Atlanta Real Estate | Atlanta Housing News for Real Estate

head_left_image

My Agent is Busy Can You Show Me Some Homes?

The phrase "My Agent is Busy Can You Show Me Some Homes?" is becoming more and more common since we started using IDX.  Instant access to view a sampling of homes for sale on-line has brought out the home buyers, and the tire kickers in droves.  Many of the callers even if they do not come out and say they have an agent right away, when qualifying them it just kind of slips out!  "I already have an agent!"  When you ask them to have their agent show them, they will give you excuses like, "My agent is very important, she doesn't have the time!"  or "Out of town on vacation!" "Working their full time job!" and many more lame answers.  Of course our answer is "NO!"  Very selfish of them isn't it!  No matter what you explain to them the ususal reply is that "So are you going to show me homes or not?"

Any agent worth their salt that is working real estate will have an agent fill in for them if they cannot be available for their clients.  True professionals do not go on vacation or go out of the country for a month at a clip and leave their clients in the lurch!  True professional agents do not pawn off their clients on to other agents to do the dirty work for them, and then write up the contract!  hose actions are not those of a professional agents that are responsible adults.  If I do show a person that has another agent, we sign a buyers agency agreement for the particular properties.  Most of the time, they are not under any signed agency, but will not commit to you.

The real reason this is happening more and more often is the buyer rebate programs that are being used by real estate agents that are sleazy!  Their agreement with their buyers is based upon the number of homes they show the client.  If they show them more than 5 homes, they only get back $500 as opposed to lets say 1%.

So what do they do?  They tell their buyers to call up other full time agents, have them show them homes. Pick the other agents brain, and when they identify the home, call the original agent.  They will write up the contract. They are told not to return the call of the agent that has done all the foot work!  Sleazy isn't it!  It is taking place today!   It isn't just wrong, it's raw evil!

Jim Crawford REMAX

RE/MAX Paramount Properties  678-595-5283 Direct

Or  888-940-0074 Toll Free Office

Atlanta Real Estate Agents, Alpharetta GA Homes for Sale, Dunwoody GA Homes for Sale, Atlanta Real EstateAtlanta Homes for Sale RSS 2 Feed Gwinnett Homes for Sale

Atlanta Real Estate Blog, Cumming GA Homes RSS 2 FeedFollow AtlantaRealty on Twitter   Subscribe

 Jim Crawford Facebook Atlanta Real Estate

Comments

Oh My GOSH!  I hope I NEVER hear about that rebate program here.  I would die!  I think I would be tempted to call the agent.
Posted by Stephanie Edwards-Musa knitwit at thredUP (thredUP.com) about 5 years ago

It certainly is taking place here as well..very unethical and very outrageous! Helping out is one thing, being taken advantage is another. I can usually tell when I am being taken advantage of....not gonna happen.

Posted by Michele Connors, Broker in Charge (Coldwell Banker First Realty Morehead City) about 5 years ago

Hi Jim,

Thanks for sharing, and soooo true.  It's seems like I hear about a new one every week or two, a new rebate plan or whatever?  If someone wants to work for $1 and give all the commission back that's just fine with me...but don't expect me to do their work.

It's happening all around us. As REALTORS I feel it's incumbent upon us to ask the appropriate qualifying questions right up front. At that point we can make an informed decision whether or not to work with that individual.

Posted by Orange Co. Real Estate~Lynda Eisenmann, Broker-Owner,CRS,CDPE,GRI,SRES, Brea,CA (Preferred Home Brokers) about 5 years ago

Stephanie  They never identify the agent.  They are very loyal because of the dollars!

Michele  It is beyond my comprehension how people can be so self centered!  Gives new meaning to the phrase "It's all about me!"

Lunda  -  Do a real estate exorcism!   Qualify them first, then have them sign buyers agency.  It is like sprinkling holy water on unclean spirits!   If they go wild, they have an agent!

Posted by Jim Crawford ~ Atlanta Real Estate-ABR E-PRO (RE/MAX Paramount Properties) about 5 years ago

It is a risky move....especially because alot of agents think they have a buyers loyalty (verbally) and can very well end up pawning them off to another agent willing to put them into Buyers Agency.

 

Posted by Michele Connors, Broker in Charge (Coldwell Banker First Realty Morehead City) about 5 years ago

Jim,

I think this will be an on going issue and is only going to get worse as more buyers agents are cutting commissions.

Posted by Colorado Springs Real Estate about 5 years ago

Michele If you do not have a signed agency, there is no loyalty.

Dan I agree, unless we all do our jobs and do not put someone in the car we have not qualified!

Posted by Jim Crawford ~ Atlanta Real Estate-ABR E-PRO (RE/MAX Paramount Properties) about 5 years ago

I had my first one of those the other day, on a very hot property that had just gone on the market.  The caller said their agent was out of town and they wanted to see the house because they didn't want to miss it.  I was going to be in the area anyway, so agreed to show it.  Guy showed up with his wife, we looked at the property.  As we were waiting for the wife to park her car, I commented, "So your agent's out of town?"  He actually blushed and said, "Not exactly."  We toured the home, which they liked, and they went on their way. 

Later that afternoon I was at the home again meeting with the seller picking up some papers.  Who should show up but the gentleman in question, with the woman who was  presumably his agent - he wanted to check something out before writing up an offer.  That was somewhat embarrrassing - but not for me! 

Yes, I was polite, no, I didn't say a word except to introduce myself to the agent and greet him.  But somebody got busted and it was clear they were aware of it.

Jim, you say if they have an agent you write up a buyer's rep agreement for that particular property.  Here in Texas, if a buyer has a buyer's rep agreement with an agent for a particular area, they'd have to get out of the previous one before writing up a new one for any property in the area.  Not so in Georgia? 

 

Posted by Tricia Jumonville, The Agent With Horse Sense (ERA Colonial Real Estate) about 5 years ago
Jim, Wow I never thought something like this would start happening!  As a fellow Georgia Agent, I really enjoyed reading your blog today.  Evil??  You hit the nail right on the head.
Posted by Amber Steiner, North Atlanta Real Estate (Solid Source Realty) about 5 years ago

 Tricia  99.99% do not have a signed buyers agency agreement.  If they refuse to sign we don't show the home!  They go crazy, but we are not door openers.

Amber Evil is being kind to them!  It is as low as you can get!

Posted by Jim Crawford ~ Atlanta Real Estate-ABR E-PRO (RE/MAX Paramount Properties) about 5 years ago
Buyer's Agency Agreements are a MUST when I show homes or send out leads to one of my collegues JUST because of the rebaters ALONE!  I even put it in my advertising and have cut down on those types of calls!
Posted by Renee Burrows - Las Vegas Real Estate - (702-580-1783) www.ShackDiva.com (BrokerThe Force Realty-REALTOR-Estate-Probate-REO-Short Sale) about 5 years ago

This level on service makes me ill. This happens all too often in my market, and I started to wonder about who we should be blaming. It doesn't make sense to blame the buyer. They have no code of ethics to follow, and they're just trying to save a buck. The sleazy Realtor seems to have found a scheme that is working for him/her, so they probably see it as being "next-gen realty," or "cutting edge business model." Their argument is usually...."It's a changing market, and we all have to adapt." 

 

Posted by Shaun McLane (Ekday Realty - Opening Dec 2007) about 5 years ago
Actually now that I think about it, in agent remarks it is getting popular for listing agents to say that if they show the home first the commission is reduced to 1%.  Maybe it's here and I don't know it.
Posted by Stephanie Edwards-Musa knitwit at thredUP (thredUP.com) about 5 years ago
It is in every ones market!  And that is ok, because we have Active Rain and now the word is out!
Posted by Jim Crawford ~ Atlanta Real Estate-ABR E-PRO (RE/MAX Paramount Properties) about 5 years ago
It is illegal in Louisiana and maybe just for a reason like this. I do get people who say their agent is busy and do not want to bother them. I tell them to wait until theri agent comes with them.
Posted by Eric Bouler ( Gardner Realtors, Licensed in La.) about 5 years ago

I can't believe that agents are so lazy or feel that they are so special that they don't have to take their clients on showings. It really disgusts me that there are agents that do this.

It saddens me to know that people out there are using these agents.  If they just did a little research they could have a professional Realtor instead. 

Posted by Richard Parr, Home Security Specialist Greater New Orleans, Louisiana (ADT Security Services) about 5 years ago

Wow...are there really agents doing this?  I always ask if they are working with another agent....some have lied and said no....the ones that say yes of course I tell them no and they need to work with their own agent and if their agent is too busy for them....well, then what is the process for a transaction going to look like when they finally find that "dream home"?

Posted by Celeste "SALLY" Cheeseman, RA, CRS, HAWAII Real Estate & Relocations (Century 21 Liberty Homes) about 5 years ago

It happens everywhere the buyer that spends 3 weekends with you and then, nothing.  No answer to your phone calls, emails and you never see them again.  They either bought with another agent or a FSBO.

