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This is the question I asked and would appreciate an answer to. I understand better the "cooperating" MLS thing between brokers... but as a seller this is what I want to know:
I can offer one possible and very reasonable scenario that some listing agents and sellers may entertain:
"Mr. and Mrs. Seller,
We have interest from a buyer whose agent is limited in either their willingness or ability to represent the buyer properly. I want to be clear that this will not result in a dual agency situation for you or me, but I will have to do significant extra work, which I am glad to do for you.
The agent is requesting the full co-broke without intent to fulfill co-brokerage transactional responsibilities.
Perhaps a reduced co-broke would be in order, to reflect the level of work performed by the agent, with the co-broke reduction split between you and me?
However, it is also worth recognizing that this situation may be a precursor to a less than professional experience through the transaction."
I can offer one possible and very reasonable scenario that some listing agents and sellers may entertain:
"Mr. and Mrs. Seller,
We have interest from a buyer whose agent is limited in either their willingness or ability to represent the buyer properly. I want to be clear that this will not result in a dual agency situation for you or me, but I will have to do significant extra work, which I am glad to do for you.
The agent is requesting the full co-broke without intent to fulfill co-brokerage transactional responsibilities.
Perhaps a reduced co-broke would be in order, to reflect the level of work performed by the agent, with the co-broke reduction split between you and me?
However, it is also worth recognizing that this situation may be a precursor to a less than professional experience through the transaction."
Presenting it like that is tantamount to slander. Isn't there something in your "Realtor" Code of Ethics about not talking badly about another licensee?
And what is it that this agent can't or won't do? All that has occurred is that the listing agent was asked to show the house - and the buyer wanted representation from another firm.
As a seller I would question just what the actual work difference is - and if you tell me it was because you had to show the house to them as my listing agent - I'd question your ethics for this approach. I want my house sold and you're crying sour grapes over a showing?... do the work and be happy to get the commission you are getting. And expect a complaint to be filed with the real estate commission if the buyers agent finds out about this.
Presenting it like that is tantamount to slander. Isn't there something in your "Realtor" Code of Ethics about not talking badly about another licensee?
And what is it that this agent can't or won't do? All that has occurred is that the listing agent was asked to show the house - and the buyer wanted representation from another firm.
As a seller I would question just what the actual work difference is - and if you tell me it was because you had to show the house to them as my listing agent - I'd question your ethics for this approach. I want my house sold and you're crying sour grapes over a showing?... do the work and be happy to get the commission you are getting. And expect a complaint to be filed with the real estate commission if the buyers agent finds out about this.
An agent refuses to earn or pay for the qualifications to show a home, which are fairly minimal, wants others to pick up the slack, and wants to receive full payment that a qualified agent would receive, and you question whether others should be on guard?
You stated earlier that you don't really need an agent.
Why not have the qualified listing agent write the offer for you as an unrepresented buyer, pay an attorney to review it, and proceed from there?
Why muddy the water introducing someone who cannot handle their responsibilities into the mix?
Presenting it like that is tantamount to slander. Isn't there something in your "Realtor" Code of Ethics about not talking badly about another licensee?
First, there was nothing slanderous in what he said. He didn't say the agent was incompentant or anything like that, just that they want full pay for not doing full work. Second, the REALTOR® Code of Ethics is for REALTORS®, and if this licensee isn't a REALTOR®, it means nothing to them. Someone can't be held to a higher standard if they're not going to be part of the group with the higher standards.
Presenting it like that is tantamount to slander. Isn't there something in your "Realtor" Code of Ethics about not talking badly about another licensee?
The Seller is paying Mike for his honest and confidential opinion and that's what he's giving his client. It is private and between the 2 parties. To head off potential problem Buyers is just one of the reasons the seller hired the agent. They seek and desire that confidential honesty.
In my area there are a few less than professional agents. If they bring me an offer I let the seller know who is on the other end and it does affect their decisions on how they respond.
. . . we do have a MA agent on this forum so hopefully they will chime in.
Someone looking for me?
