that you always have an extra one on hand. Hope this helps.
- Dan, "the_country_hick"
- Contributions:4700
Mack, if I had a 6 figure income I would have bought years ago. My income is not and was not in the 6 figure neighborhood. When I was looking the first time all of the listings were in a binder that was updated weekly. You actually had to turn paper pages to see what was for sale. I did not ask to be shown a lot of houses. I went through the binder myself. I actually saw one house for sale that I went and looked at and made an offer. I did not ask to look at any other houses. The offer I made was literally all I could afford. I did not leave any room for negotiating even $25 more.
When the bubble years came I like many others was priced out. If I could afford $5,000 more house prices went up another $8,000. That continued for many years with prices getting further and further out of reach. I watched real estate prices go far to high and kept looking for a place I could afford. I started looking with house prices well under $100k and ended up with house prices around $250k.
I got scared away from buying when I went to the bank and I was told I could get a mortgage for all but $150 a month of my income. I knew I could not afford that kind of payment. It also told me something was terribly wrong with real estate and lending to have that happen.
I have not and am not asking any realtor to show me a lot of places for sale. I might ask for a showing of 3 houses as that will probably be the most in an area that would fit what I want. if it mattered I would even drive the realtor to the house for sale. I do not need a taxi service. I do not want or need a realtor to send me daily listings. I have the net for that.
I only want and need a limited service. I can do most of the legwork myself.
There was a house locally I tried to buy from the heirs. I found out a lot of information about it. One interesting fact was the land was mostly placed into farm and open space to cut down on taxes but the road frontage was not included. That left some subdivision potential. However, that cut out acreage was not specified at the town office. The left out land was not identified so that would have to be fixed before buying the property. How many realtors would notice or look for that? The heirs could not decide to sell or keep the house. It now has gone into a bad state of disrepair. Although I gave up on it a few years ago it is my understanding that house is still in limbo. In fact even one of the heirs to it has now died. It may or may not ever be sold.
I looked at one property with nice acreage and a garage where the house had burned down. After checking at the town office I noticed there were some wetlands close to the house. The real problem was the interstate was less than 1/2 mile away and was loud. That not not mentioned in the listing. I wanted a quieter location. Do realtors look for wetland (not flood) for each property they show a client? Do realtors even look at soils maps for properties?
If I contact an agent to buy a house it will be to (gasp) actually buy a house with a specific one already in mind. To expect me to sign a contract for 6 months makes no sense. To think I am going to use a lot of your time is incorrect. I want to go in, get research done, make an offer buy and then never deal with a realtor again. I am not going for 500 miles in a car looking at properties with that agent. I am not going to be calling every day or week.
I find it interesting you would refuse to work with me when it would be a quick simple deal.
When the bubble years came I like many others was priced out. If I could afford $5,000 more house prices went up another $8,000. That continued for many years with prices getting further and further out of reach. I watched real estate prices go far to high and kept looking for a place I could afford. I started looking with house prices well under $100k and ended up with house prices around $250k.
I got scared away from buying when I went to the bank and I was told I could get a mortgage for all but $150 a month of my income. I knew I could not afford that kind of payment. It also told me something was terribly wrong with real estate and lending to have that happen.
I have not and am not asking any realtor to show me a lot of places for sale. I might ask for a showing of 3 houses as that will probably be the most in an area that would fit what I want. if it mattered I would even drive the realtor to the house for sale. I do not need a taxi service. I do not want or need a realtor to send me daily listings. I have the net for that.
I only want and need a limited service. I can do most of the legwork myself.
There was a house locally I tried to buy from the heirs. I found out a lot of information about it. One interesting fact was the land was mostly placed into farm and open space to cut down on taxes but the road frontage was not included. That left some subdivision potential. However, that cut out acreage was not specified at the town office. The left out land was not identified so that would have to be fixed before buying the property. How many realtors would notice or look for that? The heirs could not decide to sell or keep the house. It now has gone into a bad state of disrepair. Although I gave up on it a few years ago it is my understanding that house is still in limbo. In fact even one of the heirs to it has now died. It may or may not ever be sold.