Posted by Carmen Rivero (Infinity Real Estate Group) about 5 years ago

Smart response Eric!

Richard they are or they are doing this part time at others expense.  I know this is more widespread than we are acknowledging here.  Since most of our business is Internet, we seem to be on the front lines of this.  It is ABUSIVE! Wow!

Posted by Jim Crawford ~ Atlanta Real Estate-ABR E-PRO (RE/MAX Paramount Properties) about 5 years ago
Yes Sally they are doing this!  Every day of the week, either to us or our referring agents.
Posted by Jim Crawford ~ Atlanta Real Estate-ABR E-PRO (RE/MAX Paramount Properties) about 5 years ago

Wow, haven't seen that here yet Jim. If it's my listing they're calling on, and I knnow the other agent, I'll show the home for them.

If they are asking about other homes, firdst question is if they have an aent and have singned a buyers contract. If they have...have a nice day. If they have not, they are informed they will be required to sign one with me. If they won't...have a nice day.

Posted by Keith Jeppson - Salt Lake City Real Estate (Everest Realty Group) about 5 years ago

Yep.  I get those call all the time.  I just get their agent's name, look up the name of their broker and give that name and phone number to the caller. 

I assure the caller that the broker has arrangements to cover for the agent.

The Devil makes me do it.

Posted by Lenn Harley, Real Estate Broker, Virginia & Maryland (Lenn Harley, Homefinders.com, MD & VA Homes and Real Estate) about 5 years ago
Keith  If it my listing I will gladly show it even if I know they have an agent. I could sell ice to an eskimo.  I've sold many homes that way.  I even let them come in with their agent!  Because I can sell!  But we will not open doors for anyone because their agent is too busy!  Where is the other agents stand in?  Who is covering for the agent?
Posted by Jim Crawford ~ Atlanta Real Estate-ABR E-PRO (RE/MAX Paramount Properties) about 5 years ago
Jim - wow I have never heard of this and hope it is not happening or going to happen in my area.  Wow - sleazy is a mild way of wording this one.... wow... this amazes me... I am speachless...
Posted by Thesa Chambers, Principal Broker Licensed in Oregon, with (Prudential NW Properties Sunriver) about 5 years ago

Lenn the Devil did make them do it!

Thesa  Everyday of the week!

Posted by Jim Crawford ~ Atlanta Real Estate-ABR E-PRO (RE/MAX Paramount Properties) about 5 years ago
I keep thinking that if you responded with, "sure, but I only show homes to people who are signing a buyer-broker contract with me" would stop that in its tracks (even if it was "for this home"). When they are outraged, you can kindly explain that it is your policy to work this way to protect the public from possibly having an agency conflict.

I think that would be an appropriate response.

As for me, I don't show homes to people if they are not my clients. It's too dangerous to do that.
Posted by Mary Pope-Handy, ABR, CRS, ePRO, SRES, ASP (Sereno Group Real Estate) about 5 years ago

Hi All,

I have been taught that if I show it, I get to sell it.  Yes, I ask everyone if they have an agent and if they say that they do, I try to get more information or a name out of them.  I also make sure to document everyone that I show a home to, including time and date.

If its at an open house, the rules are slightly different, but I still make sure that one of the first things out of my mouth after hello and welcome are "do you have an agent?"  If they say yes, they do, I ask where their agent is and why they aren't with them like they should be.  That's usually when I hear the my agent is a family member/friend/busy/ill/on vacation/a Venutian excuse. 

I can't do much at an open house, especially because it is usually not my listing.  But I do explain that if I show you a home at any other time, you become my client unless you have signed a contract with someone else.  If you have signed a contract with someone else, you need to have them show you the home period.  If the agent asks me to show the home to a client they have under contract, then I ask them to sign a referral fee agreement with me before I will agree to do their work.  No agreement, no show.  Fair is fair.

Take care all, help lots of people and have a wonderful Earth Day!

Tisza

Posted by Tisza Major-Posner, DRE#01784679 (I.V.P.G. - Inland Valley Professional Group) about 5 years ago
It is stories like this that has be deciding to take the ABR course and rethinking whether or not to use a buyer's agency.
Posted by Randy L. Prothero - Hawaii REALTOR® (808) 384-5645 (Century 21 Liberty Homes ) about 5 years ago
Hi Jim- Excellent Post! This is happening more often than not. One more good reason to have a buyers contract!
Posted by Somerset MA Real Estate ~ Suzanne Sands (Pavao Real Estate) about 5 years ago

Great post, Jim. I've not had any issues personally but know people who have, and the options for buyers keep increasing and more are looking for deals any way they can. I like Lenn's respone - great idea. The problem is that some buyers are not honest and say they are NOT working with anyone else when specifically asked.

Jeff

Posted by Jeff Dowler ~ Carlsbad Homes for Sale ~ 760-840-1360 (Solutions Real Estate (CA DRE Lic. # 01490977)) about 5 years ago

Hi Jim -

the title caught my eye because I have heard this line too.  I haven't considered the reason being because of a rebate program.  I have several theories on "why" people do this and one of them being that the "looker" doesn't think about how "we" get paid.  We are the suppliers of information so why not be the suppliers of time and showings? 

No matter what the reason, it is getting old!  Good points, true problem and good discussion.

Posted by Cynthia Sloop (Community Association Manager) about 5 years ago

I would be so pissed of this happens.... But I would not take it out on the customer.. I would say I would gladly show them the home because my duty's as an agent toward my sellers. 1) Then I would send a bill to the other agent for 50.00 showing fee then 100.00 per hour for my time... I would send it to her/him a few times until she called me and I would be an ass to her/him. Also arises the Procuring casuse.. 2) I would type up a doc. on Word that I would have the buyers sign that says I am the procuring casuse for 123 elm street if they decide to buy and I am entitled to a 30% referral from such transaction because their agent pawned them off on me (did not satify their part of their duties)if the transaction was to take place.. Please email me your thoughts on this..

Mike

mdvanacore@yahoo.com

PS: i know this won't fly but it will make the buyers and their agent pissed at one another and the buyers might want to get out of that relationship with the agent that blows..

Posted by mike about 5 years ago
Jim, Mega-Dittos-Great Blog, I get people all the time that ask me to show them either one of my listings, or some listings in general, and I always get around to asking them if they have an agent, especially when I meet them at my open houses and find out in passing that they have their home on the market somewhere, then I always tell them, so if your home is listed then you are represented by an agent already and I must respect that so I am limited as to how much I can advise you about houses as it would un-ethical of me to do so, and I am always surprised at how many people tell me that they don't really want their listing agent to represent them in their buy, and they became my clients, its all a-If they like you thing out here, people like to do business with people they like, and so I try to be as friendly to everyone that I meet, other agents--my competition--anyone, like everybody else I sometimes just spin my wheels and get no-where, but thats the nature of this business, kinda got off the tract there a bit Jim, but great comment, I think we all could relate to what you are saying !! Good Health & Much Success to ALL--Crazy Guy in California--CG 
Posted by Ron Gent (Century 21 Prestige Properties) about 5 years ago
Jim, CG again, I forgot to ask you how to change the colors on the text, I have a full time tech guy that I normally have show me this stuff, but he's away for a few weeks, I did go to a site on Active/Rain that explains it, but I could-not figure out what the heck they were saying, I know how to change it normally of course, but when I press the HTML on Active/Rain it does not open up, must be on my side, any advice would be appreciated --CG
Posted by Ron Gent (Century 21 Prestige Properties) about 5 years ago
Jim- I've had people call a few times asking to see houses and I tell them they need to connect with their current agent. I tell them I'd love to help, but since they are already under contract, it wouldn't be right for me to step into their agent's shoes. The only exception is if it is one of my listings.
Posted by Jennifer Steck- Denver Real Estate (Rocky Mountain Homescapes, Keller Williams, Denver Colorado) about 5 years ago

I get alot of calls from people moving into the area from an area about 50 miles away that want me to "just" show them the house because their agent doesn't want to drive over here.  I politely decline and tell them to have the agent call me. 

We belong to that area's MLS, but those agents keys don't work on our lockboxes unless they spend the money to have dual keys (like most of us do in this area do) and they don't want to join.  It is a constant battle between doing our duty to the seller of trying to get their home sold and dealing with showing for another agent!

Posted by Michelle DeRepentigny, *Associate Broker * Broker * Athens, GA (KELLER WILLIAMS REALTY Greater Athens) about 5 years ago
Hi Jim, Thanks for sharing.  It is so true.  It happens all the time.
Posted by Greg Herson (Mal & Seitz Real Estate) about 5 years ago
It is time to get a rope!
Posted by David Doerr (Cache Creek Capital) about 5 years ago

Hi Jim

An interesting solution in my MLS-

Agents can post notice in the listing that unless the agent actually shows the property, that agent will only receive a 20% Referral Fee at closing.

