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Okay, maybe I misunderstood. I thought the client was an agent. Not that she was sending someone.
I think I'm correct.
Client is a licensed real estate agent. Comes into a new area and gets shown a few houses that she otherwise would not have found. She decides on one and tells the office agent and gives him her card and asks for a referral BEFORE they write the offer.
In reality, she could've just written the offer herself and cut them out completely. She didn't. She let them write the offer and collect a commission and only asked for a referral fee.
Somehow, I must be gapping b/c I do not only see nothing wrong with that, I think she actually was being quite nice by involving a professional at all when she is one. She could've written the offer herself less 3% and justified that to the seller's agent by saying "I'm a licensed RE agent and I'll be representing myself and my end of the transaction." And then offered the guy who showed her the houses a finder's fee for finding the house.
You are right. She is licensed. In real estate you have to be up front and honest. She was neither. She allowed the Realtor to show her houses under the pretense that she was a regular buyer, not a licensed salesperson or broker.
She is from out of the area. She would not automatically be entitled to any coop fee offered to MLS members for successfully closing that property.
Is seems reasonable, but it's not. The local Realtor had no choice to turn down the referral before work was done.
Okay, explain that to me. How was she not up front and honest if she disclosed BEFORE the offer? If she's a licensed realtor in the state, then why wouldn't she be able to transact as a professional and negotiate a 3% reduction in price? And how did the local realtor not have any choice but to turn down the referral? WHAT???
Okay, explain that to me. How was she not up front and honest if she disclosed BEFORE the offer? If she's a licensed realtor in the state, then why wouldn't she be able to transact as a professional and negotiate a 3% reduction in price? And how did the local realtor not have any choice but to turn down the referral? WHAT???
Because she let the agent work with and show her around until she finds a home she likes. The then proceeds to ask for referral at the time they are getting ready to offer.
She should have told the agent this before she dragged the agent around and wasted her time and gas. To not disclose that information at first contact was dishonest and misleading. The agent may have elected to not work with her but no choice was given.
I understand that you all would've liked for her to say the minute she walked through the door that she was an agent, but that doesn't mean she was dishonest. She may not have behaved how you would've behaved, but again that doesn't constitute dishonesty.
She dragged the agent around? Isn't that the agent's job?
The agent was given the choice not to work with her. She disclosed before the offer was written. The worst the agent was out was one day and a little gas - the price of doing business. When she disclosed, asked for the referral fee and wrote the offer, the agent should've been jumping up and down. He/She only spent ONE DAY showing her around, had a client that was educated and well versed which was going to make the transaction that much easier, and had an offer written the SAME day.
I think you guys are being a little too hard here.
I understand that you all would've liked for her to say the minute she walked through the door that she was an agent, but that doesn't mean she was dishonest. She may not have behaved how you would've behaved, but again that doesn't constitute dishonesty.
She dragged the agent around? Isn't that the agent's job?
The agent was given the choice not to work with her. She disclosed before the offer was written. The worst the agent was out was one day and a little gas - the price of doing business. When she disclosed, asked for the referral fee and wrote the offer, the agent should've been jumping up and down. He/She only spent ONE DAY showing her around, had a client that was educated and well versed which was going to make the transaction that much easier, and had an offer written the SAME day.
I think you guys are being a little too hard here.
Maybe you would have to work referrals a little and drill a few other dry holes to understand.
I agreed I was being a little hard, but only in light of Jane's kindly-made point that basically, some times you must go along to get along.
Funny thing about being licensed. Although many of us have feet of clay, we are expected to hold ourselves to a higher standard than the people we serve.
It shouldn't be any different agent to agent, I think.
ONE day is taken from us too often by unforeseen circumstances or by the public who treats us as disposable. And quite often, that ONE day is given willingly, even though it is recognized in advance that it will not be profitable.
To have it taken by stealth by a licensed agent is extremely poor professional deportment and is not acceptable.
When I visit a real estate office, I let them know immediately upon meeting that I am "Mike Jaquish with Keller Williams Realty."
That is fundamentally expected and proper behavior of a licensed agent.
I am a licensed agent, and I wouldn't/haven't disclosed this upon first meeting. I want the agent/office I'm doing business with to treat me as if I were just another client. As long as I disclose it before the transaction commences, I don't think I'm being deceitful or dishonest.
If she hadn't asked for a referral fee, but didn't disclose she was an agent until time to write the offer, is she still dishonest?
I am a licensed agent, and I wouldn't/haven't disclosed this upon first meeting. I want the agent/office I'm doing business with to treat me as if I were just another client. As long as I disclose it before the transaction commences, I don't think I'm being deceitful or dishonest.
If she hadn't asked for a referral fee, but didn't disclose she was an agent until time to write the offer, is she still dishonest?
Dishonest is your word, not mine, so I can't respond to that "...still..."
"Extremely poor professional deportment" is my term, and I am quite comfortable with that.
And I think the relationship, from first meeting through closing is the definition of the transaction between agent and client. Ergo, disclosure of the agent's license would be expected at first meeting.
However, if you truly want to be treated as if you ..."were just another client," obviously you would not ask for a referral fee at any step of the transaction.
No problem.
Sorry, Mike. 2binDenver said she was not up front and honest in how she did it. That is where the "dishonest" thing came from.
And you're right. I've never asked for a referral fee, not even when my purchase was in excess of 1 mm. But just b/c I wouldn't/didn't does not make me think that anyone else shouldn't. It just never occurred to me. It would now. LOL!
I disagree wholeheartedly with your assertion that a relationship is formed at first meeting. I've met a lot of realtors that I actually spoke with, met with, looked at things with and we didn't connect and there is no relationship there.
You must not mistake what you expect to be the norm or professional for someone else.
Sorry, Mike. 2binDenver said she was not up front and honest in how she did it. That is where the "dishonest" thing came from.
And you're right. I've never asked for a referral fee, not even when my purchase was in excess of 1 mm. But just b/c I wouldn't/didn't does not make me think that anyone else shouldn't. It just never occurred to me. It would now. LOL!
I disagree wholeheartedly with your assertion that a relationship is formed at first meeting. I've met a lot of realtors that I actually spoke with, met with, looked at things with and we didn't connect and there is no relationship there.
Oh, but there was a relationship there. It was brief and just didn't work out. It may have not worked out even more quickly if you had thrown a 25% referral on the table.
Quote:
Originally Posted by MsFancyPants
You must not mistake what you expect to be the norm or professional for someone else.
Maybe my error in expectation of professionalism where none is required...
I know that the OP, DMenscha is a member of NAR.
And, from the NAR COE:
Standard of Practice 3-7 When seeking information from another REALTOR® concerning property under a management or listing agreement, REALTORS® shall disclose their REALTOR® status and whether their interest is personal or on behalf of a client and, if on behalf of a client, their representational status.
Of course, I do not know if the other agent is a REALTOR® and maybe should not have expectations of that level of ethical behavior.
Of course, the "...'we do it all the time agent to agent' (In CA fees are paid broker to broker and not salesperson to salesperson) " is somewhat telling, unless there are other circumstances that would waive the law. I didn't get that impression from DMenscha's tale.
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