I looked at one property with nice acreage and a garage where the house had burned down. After checking at the town office I noticed there were some wetlands close to the house. The real problem was the interstate was less than 1/2 mile away and was loud. That not not mentioned in the listing. I wanted a quieter location. Do realtors look for wetland (not flood) for each property they show a client? Do realtors even look at soils maps for properties?
If I contact an agent to buy a house it will be to (gasp) actually buy a house with a specific one already in mind. To expect me to sign a contract for 6 months makes no sense. To think I am going to use a lot of your time is incorrect. I want to go in, get research done, make an offer buy and then never deal with a realtor again. I am not going for 500 miles in a car looking at properties with that agent. I am not going to be calling every day or week.
I find it interesting you would refuse to work with me when it would be a quick simple deal.
- Caveat Emptor
- Contributions:500
Oh, boo f***ing hoo. You who've been a "buyer" for like ten years, need protection and support.
yes, I bought my first home at 13 and have been buying them left and right ever since...
What are you arguing for - that real estate agents should be a public utility that people buying real estate can utilize at will?
nope, merely that agents shouldn't be able to extort cooperation from uneducated buyers by using high pressure tactics, and by locking them into a contract when it isnt in their clients best interest--and it isnt always. I'm for educated buyers who are capable of playing the game and not being taken for a ride. I'm for building a system that doesn't protect the lowest common denominator in the industry, one in which good agents thrive and bad ones fall by the wayside. Contracts protect bad agents, whereas good ones will get business because they earn the trust and the respect of their clients--like cindy here. thats what I'm arguing for.
You know what, though? Many of us deal with really busy people, people who want to hire a real estate professional to handle their brokerage needs. People who don't have time for, "Oh, let's try you out for a while to see if we like you." Are you kidding me? In my market, people making six figures with advanced degrees, they make decisions fast. First meeting - we like you and we'll sign with you; we don't like you, thanks for your time. I can deal with that. These are my best clients - intelligent, educated people who can make decisions quickly.
interestingly mack, it sounds like I'm your Ideal client. go figure.
yes, I bought my first home at 13 and have been buying them left and right ever since...
What are you arguing for - that real estate agents should be a public utility that people buying real estate can utilize at will?
nope, merely that agents shouldn't be able to extort cooperation from uneducated buyers by using high pressure tactics, and by locking them into a contract when it isnt in their clients best interest--and it isnt always. I'm for educated buyers who are capable of playing the game and not being taken for a ride. I'm for building a system that doesn't protect the lowest common denominator in the industry, one in which good agents thrive and bad ones fall by the wayside. Contracts protect bad agents, whereas good ones will get business because they earn the trust and the respect of their clients--like cindy here. thats what I'm arguing for.
You know what, though? Many of us deal with really busy people, people who want to hire a real estate professional to handle their brokerage needs. People who don't have time for, "Oh, let's try you out for a while to see if we like you." Are you kidding me? In my market, people making six figures with advanced degrees, they make decisions fast. First meeting - we like you and we'll sign with you; we don't like you, thanks for your time. I can deal with that. These are my best clients - intelligent, educated people who can make decisions quickly.
interestingly mack, it sounds like I'm your Ideal client. go figure.
- Cindy Quinton, "Cindy Quinton"
- Contributions:1332
When we initially started looking for a new home, I really trully had no idea how any of it worked. I looked on Zillow and if I saw a home I wanted to see, I clicked the button.
I saw three houses with three different agents. One house really piqued my interest, but we hadn't sold our land yet. One agent piqued my interest, so I just decided to use him (not the one who showed the house we liked). he said he just couldn't in good conscience represent us on THAT house. We ended up making an offer on that house, and we signed something like a ten day agreement. We were outbid by another buyer (by a thousand dollars it seems).
The agent that we like has shown us several houses, but he's never asked us to sign an agreement...but I suppose we would have.
Is this pretty much how it is "done?" Do the norms vary greatly by markets? It just seems like all the agents I've come in contact with just casually throw it out that they'd love to be our buyer's agent. I work in sales, I generally have a signed agreement that you will use my company with in an hour of our first meeting.
I saw three houses with three different agents. One house really piqued my interest, but we hadn't sold our land yet. One agent piqued my interest, so I just decided to use him (not the one who showed the house we liked). he said he just couldn't in good conscience represent us on THAT house. We ended up making an offer on that house, and we signed something like a ten day agreement. We were outbid by another buyer (by a thousand dollars it seems).