Seems pretty fair to me. :)

Posted by Sarah Nopp about 5 years ago

Jim,

As always, you bring a timely & provacative subject to the front edge of our awareness! This will become a larger problem until 1 or 2 events take place... If the various MLS boards would allow "tiered" brokerage fees, based on whether the LA was used to show the home, this would help A LOT. In effect, a lower fee is paid to the SA when the LA was "used" in this fashion... The other change is completely in our control - the Buyer Broker Agreement! This document exists for a reason! Use it! We have no problem "listing" a seller, so why the hesitation to "list" a buyer??? Then, when we get these wishy washy buyers, we would know that they are either un-signed buyers, or they were working with agents afraid to use the BBA. The solution is to raise the level of professionalism. Asking buyers to be "loyal" will only work when they have a reason to - and then take the next step and sign the BBA!

Posted by Patrick Harfst (Realty Executives - Gilbert AZ) about 5 years ago
Wow!  I am overwhelmed at the response!  It must be a happening to more persons than ourselves.  I love all the comments, and I really liked the one about only getting a 20% referral fee!  We can not and should not do the work of other agents. Again, they need to have someone covering for them or their BROKER should do it if they have an emergency!  I do not like being used and the other agent wiping the shoes on our backs!
Posted by Jim Crawford ~ Atlanta Real Estate-ABR E-PRO (RE/MAX Paramount Properties) about 5 years ago
Another agent just left me a solictation for $500 rebate this week in form of a gift card.  As long as there are open houses we will be supporting there endeavor.
Posted by Vicky Carlton, Auctioneer - Cincinnati about 5 years ago
That's awful. How can you encourage someone to use a professional and then ditch them. I didn't know this was out there. I will watch for it definitely.
Posted by Christy Powers - Pooler, Savannah Real Estate Agent (Keller Williams Coastal Area Partners) about 5 years ago

Nothing new here.  Oh it is been happening for a while.  The great thing about Active Rain is we can get the word or to other agents.  It is such a waste of time.  Conversing with the client, taking down info, making appointments, confirming appointments, driving over to the home, spending gas money, showing the home, sharing our experience and insights perhaps going through the seller's property disclosure at the property, giving opinions of value and worth, suggestions for improving the property etc. 

No the problem with all of this..we cannot bi-locate!  We cannot be in two places at the same time.  We have pushed away other business for absolutely no valid reason.

Some thoughts:

  1. Ask who their  loan officer is?
  2. What is your loan officers phone number?
  3. What purchase price have they been approved at?
  4. Do you need the seler to pay closing costs?
  5. Do they have a house to sell first?
  6. Is that home currently on the market?
  7. Is it listed with a real estate agent?
  8. Will that agent be representing you on the purchase of this home?
  9. Are you currently in a lease?  Until when?  Early cancellation of the lease?
  10. How soon do you want tobe in the new home?
Posted by Jim Crawford ~ Atlanta Real Estate-ABR E-PRO (RE/MAX Paramount Properties) about 5 years ago

Buyer's Agency Contract. 

I have them and I'm going to USE THEM! 

I'd rather slit my wrists than take out a buyer BECAUSE THEIR AGENT IS BUSY. 

TOO DAMN BAD!  NO HOUSE FOR YOU! 

KEEP CALLING DOWN THE LIST UNTIL YOU FIND A CHUMP WHO WILL WASTE THEIR TIME ON YOU! 

Ok ::::::maintaining composure:::::::::::

Also, on the same vein...I've determined after the last few calls from my relocation bureau that from now on....any PRE-DECISION TRIP buyers MUST sign a buyers agency contract with me....FOR ONE FULL YEAR.  Otherwise, especially in this case, I am truly a FREE TOUR GUIDE.  That could be a whole 'nother post!

Posted by "Antoinette" Scognamiglio, GRI, ASP Jefferson Township NJ Homes for Sale (Re/Max Superior Homes) about 5 years ago
I love you!  That is how I think!  I am from New York originally!  I know what a taxi cab driver is!  A free tour guide!
Posted by Jim Crawford ~ Atlanta Real Estate-ABR E-PRO (RE/MAX Paramount Properties) about 5 years ago
Great post, Jim, especially to us here on the Central Coast CA, where many of us have yet to embrace the buyer's agency agreements. We don't get many of these calls, as we are a smaller group of Realtors who know each other.  I have receiveed two such calls so far, and shown the properties as they were my listings. Will share this with my office.
Posted by Sherry Sim about 5 years ago
It is always good to learn real things that apllies to our business.
Posted by Jim Crawford ~ Atlanta Real Estate-ABR E-PRO (RE/MAX Paramount Properties) about 5 years ago
Jim my friend..."Been there done that" and I very easily tell the buyer that I would be happy to show them the home, just have thier Realtor call me first.  When the buyers Realtor calls me I simpy say I will be happy to show thier buyer the home and I will deduct 1% from the buyers agent split and add it to my commission.  When I do this miraculously about 80% of the Realtors find a magical way to do thier job.  The rest of the Realtors end up giving up 1% of thier commission.  Happy selling my friend.
Posted by George Tallabas - Idaho Real Estate (RE/MAX Advantage) about 5 years ago

No, Jim, I love you!  Thank you for bringing up the subject!  LOL!  Gee, I should just shut those unloyal scoundrels entirely and tell them "That dog dont' hunt no more!"

Of course, that's all fun talk amongst ourselves.  I am going to let our RELO office know that any "shoppers" are due to an obligatory buyer's agreement meeting and contract signing.  Or let me go about my regularly scheduled activities!

Posted by Anonymous about 5 years ago
Jim, I've never heard of a Buyer's rebate.  Makes sense, but very very wrong.  I refuse to show if another agent is "too busy".  So, my time is worth less?  Don't think so!!!
Posted by Kay Van Kampen–Springfield, Ozark, Nixa Greene County Missouri Real Estate Agent (RE/MAX Broker, RE/MAX Solutions) about 5 years ago

George what if it is not your listing as in IDX?  If it is my own listing, I gladly show it, because I will sell it.  My obligation is to the seller first.

I guess there is more to it than just having your buyer sign an agreement, there is also the obligation side of the agreement.  A good lawyer or court would tell an agent no commission is due if there is absolutely no work done!

Posted by Jim Crawford ~ Atlanta Real Estate-ABR E-PRO (RE/MAX Paramount Properties) about 5 years ago
Kay isn't it sad?  The worse thing about this is the other agent is violating NAR Codes of Ethics...  Also procurring cause of sale...  But to knowingly send a client out to USE another agent, and not to call them because they want to write the contract?  I don't think so!
Posted by Jim Crawford ~ Atlanta Real Estate-ABR E-PRO (RE/MAX Paramount Properties) about 5 years ago

Hello Jim,

I understand your feelings on this topic. I try to do my best to sell my own listings. In this market I am not being as hard as I used to about not showing others peoples clients. I just let them know what I can do for them as their agent.

Posted by Tina Maraj, Fullerton California Real Estate 714-403-7901 (RE/MAX North Orange County) about 5 years ago

Yep...happened to me the other day on one of my listings.  The "buyer" called me at 7:30am then again at 8:05am with the sense of urgency that would make a "green" agent run stop signs to go show the property! In my qualification questions I learnt that his friend "the REALTOR" will write up the contract and represent him.  I advised him that I cannot show the house since he is a represented buyer, but I invited him to stop by at the OPEN HOUSE along with his REALTOR the following week if that would be convenient for his buddy or since the house is on lockbox, the agent can certainly show it. 

After trying every persuasive technique in the book he finally gave up and said he'll talk to his agent - I have yet to hear from him.

Cheers,
Uzi Husain
Arizona Realtor, serving Goodyear & The Phoenix metropolitan area 

 

 

Posted by Uzi Husain (Keller Williams Integrity First) about 5 years ago

Are agents so hungry that they don't care if they are violationg the NAR Codes of Ethics?  I worked a contract last month where I showed the buyers one of my listings.  When the offer came in, even the seller knew I had shown it, not the other agent.  Fortunately, they made a terribly low offer and the seller said for them to take a hike!  I'm watching the other agent carefully to make sure he doesn't try it with me again.  Oh, by the way - I called him out on it.  He couldn't describe the home to me.

Posted by Kay Van Kampen–Springfield, Ozark, Nixa Greene County Missouri Real Estate Agent (RE/MAX Broker, RE/MAX Solutions) about 5 years ago

Uzi  That is exactly how it happens!  I get about 5 allls before 9 MA starting at 7 AM ...like it is a life or death call!

Kay A friend of mine won an arbitration under a grievance with local Realtor board, even on the commission.  The other agent never even saw the home.  The offending agent refused to pay, so they revoked his REALTOR status.  It still means nothing to them!

