Listing Agent refuses to look at my back-up offer (property, escrow, broker)
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I think the public's perception is way off on their idea of agents lying about competing offers and buyers. Considering all the reports here of multiple offers in many markets, it seems those listing agents are probably most often telling the truth.
I'd wager in situations where I'm the listing agent and I have multiple offers it isn't believed 60-70% of the time and only 1 or neither buyer improves the offer. When I'm in the buyers agent I'd say about 50% of the time my people don't raise their offer because they don't believe and every time it's happened their actually has been another offer and they got it.
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(set 22 days ago)
Location: Cary, NC
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I recently sold a listing twice within two weeks, multiple offers both times. (First buyer walked in a week.)
My seller handled it perfectly, and told me to NOT tell anyone there was more than one offer, but to negotiate individually with each buyer.
No one was told there were other offers.
Buyers should never assume there is no other interest. If they see value, so do a thousand other people.
In my case... the buyer's agent negotiated a 100k price reduction from list with a 60 day escrow.
My full price, cash offer, which the listing agent first refused to write up, ultimately went directly to the seller. I knew the property, was friends of the owner's deceased husband for thirty years and was there when they built...
Once I made my offer directly to the seller, the listing agent called me and said the other offer will be out of contract at midnight tomorrow.
Tomorrow came and went without the buyer removing contingencies... I thought I was in... the listing agent sent a notice providing a very short time frame and the buyer removed all contingencies... he was trying to get the price a little lower.
Then, about a month later, the buyer couldn't get loan approval... so I thought it would be mine
The buyer's agent fronted a substantial sum of money to the buyer, a bridge loan, so the buyer could close.
In exchange, the buyer's agent would be listing two properties the buyer owned and would get paid from the sale proceeds and have two more commissions.
Anyone that says an agent doesn't earn their money is wrong... if it would not have been for the buyer's agent... the price wouldn't have been negotiated down and the buyer would not have had the money to close.
The buyer's agent has been keeping in touch with me... guess he's thinking he can find me a suitable property... problem is... I compare everything to the place I lost and nothing comes even close...
Status:
"Made the Retirement Run in under 12 parsecs!!!"
(set 22 days ago)
Location: Cary, NC
43,176 posts, read 76,815,786 times
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Quote:
Originally Posted by Ultrarunner
In my case... the buyer's agent negotiated a 100k price reduction from list with a 60 day escrow.
My full price, cash offer, which the listing agent first refused to write up, ultimately went directly to the seller. I knew the property, was friends of the owner's deceased husband for thirty years and was there when they built...
Once I made my offer directly to the seller, the listing agent called me and said the other offer will be out of contract at midnight tomorrow.
Tomorrow came and went without the buyer removing contingencies... I thought I was in... the listing agent sent a notice providing a very short time frame and the buyer removed all contingencies... he was trying to get the price a little lower.
Then, about a month later, the buyer couldn't get loan approval... so I thought it would be mine
The buyer's agent fronted a substantial sum of money to the buyer, a bridge loan, so the buyer could close.
In exchange, the buyer's agent would be listing two properties the buyer owned and would get paid from the sale proceeds and have two more commissions.
Anyone that says an agent doesn't earn their money is wrong... if it would not have been for the buyer's agent... the price wouldn't have been negotiated down and the buyer would not have had the money to close.
The buyer's agent has been keeping in touch with me... guess he's thinking he can find me a suitable property... problem is... I compare everything to the place I lost and nothing comes even close...
I think the root of the problem... besides some bad luck... is no one took me seriously.
The first thing the listing agent said when I contracted her was the property went into contract a couple of hours earlier and when I told her I wanted to make a back-up offer... she asked for a pre-approval letter before going forward...
I've never used one or had anyone ask for one as a condition of making an offer
In any event... my offer was cash to seller so why would that be a problem?
My commercial broker brother who was vacationing called the agent when he got home... about the same time my offer reached the seller. He said they had a nice talk and he told her I wanted the property and had the means to pay for it.
I had not been looking to move... but, when your dream home is for sale... it changes everything.
You're right on the buyer's agent... one of the reasons a notice was sent out is because the buyer's agent has quite a reputation as a fighter and the listing agent didn't want to get into a fight.
