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Curious if it is considered unethical for a homeowner who is also an agent to sell a home to another agent thru an attorney to avoid commissions if there is another offer from a client that is represented by an agent?
I don't have an absolute yes or no but it seems to me that a) a seller is free to sell to whomever they wish and b) I believe most brokers have rules regarding the manner in which their agents may sell their own properties.
I don't have an absolute yes or no but it seems to me that a) a seller is free to sell to whomever they wish and b) I believe most brokers have rules regarding the manner in which their agents may sell their own properties.
The deal here generally waives the listing commission. The buyer agent commission is paid if there is a buyer's agent. There would be no ethical conflict if a deal with another agent waiving the commission was agreed to. Seller can always choose the deal which is felt to offer the best return. An agent/seller would be the same.
Curious if it is considered unethical for a homeowner who is also an agent to sell a home to another agent thru an attorney to avoid commissions if there is another offer from a client that is represented by an agent?
If they're both agents, I'm not sure why there would be an attorney needed. Is that a requirement in your state?
As said above... as many real estate agents are also real estate investors, brokerages often have rules about selling our own properties... a number per year, or otherwise. They would want to follow those rules.
Last edited by Diana Holbrook; 09-01-2016 at 11:43 AM..
Curious if it is considered unethical for a homeowner who is also an agent to sell a home to another agent thru an attorney to avoid commissions if there is another offer from a client that is represented by an agent?
A principal residence...or other real estate? In some states (Michigan among them), a licensed Real Estate Salesperson can only legally sell real estate--other than a principal residence--by listing it through a brokerage. I guess that breaking the law would also be considered unethical.
A principal residence...or other real estate? In some states (Michigan among them), a licensed Real Estate Salesperson can only legally sell real estate--other than a principal residence--by listing it through a brokerage. I guess that breaking the law would also be considered unethical.
Interesting....
I bet most of your local flippers and investors decline to get licensed just for that fact.
A principal residence...or other real estate? In some states (Michigan among them), a licensed Real Estate Salesperson can only legally sell real estate--other than a principal residence--by listing it through a brokerage. I guess that breaking the law would also be considered unethical.
Does that really change anything? Here it would be relatively easy for a producing agent to work an arrangement for his own properties. So they are listed but no listing commission and arrangements can be made for buyer commission between agents or the agent double dips it only.
A principal residence...or other real estate? In some states (Michigan among them), a licensed Real Estate Salesperson can only legally sell real estate--other than a principal residence--by listing it through a brokerage. I guess that breaking the law would also be considered unethical.
Here is needs to go through the brokerage too, but it doesn't have to be on the MLS. You can list your home not on the MLS here as an agent. It is only the MLS that requires a co-op, not listing through the brokerage.
So it would depend on brokerage rules regarding the sale of personal residences. Most brokerages here do personal residences of their agents for free.
OP, you need to talk to your broker and find out the brokerage rules regarding the sale of your personal residence. You also need to find out your MLS rules to see if there is a variable commission rate disclosure requirement.
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