Wow! There are a number of issues in this thread. First, I completely agree with what the other agents are saying. An agent who brings a buyer and is not a member of the MLS is not automatically entitled to a comission from the seller. If they are not on MLS, then I am not bound by any co-broke I put on MLS. I am bound by the listing contract to pay them whatever the contract states. However, the contract is an agreement between my brokerage and the seller and it can be renegotiated or on occassion I will add an addendum which changes the commission structure should certain situations arise. So, while there are standard forms in many states, in many states we are at liberty to use our own forms or add addendums to the forms our association provides. The problem many non-agents run into on this forum is that they think they know the forms we are using but fail to realize that we are not bound to use them and may be using something different. It's just like all the non-agents seem to think every transaction is a 6% commission.
Anyway, in MA we tend to do things differently than the rest of the country (in all things not just RE). In this state, there seems to be a mix of lock boxes and accompanied showings. It varies from town to town and in some towns I've seen it vary from agent to agent. Even in communities where lockbox use is common, many listing agents will still be present at the inspection. In some transactions, I don't ever see the other agent during any point in the transaction. There is no statewide norm here in terms of when the listing agent is present.
On 95% of my listings, I do not use a lockbox and I am a big proponent of accompanied showings and have posted my feelings to that end in many a thread here on the CD RE forum. However, if the norm in a community where I have a listing is to use a box then that's what I do. I don't want to make a buyer feel uncomfortable because of my presence. A successful transaction is more important. When I can be present though, I do believe my showing the house can help to facilitate a sale. A big reason why I favor accompanied showings is that I want to avoid the question you are asking: what is the listing agent being paid to do if they're not showing the house? I personally believe a seller sees more value in my service if I am at every showing and that the use of lockboxes is directly responsible for how common "limited service" and "entry only" brokerages have become. Someone pointed out earlier in the thread that when the economy tanked there were fewer FSBO's. I wonder if you take limited service agents out of the mix if the numbers would look the same. In my hometown, the median home price is well above $600K. The average commission paid out by a seller in this town is likely somewhere in the neighborhood of $32K (total which is split between agents). If I were paying that much money to have my home marketed and someone threw a box on my front door, I wouldn't see the value either. So, in some repsects, I can understand and appreciate what the OP is saying.
First, there was nothing slanderous in what he said. He didn't say the agent was incompentant or anything like that, just that they want full pay for not doing full work. Second, the REALTOR® Code of Ethics is for REALTORS®, and if this licensee isn't a REALTOR®, it means nothing to them. Someone can't be held to a higher standard if they're not going to be part of the group with the higher standards.
Actually, the COE includes "professionals," and is not limited to Realtors.
While confirming that point, I would also contend that the COE does not remove my fiduciary responsibilities to my client if I see obvious red flags.
You showed your true colors and questionable ethics in your previous post. Been truly enlightening.
I am interviewing 3 agencies to list my house - have posed this to all them and two of them said they of course would show our property - no problem. We will add a combo lock-box for non "code" agents. They work for me in my best interest, not the other way around. The other agency is an entry-only firm and they don't do anything except place a sign in the yard and provide forms.
My only comment on this thread is that this new member, who joined on 9-11-2011, making his first post and first thread, appears to have the same strategy as a poster in another thread, and may very well be the same person.
He is setting agents up with questions that he will build on in an attempt to discredit the industry. For me, I'm going to follow Mike Pru's lead and not get sucked into these types of threads.
In another thread Mike states that there are two categories of people that he will not respond to, and they are:
Quote:
internet troll and just here to stir the pot or spark a "lively debate" as they would likely put it. Their arguments are typically not well thought out and show a clear lack of knowledge. Typically they do far more harm to the community at large than they do good by disseminating their "knowledge."
.
They want the help and knowledge that real estate agents provide, but they want to find a way to get the services of a real estate agent for free. These people have no idea that real estate is a very local industry and the advice you get from people on the internet from all across the country may or may not apply in their local.
This appears to me to be one of those threads, so I won't be participating in the "circular" discussion, as others have termed them.
Based on this - and a non-cooperating broker brings in an offer on a house that is subject to that broker receiving a fee that is similarly paid to a cooperating broker - you are going to tell your seller that you are not going to pay them? What would your explanation be? Realistically - what percentage of brokers are "non-cooperating" ?
I have never run into a non-cooperating broker in my 9 years as an agent until this year. The agents that are non-cooperating are members of the RMLS which is a different MLS than mine. I tell them I will pay them the same compensation as long as they do what is expected of them. If they need me to rearrange my schedule to let them into the house for inspections and such, then we will reduce the fee accordingly. So as for what percentage are non-cooperating? In my experience not even 1%.
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