Can we trust our agent ?? (contracts, agreement, closing, seller)
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Please hire a real attorney, not a quasi wanna be to protect your interests, not some commission.
It makes no sense to play with the numbers where it would be easier for them to collect on a below market sale. Also, commissioned sales people are not qualified appraisers so why would anyone use their "opinion"? Real estate is a huge investment, as you know, so don't be cheap about the legal advice. Hopefully, AI will eliminate some of the nonsense going forward but for now, use professionals.
And.... Attorneys ARE licensed qualified appraisers who visit the house and propose marketing plans?
Nope. They do contracts. That is what attorneys do.
The agent is proposing we ask below what they say is the new CMA, and below what we need for the home to get people in the door and get multiple offers (fingers crossed). If they get a full offer at the listing price......(remember, lower than thier CMA, and what we need), can they sue for a commission based on the full price offer, therefore fulfilling the contract, and us not accepting that offer.
Do your own market analysis. It ain't rocket science to look up recent sales of comparable homes in your area. The real estate websites have photos in and out. You can drive by for a closer look. You can use google maps for aerial and street views. You can check property records online for additional information.
Once you have verified as best as you can that the CMA price is accurate, you decide what to list it at.
As for getting sued, never rely on anybody telling you it will never happen. Read the listing contract thoroughly and carefully before signing. Read it several times. If there are any terms that you don't like, insist that the realtor take them out. If she refuses, send her away and advertise the house For Sale By Owner cause I doubt that any realtor will agree to modify a standard listing contract that the Association of Realtors makes them use.
Do your own market analysis. It ain't rocket science to look up recent sales of comparable homes in your area. The real estate websites have photos in and out. You can drive by for a closer look. You can use google maps for aerial and street views. You can check property records online for additional information.
Once you have verified as best as you can that the CMA price is accurate, you decide what to list it at.
As for getting sued, never rely on anybody telling you it will never happen. Read the listing contract thoroughly and carefully before signing. Read it several times. If there are any terms that you don't like, insist that the realtor take them out. If she refuses, send her away and advertise the house For Sale By Owner cause I doubt that any realtor will agree to modify a standard listing contract that the Association of Realtors makes them use.
This is the sort of dreadful advice we see so often.
So, we had an agent give us a market evaluation on our home last spring, she gave us a number I thought was pretty good....enough to consider selling, but not just yet at that time. Fast forward to 2 weeks ago, we are closer to pulling he trigger, and told her we would likely sell for 10% more than the number she placed on the house last spring, and wouldn't you know it.....wah lah !, new market analysis puts it at a 10% increase, wife is like "Really ".....what to believe. My thing is, she will list it below what we would accept, get the listings full asking price, knowing we have a higher number in our mind, and if we turn down the full price offer, get sued for her commission being she brought in a full offer as per contract......sound like a reasonable suspicion ?
Two questions . . .
1. In the CMA did your agent provide you with comparable sales? Do these houses seem comparable to your own and do they justify the 10% value increase? When I talk to a client I don't expect them to take me at my word. I give them data and facts to justify what I'm telling them.
2. Have you seen the listing contract yet? Is it written in a fashion where the agent could sue you if you were presented with a full price offer? My contract does not have language that would create such a situation and I'm also up in New England although I'm in MA. I will say real estate in New England and generally the Northeast tends to run differently than the rest of the country. So keep that in mind as you read replies.
Quote:
Originally Posted by Silverfall
This doesn't make any sense. If you want to sell for a certain price, list it at that price. You are signing a CONTRACT so she cannot list it below what you agree to in the contract.
Also if you are having these thoughts now, interview other agents.
How does it not make sense? My market is still hot. A lot of the Northeast is still hot. I list homes under what I expect to sell them for quite regularly. I get multiple offers. Buyers get passionate about getting the house and often offer more than they would in a non-competitive situation. So, I do what I can to create and inspire a competitive spirit when I'm on the listing side. Listing low is an easy way to creat that.
Quote:
Originally Posted by MikeJaquish
1. Your contract with the agent will include language citing "price AND terms."
There are many more terms than just price. If you don't like the price, you can quibble on the terms.
"For that price, we would need to close next week, with up to three months rent-free occupancy after closing, buyer inspection waived, making no repairs for the buyer..."
2. Of course, if you have so little trust and confidence in the agent, that you might feel the need to jump through such hoops, you definitely need to speak with other agents.
3. As said, getting sued for a commission just doesn't happen.
4. And, you could have language added to the contract stating that the listing price is just a solicitation for offers, which it definitely is, and not a figure binding on you to accept. Should be drafted by an attorney.
5. When your property is properly prepared, presented, and marketed, the market won't lie to you as to the value of your property, and it really doesn't care how much you need to receive. That is a firm fact.
Excellent advice as always. I just want to add that suing your own client is BAD optics for an agent. Most won't do it. I've had clients I could sue for commission in the past. I didn't do it.
Quote:
Originally Posted by Heidi60
Please hire a real attorney, not a quasi wanna be to protect your interests, not some commission.