Posted by Jim Crawford ~ Atlanta Real Estate-ABR E-PRO (RE/MAX Paramount Properties) about 5 years ago
Thanks Jim for bringing this to light. Two years ago, I was on floor and a woman wanted to see an office listing right away. Home was less than 2 minutes from office, so manager made me go. Woman said she had no agent, wasn't married, etc... long story short, before I made it back to the office, her husband was screaming on the phone to my manager because his wife signed agency disclosure and buyers agency agreement. Very interesting, taught me two things. Ask more questions and don't meet anyone at a home. They all come a local office.
Posted by Gary Smith (Agent Marketing Today) about 5 years ago
Jim - Lots of changes in the industry. Like this, some not good! I don't really mind if another agent wants to rebate as long as they do their job. I used to show the home "for my seller" in these cases. I don't anymore. We can't be responsible for taking people we don't know, who we haven't qualified into our seller's homes.
Posted by Paula Henry, Realtor® | Indianapolis Real Estate | 317-605-4174 (Home to Indy Team @ Sycamore Group Associates) about 5 years ago

Jim, yes...I get calls like this quite often.  I refuse to even have a conversation with the buyers and ask them to contact their agent. 

I didn't know about a rebate program... HMMMMM  So many flakes out there.

Great post!

Posted by Pasadena CA Real Estate - Irina Netchaev (John Aaroe Group) about 5 years ago
Man I hear ya. I can't tell you haw many clients I have snagged by just calling the back promptly and staying on top of them. One client recently told me they emailed 5 realtors locally before the emailed me. I called her within an hour of that email and sold them a 350,000 dollar home. Some folks are so busy they can't make money. I will never understand that. I run my office with no assistant. I am a small time local company. One thing I do not do is lose clients. Once I have met them face to face We are friends and no longer client/agents. I am not complaining though if they want to keep running them off I will keep taking them.
Posted by T.U.P. Realty about 5 years ago
By the way Rebates are illegal here in Mississippi.
Posted by T.U.P. Realty about 5 years ago

Interesting reading, both the post and the comments.  I will probably reread this.  We go about it a little differently in Idabel, OK., on showing each other's properties. If it's my listing and someone calls to see, we show it to them, no problem.  (Oklahoma does not have agency law for real estate....Brokerage relationships are defined as either transactional or single-party).  If I show another broker's listing, I call to set it up and tell them the name of the person that I am wanting to show the property to.  They check to see if they have already talked to this person.  If they have, i do not show the property.  The buyer has to go back to the listing office that they had already talked to. If that office has not talked to them, I show the property and if my buyer buys, we co-broker.

Some offices say that they co-broker but when you try to reach them on a deal, forget it.  It's just talk.

Posted by Judi Barrett~Integrity Real Estate Services~Idabel, Oklahoma about 5 years ago
Thanks goodness, the rebate program hasn't hit this area.  Gee whiz, I couldn't put my head on a pillow and sleep if I did this to a fellow agent.
Posted by Diane Bell, Hilton Head Real Estate, Bluffton (Charter 1 Real Estate, Hilton Head, Bluffton, SC) about 5 years ago
Jim, If it is not my listing and the buyer found it on my site and contacted me I the buyer I will show them the property but I still need to talk to their Realtor.  When I talk to thier Realtor I inform him/her that I will be happy to show thier client the home but I demand 2% of the 3% buyer side comission or 66% of whater the buyer side comission is.
Posted by George Tallabas - Idaho Real Estate (RE/MAX Advantage) about 5 years ago

If a "buyer" asked me to show them the home because their "agent" was too busy...

Sure.  I bill out my time at $250 per hour with a four hour minimum.  Your check needs to be made out to our brokerage.

Yeah, I wish.  I usually just tell them I am too busy working with MY clients!

Posted by Debbie White (Prudential Southeast Alaska Real Estate) about 5 years ago

I have actually sold four homes to buyers who, after I showed them a property, (or more specifically, they came through one of my my open houses) informed me that they already "had" an agent (at one time)...

In talking to them further, it always came down to this.....they met another agent at an open house, or called into their floor duty... he/she showed them a few other houses... they never heard from him/her again after a few weeks...other than the occasional Christmas card... 

I then asked them if they had a signed "Exclusive Buyer's Agency Agreement" in place?

And when they answered "No"... I ask them if they would rather work with the other agent...

every time the answer is "No", not particularly!...

that's end of story...

My client, my sale...

No guilt on my part at all...

 

Posted by Paul David Hiebing, REALTOR® @ Grampp Realty of Bettendorf, Iowa (Grampp Realty: Real Estate in the Quad-Cities) about 5 years ago
I would ask them if they signed an agency agreement. If not, then let's sign one today! If answer is no, then I say. You need to go back to your agent is  letting them chauffer you!!
Posted by Chris Webster about 5 years ago

Gary Correct meet at office never at home!  Thansk for sharing, buyers really are liars!

Paula we have an obligation that unqualified buyers never set foot in a sllers home, and even a bigger obligatrion that unqualified buyers never set foot in our cars!

Irena  Way too many flakes, but clever!

Jeff you have one of the best responses.  Sometimes we are too much in a rush to grill a potential buyer over the phone.  In the old days the trick was to get them into the office and make them your client with salesmanship!  I also like that rebates are illegal in Mississippi.

Judi thanks for the insights!

Diane they are growing in popularity, but I expect them to implode in this market.  It doesn't pay the bills!

Thanks George

Debbie  I LOVE IT!!!  "Very valid point to comply with brokerage laws "Your check needs to be made out to our brokerage."

 

Posted by Jim Crawford ~ Atlanta Real Estate-ABR E-PRO (RE/MAX Paramount Properties) about 5 years ago

Paul over the years we sold many homes to buyers...many do not actually have agents, they say they do so you will not hound them!  The object is to win them over with market knowledge and superior service.  as I mentioned before most will not have signed the buyers agency.  Soemtimes it is listinging to your heart after you do the best job yu can by qualifying them.  Over the years if I could estimate the amount of deals we converted, it would equal a very big sum!

Chris!  Great comment!  I have a very funny story to share...it remain anonymous... An Agent I know was showing homes all day in the middle of nowhere, coffee, lunch, and pit stops.  The buyer slipped and mentioned they had an agent.  The agent pulled over to the side of the road, and the buyer advised  the agent they will buy with the other agent.  The agent then told them that is all I need to know.  GET OUT OF THE CAR IN THE MIDDLE OF NOWHERE!  They asked what were they going to do, they agent advised them they should of thought of that before they planned a whole day around lies and deception and the showing agents expense!  "NOW GET OUT!"  "he broker backed the agent!

Posted by Jim Crawford ~ Atlanta Real Estate-ABR E-PRO (RE/MAX Paramount Properties) about 5 years ago

Lots of great advice here!  I think I like the idea of billing the buyer.   From now on, I think I will tell these callers that I will show them the house, but I need to be paid for my time.  $500 ought to do it.  PER HOUSE!

Seriously - why is it so hard to educate people on how realtors get paid?  Are we keeping this secret on purpose?  

Posted by Mary Ann Daniell, Realtor Killeen Fort Hood Texas Real Estate (Coldwell Banker United, Realtors) about 5 years ago
Wow. How true. I hear that all the time and can't imagime myself say such a thing. I am an agent who is available 24/7. That is how you become successful.
Posted by Maria Salvaggio MA North Shore REAL ESTATE (Century 21 North Shore) about 5 years ago

After reading through all the responses I don't know how to make just one comment.  My best (worst) story is shame on me I went out with a buyer.  It was back in December I was slow, so I showed them my listing and 4 other homes.  The buyers ignored me for about a week but I had 2 showings on my listing.  It turns out that the buyers "forgot" about the realtor they had used in the past and decided to go back to the other realtor.  Oh well, lessons learned. 

Posted by Real Estate in Grand Rapids Ethan Dozeman (Realty Executives Platinum Group) about 5 years ago

Mary Ann  If you try to sell yourself to someone that only wants to sss a home, they get annoyed. This is just an example... It would be easier to say oh the home by where the new highway is going in?  You have to have some knowledge that they realize the other agent is not working for them, or that they really need someone that has all the answers.

Ethan we all have been tricked at one time or anothter.  As they say in New York Take a numbah!  LOL!Take a number

Posted by Jim Crawford ~ Atlanta Real Estate-ABR E-PRO (RE/MAX Paramount Properties) about 5 years ago

I am a loan officer, so I don't pretend to have a full understanding on what Realtors go through.  My questions is, why would you show homes to someone who has not signed buyer's agency with you??