Status:
"Made the Retirement Run in under 12 parsecs!!!"
(set 22 days ago)
Location: Cary, NC
43,176 posts, read 76,815,786 times
Reputation: 45533
Quote:
Originally Posted by Ultrarunner
I think the root of the problem... besides some bad luck... is no one took me seriously.
The first thing the listing agent said when I contracted her was the property went into contract a couple of hours earlier and when I told her I wanted to make a back-up offer... she asked for a pre-approval letter before going forward...
I've never used one or had anyone ask for one as a condition of making an offer
In any event... my offer was cash to seller so why would that be a problem?
My commercial broker brother who was vacationing called the agent when he got home... about the same time my offer reached the seller. He said they had a nice talk and he told her I wanted the property and had the means to pay for it.
I had not been looking to move... but, when your dream home is for sale... it changes everything.
You're right on the buyer's agent... one of the reasons a notice was sent out is because the buyer's agent has quite a reputation as a fighter and the listing agent didn't want to get into a fight.
With no loan preapproval or proof of funds, a proper response from the SELLER via the agent would be "Get a preapproval or prove you have the funds to close."
But, unless the agent has instructions from the seller to that effect and is charged with rejecting offers without preapproval or proof of funds, the agent must convey the inquiry or offer to the seller.
...You're right on the buyer's agent... one of the reasons a notice was sent out is because the buyer's agent has quite a reputation as a fighter and the listing agent didn't want to get into a fight.
Not sure how you were wronged as Mike put it. In AZ, the listing agent would be required to send a 3 day cure notice to the buyer if they missed a deadline before the seller could cancel and move on. May be different in your state.
With no loan preapproval or proof of funds, a proper response from the SELLER via the agent would be "Get a preapproval or prove you have the funds to close."
But, unless the agent has instructions from the seller to that effect and is charged with rejecting offers without preapproval or proof of funds, the agent must convey the inquiry or offer to the seller.
Proof of funds is a simple as brokerage and bank statements...
The seller sent me a nice note saying she had been rooting for me and sorry that I didn't get the place.
On the pre-approval/pre-qualified... never put much stock in those... I can't count how many times my Real Estate friends have told me they are just about worthless when push comes to shove...
Even my Mortgage Broker friend said they don't mean much and he can always get out of them if need be.
I guess my question is what do they really mean?
And on the flip side... now that the brokers and agents know me... they have been very good at offering to show me property and I still have never been pre-approved or pre-qualified.
Status:
"Made the Retirement Run in under 12 parsecs!!!"
(set 22 days ago)
Location: Cary, NC
43,176 posts, read 76,815,786 times
Reputation: 45533
Quote:
Originally Posted by Ultrarunner
Proof of funds is a simple as brokerage and bank statements...
The seller sent me a nice note saying she had been rooting for me and sorry that I didn't get the place.
On the pre-approval/pre-qualified... never put much stock in those... I can't count how many times my Real Estate friends have told me they are just about worthless when push comes to shove...
Even my Mortgage Broker friend said they don't mean much and he can always get out of them if need be.
I guess my question is what do they really mean?
And on the flip side... now that the brokers and agents know me... they have been very good at offering to show me property and I still have never been pre-approved or pre-qualified.
Yes, proof of funds is a statement. It is that simple.
A preapproval from a respected lender means you have been vetted.
It hurts a seller to go into contract with someone who is not qualified. Some basis of qualification is a reasonable stipulation for a seller to demand.
I show plenty of properties to people who have neither. Like agents and brokers with whom you have worked, I read people fairly well.
But, I have lender assurance or proof of funds before I present offers for my buyers, because I know the seller will ask for it, just like my sellers do.
Something about all this just doesn't add up to me. I think you are right that they did not take you seriously, including the seller herself. Otherwise she would not have agreed to extensions or to a 100000 price drop relative to your offer. And given that you were paying cash what did you go to the bank for a mortgage pre-approval letter rather than innediately fax the agent a cash offer with the evidence of your assets to pay cash? Etc.
I don't know why they didn't take you seriously but if you think there may be another dream property in your future I would try to figure out exactly what the issue was and try to prevent it next time.
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