It makes no sense to play with the numbers where it would be easier for them to collect on a below market sale. Also, commissioned sales people are not qualified appraisers so why would anyone use their "opinion"? Real estate is a huge investment, as you know, so don't be cheap about the legal advice. Hopefully, AI will eliminate some of the nonsense going forward but for now, use professionals.
You know . . . as bad as the advice is in this post there's some gold in here if you mine hard enough. As Heidi said "use a professional" as in take the advice of the professionals here that are commenting. Ignore the keyboard jockeys who think they know what they're talking about but don't have the credentials, training, experience, or knowledge to actually know what they're talking about.
Quote:
Originally Posted by adjusterjack
Do your own market analysis. It ain't rocket science to look up recent sales of comparable homes in your area. The real estate websites have photos in and out. You can drive by for a closer look. You can use google maps for aerial and street views. You can check property records online for additional information.
It's not rocket science and yet it does take knowledge and experience to do effectively. I can't tell you how frequently I've seen sellers present their own CMA to me and it includes comparables that . . . well aren't so comparable. Many lay people also have no idea how to make value adjustments. One of my oldest friends is an appraiser and we always joke about the one guy who told him his house was worth $550K because his neighbor's house is very similar and he sold it recently for $500K but this guy recently did $50K worth of landscaping so his house must be worth $550K right? NOPE!
Quote:
Originally Posted by adjusterjack
Once you have verified as best as you can that the CMA price is accurate, you decide what to list it at.
I would encourage the OP to try and verify the CMA the agent gave them but at the same time be open to discussing it because they might not know how to interpret it.
Quote:
Originally Posted by adjusterjack
As for getting sued, never rely on anybody telling you it will never happen. Read the listing contract thoroughly and carefully before signing. Read it several times. If there are any terms that you don't like, insist that the realtor take them out. If she refuses, send her away and advertise the house For Sale By Owner cause I doubt that any realtor will agree to modify a standard listing contract that the Association of Realtors makes them use.
The only thing I ever say "never" about is that I will never use the word "never." If the OP would feel more comfortable then have an attorney review the contract.
Also, I make cross outs on my listing contract all the time. I'm not an attorney so I try to avoid creating language whenever possible but terms my clients don't like I just cross out.
How does it not make sense? My market is still hot. A lot of the Northeast is still hot. I list homes under what I expect to sell them for quite regularly. I get multiple offers. Buyers get passionate about getting the house and often offer more than they would in a non-competitive situation. So, I do what I can to create and inspire a competitive spirit when I'm on the listing side. Listing low is an easy way to creat that.
Because the OP was UNWILLING to accept that lower list price amount. It is one thing to list at a lower price than you think you might get if your seller is willing to accept that lower price if you are wrong. It is another thing to list at a lower price than you think you might get if your seller is unwilling to accept that lower price if you are wrong.
Listing at a lower price than your seller is willing to accept makes absolutely no sense. That is false advertising. I 100% stand by my comment, and I find it highly unethical to do so.
1. In the CMA did your agent provide you with comparable sales? Do these houses seem comparable to your own and do they justify the 10% value increase? When I talk to a client I don't expect them to take me at my word. I give them data and facts to justify what I'm telling them.
2. Have you seen the listing contract yet? Is it written in a fashion where the agent could sue you if you were presented with a full price offer? My contract does not have language that would create such a situation and I'm also up in New England although I'm in MA. I will say real estate in New England and generally the Northeast tends to run differently than the rest of the country. So keep that in mind as you read replies.
No CMA shown to justify 10% increase.....no listing contract viewed or signed either.
Because the OP was UNWILLING to accept that lower list price amount. It is one thing to list at a lower price than you think you might get if your seller is willing to accept that lower price if you are wrong. It is another thing to list at a lower price than you think you might get if your seller is unwilling to accept that lower price if you are wrong.
Listing at a lower price than your seller is willing to accept makes absolutely no sense. That is false advertising. I 100% stand by my comment, and I find it highly unethical to do so.
Would you decline a listing if the prospective client required to list low to get attention?
Legit: A listing is nothing but a solicitation for offers.
The listing price is not "The Price."
Last edited by MikeJaquish; 03-09-2024 at 06:32 AM..
I helped my parents sell their house a while ago. Their agent asked me what the lowest we'd go was and wouldn't you know it, she came back with an offer a few days later for that exact amount. Yep, pretty sure she told the other agent what our bottom line was. So much for good faith. Agents aren't too far from car salesman. Some agents.
I helped my parents sell their house a while ago. Their agent asked me what the lowest we'd go was and wouldn't you know it, she came back with an offer a few days later for that exact amount. Yep, pretty sure she told the other agent what our bottom line was. So much for good faith. Agents aren't too far from car salesman. Some agents.
"Some agents."
Thanks for that.
I have met a LOT of real estate agents, and I agree with that.
I don't think I ever asked a seller what was the lowest offer they would accept. Agent should present the offer(s) to the sellers, list the term details and the strengths and weaknesses. Make recommendations, and the seller decides.
It is really that simple, and often the easy part of getting to contract.
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".....what to believe. My thing is, she will list it below what we would accept, get the listings full asking price, knowing we have a higher number in our mind, and if we turn down the full price offer, get sued for her commission being she brought in a full offer as per contract......sound like a reasonable suspicion ?