Posted by Olan Carder (Fairway Independent Mortgage) about 5 years ago
Olan  Sometimes competition is so fierce in real estate that some agents will literally do anything to get a lead.  Yes that is correct, most agent do not even know that the odds of being successful in real estate are stacked against them. In Atlanta less than 3 years ago we had 13000 agents, we now have over 45000 agents.  The odds of selling a home decreased almost 300%.  Plus sales are dropping.  If we sell 30 or 40 homes a year either directly or indirectly through referrals...what is an average agents chance?  Not very good.  We have more expired and withdrawn listings in Atlanta than we have sold properties..  If I tell this to and agent, they say where do you get the numbers?  On top of this, we have more foreclosures each month than sales.... Get the picture?  Agents show out of desperation, they take their own live in their hands meeting strangers at vacant and empty homes in remote locations.  Not smart, but the agents to work a buyer without qualifying them are taking their own lives in their hands.
Posted by Jim Crawford ~ Atlanta Real Estate-ABR E-PRO (RE/MAX Paramount Properties) about 5 years ago

Alternate news on the City of Redmond from a Redmond citizen.  You are invited.....

 

Spring has sprung and I hope we are getting beyond the heavy tree pollen days and into some steady sunshine! 

 

I wanted to remind you about my Redmond Neighborhood Blog (it's free!) and update you on some recent topics, as follows:

    1.  "The Avondale Crest "death trap".

    2.  "Election Notes (and resources)"   candidate websites, "follow the money", etc. 

    3.  "Council Leadership needs to blame less and be more responsible"

    4.  Avondale bioswale - water quality treatment issues

    5.  "Design flaws from cramming in certain subdivisions. 

    6.  "My Tent City Diary"

    7.  "Editorial - Councilmember Richard Cole runs again" 

    8.  "Redmond Historical Society multimedia events - students invited" 

 

Link to the Neighborhood Redmond Blog by "clicking here".... HTTP://REDMONDBLOG.ORG   You can now post "comments" and submit a Guest Blog at redmondblog@gmail.com

 

I hope you'll keep in mind my bi-monthly "Citizen Watch" column.  A new article will be in this Wednesday's Redmond Reporter...hopefully not hiding under your car:) !    Thanks for your readership!

 

Sincerely,

Bob Yoder

http://redmondblog.org/

redmondblog@gmail.com

Posted by bob yoder about 5 years ago
WooHoo!  Lookie all the comments...and hey featured with colors!!!!!  Hahahahahaaha! I knew it would have good response!
Posted by Celeste "SALLY" Cheeseman, RA, CRS, HAWAII Real Estate & Relocations (Century 21 Liberty Homes) about 5 years ago

Thanks Bob!

Sally!    ((((((THANKS!))))))

Posted by Jim Crawford ~ Atlanta Real Estate-ABR E-PRO (RE/MAX Paramount Properties) about 5 years ago
Great post and responses. I don't believe it happens much around here. Rebates are illegal here and I learned long ago to qualify these types of buyers and not waste my time.
Posted by Tigard Oregon Homes for Sale, Wayne B. Pruner, Realtor, GRI (Oregon First) about 5 years ago
Wayne  They are a waste of time, and Rebates should be illegal everywhere!  I mean what is the point of being licensed.  It used to be about service in the for m a fiduciary...looking out for your clients whether buyers or sellers.  So now a dollar is more important?  Many of the se rebate companies do not offer representation is as a Transaction Broker!  So what's up with that?  I feel the rebate companies in essence are losers.  It brings no skill to the table.  If you paid any of these agents more than $1 it is too much!  They do nothing!  They cannot write a contract, they cannot get you any papers they do not return calls, most do nto even show up at closing!  So why are we even calling them agents?
Posted by Jim Crawford ~ Atlanta Real Estate-ABR E-PRO (RE/MAX Paramount Properties) about 5 years ago
Wow, 81 comments, can't read them all right now but thanks for the heads up on this approach. It's one I haven't personally experienced yet but if the day comes, the sleazy agent on the other end of this deal better look out! I don't take buyers anywhere unless they've signed an exclusive with me, PERIOD! I love the line "My agent is very important, she doesn't have the time!" I'd have to slap someone after saying that. Ha!
Posted by Ryan Hukill - Edmond Realtor® (ShowMeOKC Team of Paradigm AdvantEdge) about 5 years ago
Ryan   Yes, and they are putting you down.  In other words you are not important!  This is dead wrong!  Who are they, and who is their agent?
Posted by Jim Crawford ~ Atlanta Real Estate-ABR E-PRO (RE/MAX Paramount Properties) about 5 years ago

Jim,

Hooray for you for insisting on a signed buyer agency agreement!  Who do these people think we are, chopped liver?

Posted by Buyer's Broker of Northern Michigan, LLC about 5 years ago

Wow Jim!

Great post.  I must admit that I have yet to use the buyer's agreement with any client after years of being in this industry.  I guess my level of comfort isn't there to ask them to commit.  What are some of your "scripts" if you will...to get the buyer(s) to sign one?

Posted by Tracy Nicole Hamilton, Realtor®, Elk Grove CA, Sacramento, CA about 5 years ago

Great post jim. I have never heard of the rebate but agree that if they don't sign they don't walk over the threshold. Our Office hammers into us that it is very unprofessional to leave town with out someone too watch your business. I know some that will compensate an agent to show property if they are too busy.

If someome told me they wanted to see a house but their agent was too busy I would tell them fine but first I need to talk to that agent first and square up some paper work. I would then send the agent a referral form for 30% to 40% of the commistion on that client if they fill it all out and return it then we can go look at property.

I doubt many will sign.

Posted by Keith Zimmer (RE/MAX Results) about 5 years ago
Its sad that this happens.  If you take on the 'oath' of representing a client - you better represent them at all times!!
Posted by Kaushik Sirkar (Call Realty, Inc.) about 5 years ago
Jim, how sad, but true.  I want to present an honest and trustworthy approach to helping potential clients, but our time is valuable and we must manage it well.  Thank you for your post.
Posted by David L. Britt, MBA (The Heritage Home Team) about 5 years ago

Jim - this is a great post, and so sadly needed.  I can only wish that 'those' kinds of agents will actually read this post and pay heed to it.  But they won't, will they?  I've had a few calls from buyers like this over the years, and I just clearly and emphatically tell them I'm happy to show my listing when their agent contacts me for an appointment on whatever that property was that they called on.  And as Lenn Harley, and others have said, a good honest agent will have someone else covering their business for them if they're away.  We deal with enough other stuff in this business that we don't need other unscrupulous agents and sometimes sleazy buyers piling more on us like these kinds of situations.

Hooray for you for writing this post!
Ann

Posted by Portsmouth NH Homes Condos - Ann Cummings New Hampshire REALTOR® (RE/MAX Coast to Coast - Portsmouth New Hampshire) about 5 years ago

Stefan They do no thave any regard for us, except for their own needs!

Tracy  I don't use scripts. Remember I'm from New York, I prefer to take hostages.  I use the questions above that I posted!

Keith They won't sign, but you'll get them off the phone, and you will not waste a day.

Kaushik  Thanks

David Thanks, You are right  times is money.

Posted by Jim Crawford ~ Atlanta Real Estate-ABR E-PRO (RE/MAX Paramount Properties) about 5 years ago

Years ago I learned that asking if they were WORKING with an agent wasn't always getting me the correct answer. Many buyers haven't yet made the committment to the agent so in their minds they're not working with that agent. It's a semantics issue! So I changed my wording to "have you VIEWED any other homes? (sorts out the new builds & open houses). If the answer is 'yes', then the next question is "which agent showed you those homes?" Now, this always gets me the info I'm wanting.

I've had the 'my agent is busy' calls as well. I just tell them that usually agents make arrangements for someone to handle their business and they should call that person. If they then say the agent is just gone for the day, then I tell them to wait, since I'm sure their agent will want to view the home first before writing a contract and they should really view it with the agent. (we don't have the rebaters).

Posted by Elaine Reese, REALTOR® in central Ohio (Real Living HER, Powell Ohio) about 5 years ago

I am going to start doing what was said in the last comment.  I LOVE that!!!

You can also tell them that any house you show them that they buy - at least around here - entitles you to a commission that is due to you because you are the "procuring cause" for that transaction.  If there is no buyer agency agreement or they tell you the "stand in" agent there is none, their agent - and eventually you, they buyer, will be paying it. 

I am not too busy for my clients, but I am too busy to work for free.

:)

Eva

Posted by Eva Wilson, BS, GRI - DC METRO AREA Home Marketing Specialist:THE DVD LADY! (Long & Foster Real Estate) about 5 years ago

Elaine  You are a true professional!   Great approach!

Eva never work for free!  By the way I used to live in PG County in Hilcrest Heights years ago by the Iverson Mall!  Then I moved to LaPlata in Charles County!  I miss the DC area!

Posted by Jim Crawford ~ Atlanta Real Estate-ABR E-PRO (RE/MAX Paramount Properties) about 5 years ago

Jim,

Another regular occurrence here in FL.

If the agent is good enough to admit that they can't show it for laziness reasons then I will open the door if the client brings their agents card and I will honor it.

I had one where the customer called me direct and said they were not working with another agent , then I made sure they understood that they will be working with me that particular property.

The buyer then tried to get me to give back my other side of the commission and even went as far s to show up at the sellers house and tried to manipulate her into believing I was trying to kill the deal.

