Ever since I decided to buy a home for myself, I have noticed more and more the increasingly unethical manner in which agents deal with their listings. Withholding offers, artificially inflating prices and then selling to their own buyers (so they can increase their own commission) at LOWER prices! It makes me wonder how this market is ever going to get fixed. In 2006, the problem was predatory lending practices, unscrupulous loan officers and unethical notaries. Today, it seems as if Real Estate Agents are making up for lost time and joining in the game. With today’s shortage of inventory, it’s not uncommon for an agent to sell a house within days of listing it and more and more, listing agents are holding out to find their own buyers so they can feed their greed.
The only way to remedy this situation, IMHO, is for sellers and homeowners to wake up and be a more active part of their home-selling process. Make sure that you clearly tell your agent you want to see all offers presented within a reasonable time of being presented to the agent. Make yourselves aware of the rules and regulations concerning listings and agency agreements with your listing agent. Below are a few sections of the MLS rules pertaining to offers.
9.4 Presentation of Offers. The listing broker must make arrangements to present the offer as soon as possible, or give the cooperating broker a satisfactory reason for not doing so. In the event the listing broker will not be participating in the presentation of offers, the listing broker shall clearly indicate this fact in the listing information published by the MLS.
9.5 Submission of Offers and Counter-Offers. The listing broker shall submit to the seller(s) all offers and counter-offers until closing unless precluded by law, governmental rule, or expressly instructed by the seller(s)/landlord(s) otherwise. The cooperating broker acting for a buyer(s)/tenant(s), shall submit to buyer/tenant all offers and counter-offers until acceptance unless precluded by law, governmental rule, or expressly instructed by the buyer(s)/tenant(s) otherwise.
9.6 Right of Cooperating Broker in Presentation of Offer. The cooperating broker has the right to participate in the presentation of any offer to purchase he or she secures. The cooperating broker does not have the right to be present at any discussion or evaluation of that offer by the seller(s) and the listing broker. However, if the seller(s) give written instructions to the listing broker requesting that the cooperating broker not be present when an offer the cooperating broker secured is presented, the cooperating broker shall convey the offer to the listing broker for presentation. In such event, the cooperating broker shall have the right to receive a copy of the seller’s(s’) written instructions from the listing broker. Nothing in this section diminishes or restricts the listing broker’s right to control the establishment of appointments for offer presentations.
In today’s economy you have to be your own best advocate and know your rights! If you want top dollar for your home, you have to be proactive and informed!
As a Mortgage Advisor, I expand my client base exclusively through referrals from satisfied clients, friends and associates. How do I do this? First, I pay attention. That means I listen to my clients when they speak and I take note of all the details of their situation and I am sensitive to their needs. In doing so, I earn and keep all my clients trust.
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