When to fire realtor?

[ruralseller]

I'm having difficulty with my listing agent/broker also, although it took me a lot longer than it took you, jpq, to accept the "bad news."

My agent of 75 unfruitful days is a pleasant guy -- and utterly ineffectual. I haven't figured out if it's lack of motivation, lack of ability, both of these...or something else altogether.

I began with this agent on June 15. It's now August 28. I've lost the summer selling season here in Vermont. (Yup, summer's short here; first frost tonight)! This house, in the $260,000-$280,000 price range, is allegedly the only category that's really selling in this area right now.

Unfortunately, my agent has only procured three showings in 75 days, hasn't marketed the house other than to enter it into the MLS database (with errors), has still not managed to replace the horrible exterior picture with something that gets buyers to agree to view the property, and continues to be too busy to have a focused conversation about pricing, staging, marketing, comparables, etc.

At any rate, I'm stuck in a year-long contract (an "exclusive right to market property" agreement) with this unprofessional listing agent. (I know, I know. You're probably wondering, "Why a YEAR; isn't 6 months more typical -- and advisable?"). Long story; happy to share details if asked).

Anyway... Selling my home is absolutely the final "solution" to a dire financial situation that began in the fall of 2008. It's a "high stake" situation. Heck, it's an EMERGENCY! I simply cannot afford to be bound to this agent (or agency).

BUT...I'm so afraid that I'll "blow it" when I ask for "mutual recission" (termination of the agreement) that I've been agonizing over this for 50 hours without sleep.

This afternoon, I located a powerhouse of an agent that has a proven record (for 15+ years) of selling difficult homes in difficult markets. She's a delightful person, and has a reputation for generating a positive experience for both buyer and seller. In fact, my sister -- as well as a lifelong, dear friend -- both vouch for this agent; she sold both of their homes quickly, at an unexpectedly high price, with a contagiously upbeat, "can do" attitude, while simultaneously minimizing everyone's stress.

You're probably wondering, "Why didn't 'ruralseller' hire this agent in the first place?" Another long story. Happy to explain, if asked. Trying (unsuccessfully) not to overload this post with detail.

I'd be grateful for advice on how to maximize my chances for getting out of the contract.


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A couple of caveats:

(1) The agency has recently gone downhill (another long story), so -- I'm unwilling to work with another broker within the agency (unless I'm clearly backed into a corner where I'd have to hire an expensive lawyer to get out of the contract.

(2) I have no money to throw at this situation; I can't agree to pay hundreds for marketing that simply never occurred, or split the 6% commission if I sell it myself, etc.

(3) I'm at high risk of going bankrupt if I don't sell the house; I may be able to hang on until this contract expires on June 20, 2010...but maybe not.

(4) I have no time to "dick around" with an agent who has virtually NO chance of selling my house before then -- especially not when there's an agent who has fairly HIGH potential of selling the house before June 2010!

(5) I don't have much time to devote to selling the house myself; I'm already exhausting myself in a difficult job search, while developing a "plan B consultancy practice" in case I'm not offered a job that pays a living wage before my unemployment runs out.

Yikes! I'm WAY too long-winded. If you've read this far, I'm impressed---and apologetic for hogging your time. Thanks for listening!

[Rakin]

First thing I would do is discuss with the listing agent that you are not a happy client and request that they release you from your listing agreement. Second If they do not release you I would then go to his boss / manager / broker to explain your situation and request that you be released. You really need to first go through the official steps to get a release.

If you want to go with the new company & agent, I would not want the old broker to "assign" me a new agent. I would be up front and just ask to part ways on happy terms. If you approached our company and me in this manner I would gladly let you walk (knowing what little I know).

The normal listing agreement is 3-6 months with maybe 12 being the absolute longest for high dollar homes. In todays market a 6 month listing is not unrealistic, 12 months or more in my area is extreme unless it's a luxury property.

Do not file bankruptcy unless absolutely necessary. Talk to your new agent about a possible short sale that will allow you to walk away from the house. I believe I would let it go into foreclosure before I filed bankruptcy (unless you have high amounts of other debt) Banks today are eating a lot of homes and unpaid mortgages.

Have you ever listened to Dave Ramsey on the radio or internet ? He has a lot of good advice for folks in your situation and much of it revolves around real estate.

Check him out at: Real Debt Help - Get out of debt with Dave Ramsey's Total Money Makeover Plan.

Best of luck & keep us posted after you talk to your agent. BTW, I am hanging out in Boston this week visiting our 1st grand child. These cools summer days make me want to make a trip up your way to buy for a summer place to live. Although you can keep the winter cold, this sure beats our summer TX heat.