I ended up sending him a contract with the address and my info on it and assured him
I was willing to submit an offer.

He said he wanted to think about it and then had another agent make an appointment for him to come back with them..I knew immediately who it was and instructed the other Realtor that we will close on this property if it goes through but that after the deal closed we would seeing each other at FREC.

The agent said they only figured that I would be willing to give my commission back to save the buyer money on the offer.

By the way..the buyer was a  mortgage broker and so I said if he was doing his own mortgage that he should take the difference he was looking for from his pocket not mine.

I know this was a little off subject but it was an interesting situation that started out with a lazy Realtor who could have just showed and they would have collected on his side.

Posted by Neal Bloom-Realtor ®CRS-Weston FL Real Estate (Keller Williams Properties, Weston FL) about 5 years ago
Thanks!  Really think a lot of these agents are working another job full time!  Customer no servie, but short changes the buyer and all the other agents!
Posted by Jim Crawford ~ Atlanta Real Estate-ABR E-PRO (RE/MAX Paramount Properties) about 5 years ago
Jim, thanks for the post.  I too, did not know about a rebate program
Posted by Dianne Barody - Pensacola Florida Real Estate (Century 21 AmeriSouth Realty) about 5 years ago
Dianne Even without the rebate thing it is dead wrong!
Posted by Jim Crawford ~ Atlanta Real Estate-ABR E-PRO (RE/MAX Paramount Properties) about 5 years ago

Jim,

I don't have to tell you that this is a great post.  The number of responses will speak to it.  This is a problem in the industry.  In my area, I used to get this occasionally when I started 5 years ago, now it is becoming common practice.  Giving rebates or whatever, I don't really care about, because if they choose to give away their money, then that is their business. What kills me is that agents - knowing how we all make a living in this business - instructing their "clients" to engage in unethical behavior because they are too lazy to do the showings.  

Do they not know that by doing this, they (we) are training these clients and telling them it is ok to screw us?  By providing this training, they are ensuring they will be at the other end of the screw job somewhere down the line.   The industry as a whole is victimized.  They are only kidding themselves if they believe this will not happen to themselves.  Remember the GOLDEN RULE my unethical friends: treat others as you would like to be treated.   Shame on you screwing your colleagues!   

Posted by Steve Mun / San Jose Short Sale Agent (Keller Williams Realty) about 5 years ago

Steve, thank you for a great response!  First of all to these commission hungry agents and brokers...these buyers are not clients, they are a cash ticket to real estate agents and companies that operate in this manor.  The real losers are the consumers that get absolutley no representation, and the other agents that were used.  We cannot be un ethical and at the same time say we are representing our client.  As they say down south, "That pig don't fly!"  A quote below sums it up best!

Mahatma Gandhi's Seven Deadly Sins:

  • Wealth without Work
  • Pleasure without Conscience
  • Science without Humanity
  • Knowledge without Character
  • Politics without Principle
  • Commerce without Morality
  • Worship without Sacrifice
  •  

    Posted by Jim Crawford ~ Atlanta Real Estate-ABR E-PRO (RE/MAX Paramount Properties) about 5 years ago

    Jim,

    Thanks for responding to my comment.  It never ceases to amaze me that people think they can break fundamental laws of business, sales, or whatever and still succeed.  I used to know a Realtor that didn't like listings.  I asked her, "doesn't all the big real estate gurus say you should list?" and she replies, "Yeah, I know I should but I don't like it and I'm going to."  After that I basically asked if she believed that she would succeed while going against a principal even she believed to be true.  She said yes!

    Our market is the same with lending.  It is getting more and more competitive right now because we are in a cleansing cycle.  The refi boom is over and the market is shrinking so fly-by-night brokers are out there doing loans for free almost. 

    Posted by Olan Carder (Fairway Independent Mortgage) about 5 years ago
    Thanks Olan!  Business is loaded with those that will not survive. Yet they will drag us all though hell before they do!  LOL! Lucky for me, that I am a firm believer in the saying "What you so, so shall you reap!  What goes around, comes around!
    Posted by Jim Crawford ~ Atlanta Real Estate-ABR E-PRO (RE/MAX Paramount Properties) about 5 years ago
    We actually had an agent in our office who experienced this from a buyer. Also about a month ago I had what I thought was an energetic buyer that wanted to see several properties in the area but didn't want to sign a broker buyer agreement, I let that prospect go immediately so as not to spin my wheels.
    Posted by Leonard Ruiz (Tarbell Realtors) about 5 years ago
    Leonard!  Smart!  Here is what we found is very important!  If the buyer only wants to view one home!  That is a Red Flag!   Think about it,  abuyers market and I only want to see the one home?  I'm real interested in only the one home?
    Posted by Jim Crawford ~ Atlanta Real Estate-ABR E-PRO (RE/MAX Paramount Properties) about 5 years ago
    I got an email off an ad in the paper and the buyer wanted to see my listings.  I made the appointment and showed the listings and they never mentioned they were working with a realtor.  I had them sign the agency form.  The next day I got a call (Easter Sunday) and it was their realtor.  I mentioned to her that they never mentioned her but I would be more than happy to let her submit an offer for them.  I figure if it was people I was showing homes too, I would like the other agent to understand, plus it was my listings.
    Posted by Suzanne Cutler , 617-549-5829 Braintree MA, MA Real Estate (Success! Real Estate) about 5 years ago
    Thank you for another great post!  I've learned much from reading the post and the wonderful responses!  Now I feel as if I know how to correctly ask the question!
    Posted by Burbank Real Estate Agent Ana Connell (G & C Properties/John Aaroe Group) about 5 years ago
    Suzanne, and Ana, thanks!  We can never be afraid to ask questions in real estate.  Sometimes it is uncomfortable, but we have to do it!  We either are professionals, or we are not.
    Posted by Jim Crawford ~ Atlanta Real Estate-ABR E-PRO (RE/MAX Paramount Properties) about 5 years ago
    Jim - Wow I learned a lot here - thanks for a great post - I've subscribed to your blog - look forward to visiting more. Thanks.
    Posted by Cyndee Haydon 727-710-8035 Clearwater Beach Short Sales | Condos & Homes (Charles Rutenberg Realty) about 5 years ago
    I love when people contact me "because they trust my opinion more than 'their agent's' opinion".  Goes with blogging territory, I guess.  I don't show them homes though and make it clear that I can't "second guess" their agent's advices.
    Posted by ARDELL DellaLoggia (Sound Realty) about 5 years ago
    I just explain that unfortunately, I can't help them. It's that simple. If they press me, I tell them that the Realtor Code of Ethics prohibits me from interfering in their relationship with their agent.
    Posted by Margaret Woda, Maryland Real Estate & Military Relocation Services (Long & Foster Real Estate, Inc., Crofton, MD) about 5 years ago
    Looks like this touched a nerve! And this is why we need contractual relationships and to find out what they may be for each buyer.
    Posted by CENTURY 21 Advantage Gold about 5 years ago
    Cyndee Thanks! I just love Active Rain! Aredell It can be opportunity time! These people are pretty slick! Margaret All we can do is maintain our professionalism. It is hard not to lose it when people are deceptive!
    Posted by Jim Crawford ~ Atlanta Real Estate-ABR E-PRO (RE/MAX Paramount Properties) about 5 years ago
    I was unfamiliar with the rebate program.  I continue to be amazed at what I continue to learn on active rain.  Keep up the great blogs!!!
    Posted by Ross Willingham, Realtor Associate (Tomson Real Estate) about 5 years ago

    There are a few agents here in Lexington, KY that have the "Rebate Program"....but I didn't know about this side of the deal.  My opinion is...if the Realtor was a professional, he/she would educate the Buyers on being loyal. We use Buyer Representation Agmt's., and especially never leave them alone if I were to ever go on vacation. I don't want my clients out there working with other realtors...it is my DUTY to service them completely, and if that means showing them many many houses, then so be it. 

    That just shows the lack of dedication and professionalism that can happen in this business.....these people are the one's that give us a bad rep.

    Sorry I seem a little hostile, I haven't had lunch yet today....little hungry!

    Posted by Michelle Schardein (Rector Hayden, Realtors) about 5 years ago

    Ross AR is a great resource for agents / brokers and the real estate industry!

    Michelle agents without skill have to give it away!  That is all they have.  That is OK because I have loads of those agents that have left those companies, and tell me how it works!  They cannot make any money by giving money back!  The cannot drive a person around and show them 80 homes.  It will not even pay for the tank of gas, never mind wear and tear on their cars!  The buyers lose BIG time, and the agents starve to death!

