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Pretty stupid Realtor if you ask me. How much of nothing is 75%? One more reason I don't like realtors very much - while they are helpful for people who know nothing about real estate, they simply muck up the business of doing business for investors. In this case it looks like a seller who won't be able to sell and a buyer who won't be able to close and a foreclosure down the line.
When you go get paid on Friday or what ever day you do and your boss says, "I decided I am only going to pay you half of what you usually get paid", are you just going to say to yourself, it's better than nothing?
I doubt it, just because an agent is contracted differently does not mean an agreed upon amount should be able to be negotiated after the fact.
Someone says they are going to pay you $20 for an hours work you expect to get paid $20 for the hours work, not have them say their widgets aren't making them as much as they thought so you are only getting paid $10.
When you go get paid on Friday or what ever day you do and your boss says, "I decided I am only going to pay you half of what you usually get paid", are you just going to say to yourself, it's better than nothing?
I doubt it, just because an agent is contracted differently does not mean an agreed upon amount should be able to be negotiated after the fact.
Someone says they are going to pay you $20 for an hours work you expect to get paid $20 for the hours work, not have them say their widgets aren't making them as much as they thought so you are only getting paid $10.
Unfortunately it's not $20 for an hours work.
The way the average agent compensation works is an agent spends a lot of time showing houses to buyers that don't buy and taking listings that don't sell,and doing other things that they are not financially compensated for.
So their share of the 4-6% commission has to take care of all these unpaid hours so they can earn a living.
Not sure what the #'s are in your listing ,but I would think a savvy agent would not take a listing that the market value minus commission is not enough to pay off the mortgage.
I'm curious is the OP is bringing any cash to the table. at all. Would the OP be surpised to know that the majority of short sales require the seller to cough up some kind of capital contribution?
To the OP: You are asking someone to forgive thousands of dollars of debt. Why should everyone in the transaction pay for your mistakes?
Pretty stupid Realtor if you ask me. How much of nothing is 75%? One more reason I don't like realtors very much - while they are helpful for people who know nothing about real estate, they simply muck up the business of doing business for investors. In this case it looks like a seller who won't be able to sell and a buyer who won't be able to close and a foreclosure down the line.
What about 50%? 25%? Those are more than nothing. Should a realtor accept that as well?
We don't have all of the details, so it's hard to comment, but you contracted with a company who brought you a ready, willing and able buyer, will navigate you through the inspection, appraisal and buyer's underwriters and now you are looking for a way to cut his fee by 25%? Do you read how many homeowners on these forums would love to trade places with you right now? That "lousy 6% commission," which gets split with the office, has to cover marketing and selling expenses, federal, state and local + social security and medicare taxes and business overhead and is how that agent feeds his family. Perhaps you have friends/family or an employer who could help you out of this predicament.
"We don't have all of the details, so it's hard to comment,..."
"We don't have all of the details, so it's hard to comment,..."
Pretty much defines the point, IMO.
But it's fun to speculate , which is pretty much what anyone gets when they ask questions here. Answers are based on the information presented and the person's biases that answers. The "story" presented may be factual or not, biased, and not fully present the other side of the issue.
Pretty stupid Realtor if you ask me. How much of nothing is 75%? One more reason I don't like realtors very much - while they are helpful for people who know nothing about real estate, they simply muck up the business of doing business for investors. In this case it looks like a seller who won't be able to sell and a buyer who won't be able to close and a foreclosure down the line.
Does the fact that the seller signed a contract and agreed to pay this agent mean nothing? Does the fact the agent did the work, spent his time energy & money to market the house, and brought a ready willing & able buyer to the table, mean nothing? You act as if the agent simply stepped in & said "hey, I want some of that money." No one is ever forced to hire a real estate agent. You don't like them, don't hire one. Do the work yourself. Same thing I tell people who say they don't like lawyers or accountants or mechanics or painters. You hire someone to do work that you cannot, or don't want to, do yourself. But when one DOES hire an agent, or ANY service professional for that matter, and agrees by contract to pay a certain fee, then one is obligated to abide by the agreement they signed, aren't they?
At the end of the week, or month, or whenever you get paid, if your employer comes to you and says that, despite you having done the job you were hired to do, he can only afford to pay you 75% of your salary, are you going to meekly allow that to happen? Why do you expect anyone else to?
I'm curious is the OP is bringing any cash to the table. at all. Would the OP be surpised to know that the majority of short sales require the seller to cough up some kind of capital contribution?
To the OP: You are asking someone to forgive thousands of dollars of debt. Why should everyone in the transaction pay for your mistakes?
This OP isn't doing a short sale. The only money that is in question for not being settled in full is the agent's commission.
I'm curious where that stat came from, though. We've done quite a few short sales in our office now, and not one seller has had to bring a dollar to closing.
Quote:
Originally Posted by rjrcm
or 5, as mentioned by Silverfall above, let it close and then deal with the agent afterwards, probably in court.
In my mind, I was including that in with #2, negotiating with the agent, but you're right, I didn't type that out. I still think it is better to work something out before closing, and I would suggest talking to the broker.
Pretty stupid Realtor if you ask me. How much of nothing is 75%? One more reason I don't like realtors very much - while they are helpful for people who know nothing about real estate, they simply muck up the business of doing business for investors. In this case it looks like a seller who won't be able to sell and a buyer who won't be able to close and a foreclosure down the line.
The agent isn't stupid. They are asking the seller to follow through on their agreement for payment. It sounds like the OP is, with some sort of payment plan as they don't have the cash. If my fee was the only reason a client would be forced into a short sale, I would 100% work out a payment plan with them. Charge them an extra 3.5% to pay for Paypal fees and send them a bill once a month. I'm not going to force someone into a short sale when they can clear title with some flexibility on my part. I have no problems going to small claims and seeking a judgment if needed though. Would you guys really force a short sale when your fee is the only thing sending them in that direction? Especially in this case where they can give you 75% of it. Pay the buyer agent their fee as planned and work out a payment plan for the rest. Charge a crazy high interest rate for a missed payment. What am I missing? Why is this a bad idea?
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, which is pretty much what anyone gets when they ask questions here. Answers are based on the information presented and the person's biases that answers. The "story" presented may be factual or not, biased, and not fully present the other side of the issue.