The agent that we like has shown us several houses, but he's never asked us to sign an agreement...but I suppose we would have.
Is this pretty much how it is "done?" Do the norms vary greatly by markets? It just seems like all the agents I've come in contact with just casually throw it out that they'd love to be our buyer's agent. I work in sales, I generally have a signed agreement that you will use my company with in an hour of our first meeting.
- Mack McCoy
- Contributions:1118
Why wouldn't you give your BEST to a potential client?
Gee, maybe because your ACTUAL clients deserve your best?
What are you arguing for - that real estate agents should be a public utility that people buying real estate can utilize at will?
- (not protect or try to support the buyer)
Oh, boo f***ing hoo. You who've been a "buyer" for like ten years, need protection and support.
I'm here, partially, to represent real estate brokerage as a profession. It's not a utility, and we're not house show-ers. We broker real estate, we represent people in their real estate transactions for a fee.
You know what, though? Many of us deal with really busy people, people who want to hire a real estate professional to handle their brokerage needs. People who don't have time for, "Oh, let's try you out for a while to see if we like you." Are you kidding me? In my market, people making six figures with advanced degrees, they make decisions fast. First meeting - we like you and we'll sign with you; we don't like you, thanks for your time.
I can deal with that. These are my best clients - intelligent, educated people who can make decisions quickly.
Imagine how I wouldn't alter my practice to handle the demands of people like, oh, I don't know . . .
Gee, maybe because your ACTUAL clients deserve your best?
What are you arguing for - that real estate agents should be a public utility that people buying real estate can utilize at will?
- (not protect or try to support the buyer)
Oh, boo f***ing hoo. You who've been a "buyer" for like ten years, need protection and support.
I'm here, partially, to represent real estate brokerage as a profession. It's not a utility, and we're not house show-ers. We broker real estate, we represent people in their real estate transactions for a fee.
You know what, though? Many of us deal with really busy people, people who want to hire a real estate professional to handle their brokerage needs. People who don't have time for, "Oh, let's try you out for a while to see if we like you." Are you kidding me? In my market, people making six figures with advanced degrees, they make decisions fast. First meeting - we like you and we'll sign with you; we don't like you, thanks for your time.
I can deal with that. These are my best clients - intelligent, educated people who can make decisions quickly.
Imagine how I wouldn't alter my practice to handle the demands of people like, oh, I don't know . . .
- Dan, "the_country_hick"
- Contributions:4700
Why do people hesitate to sign binding contracts that they would be stuck with?
Mack actually gave an answer to the question here would realtors show my house at 4%? without intending to.
"(Actually, this is also how agents could protect themselves with a buyer agency agreement - "
(not protect or try to support the buyer)
"the buyer and agent could agree on a commission, and any difference from the co-brokerage arrangement could be made up by the buyer)." <emphasis mine>
This kind of thing can be easily hidden in an EBA. If a buyer does not read and understand every last word they could end up with a nasty surprise when it comes time to close on a house. Can you imagine being ready to close on a house only to find the buyers agent (who is free to the buyer right?) insists on being paid an extra $5,000 or more because the sellers commission was to low at 2%? I can.
Mack actually gave an answer to the question here would realtors show my house at 4%? without intending to.
"(Actually, this is also how agents could protect themselves with a buyer agency agreement - "
(not protect or try to support the buyer)
"the buyer and agent could agree on a commission, and any difference from the co-brokerage arrangement could be made up by the buyer)." <emphasis mine>
This kind of thing can be easily hidden in an EBA. If a buyer does not read and understand every last word they could end up with a nasty surprise when it comes time to close on a house. Can you imagine being ready to close on a house only to find the buyers agent (who is free to the buyer right?) insists on being paid an extra $5,000 or more because the sellers commission was to low at 2%? I can.
Why do buyers in Manhattan hesitate to sign exclusive buyer contracts?
-
- 5.0/5.0
- (4 reviews)
Contributions:15Stating a discriminatory preference in an advertisement for housing is illegal. If you think this content is discriminatory or otherwise inappropriate and feel it should be removed from Zillow, please let us know by completing the information above.
We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.