    Posted by Jim Crawford ~ Atlanta Real Estate-ABR E-PRO (RE/MAX Paramount Properties) about 5 years ago

    Jim, great post.  We have a lot of agents who give rebates to their buyers.  When I get a call from someone telling me their agent is out of town or too busy to show them properties -- first question I ask is "Have you signed a Buyer's Rep Agreement" with them.  They don't usually know if they have or not -- but I also know that the other agent has actually "bought" the caller's loyalty by promising them a 1% rebate after closing.  I tell them to wait until their agent is available to show them the property because of Realtor Code of Ethics doesn't allow us to "steal" another Realtor's clients.  They usually get angry and tell me it's my job to show them the property -- hahaha -- it's not my job if I'm not gonna get paid!!!

     

    Posted by Anonymous about 5 years ago
    Thanks.  Isn't it interesting how the other agent wantys to offer the rebate to the buyer but wants someone else to do the work?  So are they even representing the buyer?
    Posted by Jim Crawford ~ Atlanta Real Estate-ABR E-PRO (RE/MAX Paramount Properties) about 5 years ago
    Jim - wow......such actions is beyond wrong..!  what is in the Buyers Agency Contract that protects you when you do get a signature to the afore mentioned contract and do show such an individual a home???? thanks ;)  ron
    Posted by Ron Lipscomb (EXIT Realty) about 5 years ago
    It's just a standard form that identifies the property I am showing.
    Posted by Jim Crawford ~ Atlanta Real Estate-ABR E-PRO (RE/MAX Paramount Properties) about 5 years ago
    Jim - i am a newbie to here and to Real Estate....... so, please help me here..... a Buyers Agency Contract with you will prevent that person from going back to the other agent and giving that OTHER agent the credit if a sale happens???  so, such a contract would be your 'evidence' if you had to go to court that you were the 'procuring cause'????  i'll thank you in advance, Jim, for your time and help  ;)  ron
    Posted by Ron Lipscomb (EXIT Realty) about 5 years ago

    2 ways, you can use the buyer's agency as an idle threat (softly) to see if they are committed to the other agent or to find out if there is another agent...if so...why show at all?  It does not make sense unless it is your listing!  Or if they insist about seeing hte home, you've protected and documented that you are the procuring reason if it does sell, and are entitled to a commission.  If they don't want to sign at this point, and you are not the listing agent, DO NOT SHOW THE HOME!

    Example:

    If someone walks into a doctors office, and says I am not going to use your services, but I want to walk throught your entire facility just to satisfy my own curiosity....would someone else allow this behavior?  The doctor would probably call the police!  But in real estate we do this every day!  We are not professionals!

    Posted by Jim Crawford ~ Atlanta Real Estate-ABR E-PRO (RE/MAX Paramount Properties) about 5 years ago

    Wow - you seem to have hit a nerve here with all the responses.  This has happened to me, too.  As an ethical Realtor(R) I feel compelled to respect Buyer Agency relationships of other agents.  I would think a reputable agent going on vacation would have someone else cover his or her business. 

    When a buyer calls me, my first question is, are you already working with a real estate agent?  If they say yes, but my agent isn't available, my second question would be, can't someone else in your agent's office set up a showing for you?

    Posted by Brian Schulman - Your Lancaster County, PA Real Estate Expert (Coldwell Banker Select Professionals, Lancaster PA) about 5 years ago
    I can honestly say that I have not heard of any of this yet.  I personally only work face to face with clients that I have a buyer agency agreement with, and on the other end the first thing I ask a potential client when calling on my listing is if they have a buyer agency agreement with another agent.
    Posted by Bill Somerset -ABR®, E-PRO®, Realtor®, NH Real estate agent (Avalar Advantage Real estate) about 5 years ago

    This is a huge pet peeve of mine!  Agents who go away, and don't arrange for someone to cover for them -- and this goes for both, the buyers they are representing, as well as their listings!  Summer is coming, and I can only guess at the amount of calls that will be coming in once again with requests for showings because their agent is "at the shore".  What irks me even more, though, is when a listing agent is away and has not arranged for coverage -- and I have an offer to submit and am told that they will be back in two days or so and will present it then.  So, we're at risk of having another offer coming in while the agent is sunning themselves. 

    I haven't really seen any effects of buyer rebates here - I belive I've seen them offered but don't really think it has taken off.

    Posted by Jeannie Kontis about 5 years ago

    Brian  That is how things are supposed to be in the real world. We've already this morning alone, have received several calls where they have an agent already.  Then they get mad at us for not doing that agents work!  I men who is getting paid here.

    Bill I remember those days well!  Maybe because I work the Internet...

    Jeanne any agent worth their salt has someone cover for them.  However there are a lot of part time real estate agents that work other full time jobs, and we still will not get paid to do work for them!  It is very unprofessional!  I wrote a bog about part timers killing our industry!  The rebate thing is the most unprofessional of all real estate practices.

    Posted by Jim Crawford ~ Atlanta Real Estate-ABR E-PRO (RE/MAX Paramount Properties) about 5 years ago

    I agree!

    Posted by Eva about 5 years ago
    Thanks!  As an industry that espouses we are professionals.. let see do lawyers, doctors accountants offer cash back, reduced fees for multiple transactions?  No!  But real estate agents belly up to give it away!  What are they thinking?
    Posted by Jim Crawford ~ Atlanta Real Estate-ABR E-PRO (RE/MAX Paramount Properties) about 5 years ago
    I recently had a buyer referred to me by a lender that I work with.  When I called the buyer, he made sure to tell me that he had seen some homes with another agent, but he didn't sign an agreement with her and really wanted to work with me because I was highly referred by his lender.  He then told me that the other agent was willing to show him 10 homes that day if he would sign an agreement with her but he really wanted to work with me and wanted to know if I could show him the homes that day.  I politely declined and told him I don't work that way (popcorn Realtor), invited him to my office for an initial consultation to 1) Determine if we could even work together and 2) Determine his needs.  He accepted the appointment, but then he wouldn't take my calls to confirm.  Needless to say, I found out through the lender who referred him that he had "discovered" that a family friend was a Realtor and he decided to use her.  He still hasn't signed an agreement with her and she has complained to the lender that he is extremely difficult to work with.  I guess it's safe to say that I dodged a bullet.
    Posted by Buky Delle, VA Realtor (Keller Williams Realty) about 5 years ago
    We need to avoid to buyers that will not commit and trust our instincts!  It is interesting how some agents will work what we throw away...and be driven insane!
    Posted by Jim Crawford ~ Atlanta Real Estate-ABR E-PRO (RE/MAX Paramount Properties) about 5 years ago
    Holy cow! I didn't know that was how the rebates worked. No wonder the one company in our area that was offering rebates, has already gone out of business. No seasoned Realtor would show properties with no chance of compensation. That's just stupid.
    Posted by Lisa Hill (Daytona Beach Real Estate) (Florida Property Experts) about 5 years ago
    The rebate concepts doesn't make sense at all to me.  Either as a real estate agent or consumer.
    Posted by Jim Crawford ~ Atlanta Real Estate-ABR E-PRO (RE/MAX Paramount Properties) about 5 years ago
    This is so true! I have not had many of these calls but when they come in, the answer is "absolutely not". Good agents have a backup system when they are not availalbe. I know in my office when an agent is going out of town, another agent fills in for them and it's settled with a referral fee when an offer is written. The "buddy" system works wonders! Plus it keeps your clients from being "stolen" by an unethical realtor in another office or possibly the same office.
    Posted by Melissa Sall ~ Belmont County ~ Ohio ~ Realtor (Sulek & Dutton Real Estate) about 5 years ago
    Mellissa thanks.  You reaised a very good point about the "Buddy system!"  What is so dfficult to ask another agent to cover for you?  I would hate to be the client of these other agents..."I'm on vacation for the next 6 weeks overseas, don't do anything until I get back!"
    Posted by Jim Crawford ~ Atlanta Real Estate-ABR E-PRO (RE/MAX Paramount Properties) about 5 years ago
    I learned very early on in my career to ask the very important questions like: are you already working with an agent, does anyone in your family have a real estate license, do you have friends that have a RE License, and do you know how a realtor gets paid?? It was shocked to realize that most people do not realize we are only paid on what we actually write the contract with or refer to another agent.  I guess they think we wanted to be unpaid tour guides as a career.  This is one reason I try to get a buyer broker agreement signed.  I have on more then once told a client I would not work with them.  We must inform the client how we get paid and that we are justtrying to make a living and feed our family just like them
    Posted by Donna Oehler "AV Foreclosure Specialist" (Keller Williams Realty) about 5 years ago
    Donna, it sounds like you've done this before!  LOL!  Same here!  I guess that market has really gotten kind of lazy in the last few years and some agents take a chance, and some buyers like to lie.  Like you said, we prestty much have to do first things first!
    Posted by Jim Crawford ~ Atlanta Real Estate-ABR E-PRO (RE/MAX Paramount Properties) about 5 years ago

    I am a home buyer and I am actually working with a rebate broker.  He actually took me to 15 houses that I fonud.  The only thing he asked me was to make sure we see the houses that I am really interested in.  My broker actually took the time to explain the pros and cons of each house and was a lot more knowlegeable than the a typical broker.  There are bad apples in every bunch and for you to come out and say all rebate brokers are sleazy is wrong.  I am saving over $3000 in the purchase of my home.  $3000 which would have ended up in your pocket to buy a new cadilac or to have a bigger website to bash rebate brokers and take money out of pockets of  buyers such as me.  I am happy with my rebate broker and will use them next time I am planning to buy a house. If somebody wants their hand held every step of the way, then they can use a full house broker.  But if I am going to look through the internet and find houses, then I don't see why I should be paying more for a brokers services.  My broker is very ethical and we never resorted to the tactics that you describe in your article.   I think you need to face the reality of things, customers are becoming more savvy and with the internet, we will probably not need brokers pretty soon and maybe all of us can afford to live in nice houses and not just the agents.

     

    Thank you

    Hossein  

    Posted by Hossein about 5 years ago

    Well, the issue here is with the rebate brokers in question who do NOT take their clients to see the homes but want other agents to do that legwork for them.  Those, I think you'll agree, Hossein, are not providing the service that you say that your agent is, and, from what is being said here, that kind are not rare by any means. 

    Also, finding the house is just the beginning - and the most fun part, really - of the value of an agent.  If an agent is going to slack on that, they're even more likely to slack on the hard part that comes after the house is found, it seems to me. 

    Congratulations on finding an agent who meets your needs.  By the way, I drive a 1997 Dodge Ram 2500 Pickup - a farm truck - not a Cadillac or even a Toyota.  Paid cash for it long before I became an agent - couldn't do that since I became one.   (Thinking about the agents I know personally and none of them drives a luxury car, come to think of it.)  Live in a 1930's farm house out in the country because (among other reasons), it's more affordable than living in town, never mind living in town and paying board for my horses. 

    So while you complain about agents saying that all rebate brokers are bad, aren't you doing exactly the same thing with your comments regarding where the commission will go?  (Which, by the way, isn't into our pockets entirely - we get a split with our broker, and a lot of our part of the split goes to pay for marketing, gasoline to drive people around, professional fees, required (and not required but necessary to keep up) continuing education costs, health insurance, and a whole host of other expenses that anyone in business for themselves has to pay in order to stay in business.  Never mind taxes.  The broker's share goes to provide the building we do business out of, some of the advertising, office equipment, office help, insurance, and on and on and on.

    Posted by Tricia Jumonville, The Agent With Horse Sense (ERA Colonial Real Estate) about 5 years ago

    Hossein The difference between full service adn rebate service is that an experienced agent will tell you which are the best homes to meet your needs and qualify them accordingly.  Supposed you did get $3000 doilars back but bought a home that was priced way over market by $25,000 or the home has issues such as polybutalene plumbing, aluminum wiring, EIFS, synthetic stucco, LP siding...etc. did you receive advice there?  Did you recieve a market analysis of the home you purchased to make sure you were not overpaying?  Did you negotiate teh sales price, closing costs, use a home inspector that was code certified CABO?  It is my expereince that you may save on commission, but you lost big time elsewhere.  That is your choice...I prefer real advice as opposed to pick 15 homes you really want to see.  By the way I also do not drive fancy cars, but I do sleep at night with a clear conscience that I found the best deal for my clients, and negotiated an incredible price, and full home inspection.  Peopel buy homes everyday that they think are great, and perhaps they are.  But the real value of what you purchased you will never know until you try to resell the home.  That is when a lot of people all of a sudden realize they did not get the deal they thought they had.

    Tricia thanks for your comments.

     

     

    Posted by Jim Crawford ~ Atlanta Real Estate-ABR E-PRO (RE/MAX Paramount Properties) about 5 years ago

    Some great discussion about the practices we would all like to see avoided.

    But I don't see much discussion that as a Listing Agent I have a fiduciary responsibility to the Seller to do everything I can to facilitate the sell of their home, including possibly showing the property  to a prospective buyer who may be working with another agent.

    Someone asked in the discussion if have a Buyer Broker Agreement would "prove" Procuring Cause.  NO!  A Buyer Broker Agreement may mean a Buyer will have to come out of pocket to pay you (if you take them to court to enforce the Agreement), but it has nothing what-so-ever to do with Procuring Cause.

    Just last week I chaired a Procuring Cause case at our board.  Wow, a group of 6 Realtors was split down the middle as to which agent had been the Procuring Cause and was entitled to the cooperative commission.  In this case the Listing Agent was awarded the commission.  And yes, the Selling Agent did have a Buyer Broker Agreement. 

    Wonder if the Selling Agent explained to the Buyer that they might be on the hook for the percentage they agreed to pay the Buyer's Agent since the Buyer's Agent didn't get the commission split.  That would certainly wipe out any potential rebate huh?

    Posted by Bruce & Justine Bright (Keller Williams Realty) about 5 years ago
    Very interesting point.  I know of several real estate agents that have won an arbitrartion on procuring clise, the proble is...try and collect it!  Ruling are great, cash and recouping time are better.  I make every effort to show my own listings, however, this article started with IDX and broker reciprocity, and lies for buyers that only want doors open.  That is a very different matter.
    Posted by Jim Crawford ~ Atlanta Real Estate-ABR E-PRO (RE/MAX Paramount Properties) about 5 years ago

    Hossein, it's clear you did not take the time to read Jim's post.  I suggest you take a minute to read it an understand what his gripe is about.  I don't have a problem with rebate brokers and I would even rebate myself, but what's described by Jim is a sleazy practice.

    Having said that, before you give your soul to your rebate broker how do you know you got the best deal?  Just because you're getting $3k back at closing doesn't mean you did better than a non-rebater.  What if Jim found you a house at full commission but the final price is $5k less than Mr.Discount found you?  Who did the better job then?  The point is: you owe it to yourself to look at the full picture. 

    - Tchaka

    Posted by Tchaka Owen (Keller Williams Realty) about 5 years ago

    Thanks to all of you for helping me figure out some ways to stop this.  It is happening alot here in the Upstate of South Carolina!

    Sheri Sanders

    Posted by Sheri Sanders - Realtor/Broker -Easley,SC Real Estate (Prudential C Dan Joyner Co) about 5 years ago

    Tchaka  Thank you.  How does anyone know when they got the best possible deal?

    Sheri you are more than Welcome!

    Posted by Jim Crawford ~ Atlanta Real Estate-ABR E-PRO (RE/MAX Paramount Properties) about 5 years ago

    iIt sure takes away from the professionalism.

    I had an interesting situation.  I met a young man at an open house, who told me he was just starting to look and didn't think he was really a buyer at the time. I really stressed to him what an opportune time it was to buy and I did get his e-mail address and forwarded him three properties in areas I thought he might like.  The next day he called and asked me to show him two of the properties.  He liked one very much and has his significant other with him on the second showing.

    He then asked me to do a market analysis for him on his present home  and I suggested he get pre-approved if he was interested in this property.  So off he went to my loan officer and was pre-approved.

    THEN he tells me another agent had shown him another property and offered  to pay him $1,000 of the buyer commission.  He asked if I would consider doing that on this property. I told him I would have to think about it and let him know. We talked again  and I told him I reluctantly would do so......(however I did tell him that never in my 35 years+ of selling had I a buyer asking me to pay back part of my commission.......so it gets even better.   Then he said, that he wanted the listing on his home at 5% and another $1,000 paid to him from the listing end and he went on to tell me exactly what my dollars earned would be with both transactions.  THEN, he proceeds to tell me that the other

    agent had offered to do this and on this specific property also.  I told I was not willing to "go there"

    and in my opinion it was very unprofessional and unethical to do so.  However, the bottom line

    is MONEY and an agent that is either very hungry or just as you say "sleazy".  So the rest of the story is the agent probably  never even showed the home, but wrote the sale and got the listing.  It was a hard pill to take that this is what is happening in our market place and is not against the license law or Code of Ethics.  The  more difficult the market and the hungrier the agents, we will be probably be  seeing a lot of this going on much to my chagrin.

     

     

     

    Posted by Jeanne Patrick (N P Dodge Company) about 5 years ago
    Buyers are liars!  There also may be a chance it is illegal.  Unethical is one thing state laws for real estate are another.  I sometimes think that in the states where kicking back is illegal, who to say that testers are not involved?
    Posted by Jim Crawford ~ Atlanta Real Estate-ABR E-PRO (RE/MAX Paramount Properties) about 5 years ago

    Great article...well written and good observation. These are the lazy agents too! I have an article about discount agents.......very similar theme.

    Keep up the good work and anyone outside of AZ....register for referrals on our website...as long as you arn't an "evil" agent!

    www.boldtalent.com

     

    Posted by Michelle Shelton about 5 years ago
    Thank you Michelle
    Posted by Jim Crawford ~ Atlanta Real Estate-ABR E-PRO (RE/MAX Paramount Properties) about 5 years ago

    Participate



    (optional)
    What does the graphic say?