[wolfgang405]

So, Im trying to buy a house that is bank owned in Vegas. My realtor tells me she has are other offers on the house. I give her my offer thinking everything is confidintial and she tells me I am 2,000.00 lower than the best offer. Is this customary ? My thinking is, if she is telling me the highest offer she is going to tell her other client my offer to try and create bidding wars. Whats the scoop ?

[olecapt]

Originally Posted by wolfgang405

So, Im trying to buy a house that is bank owned in Vegas. My realtor tells me she has are other offers on the house. I give her my offer thinking everything is confidintial and she tells me I am 2,000.00 lower than the best offer. Is this customary ? My thinking is, if she is telling me the highest offer she is going to tell her other client my offer to try and create bidding wars. Whats the scoop ?

She the listing agent as well as your buyer's agent?

If another agent has the listing they may very well tell her the high offer. If a conventional listing it would be uncommon. One would need permission from the seller. But on these bank owned the agents often control the information.

If I found out what the high offer was I would tell my client. I would also point out it could be FHA or VA...where an appraisal will get into the act and the higher offer may actually be a lower offer.

[007 license to sell]

Originally Posted by wolfgang405

So, Im trying to buy a house that is bank owned in Vegas. My realtor tells me she has are other offers on the house. I give her my offer thinking everything is confidintial and she tells me I am 2,000.00 lower than the best offer. Is this customary ? My thinking is, if she is telling me the highest offer she is going to tell her other client my offer to try and create bidding wars. Whats the scoop ?

All bids are to be confidential, it sounds like you are using a realtor that is both the listing agent and the buyers agent. Even though it is legal in Nevada it is almost impossible for a agent to serve both parties without doing something like this. I suggest that you ask to speak to the agents broker and have the broker pick another agent to help you.

Or find another agent on your own that is strictly representing you.

[airics]

think about this.. if i was the buyer, i want to know the other bids.... $2k is not alot and if i want the house, i'm raising the bid... will they go back to the high bidder, who knows... bring your highest and best....

[212david51]

You have to keep one point in mind, a real estate agent gets a percentage of the sales price. Lets say the overall sale percentage is 6%. If the same agent handles both sides of the purchase, acting as the agent of the seller and the agent for the buyer, they get the full 6%. So for $2000 that agent would get an additional $120. If two agents handle the sale, one for the seller and one for the buyer, then they each get $60. I just can not see a professional agent trying to get you to come up $2000 just so they get $60 to $120. However, I can see an agent letting you know if you are competing against some other buyer and other agent so they can make the sale. For example, let's say you have a bid of $100,000 on a house and you are outbid by $2000. By telling you, you might come up the extra $2000+ so you get the house and they get the sale. In that case, they are looking at $3000 to $6000 gain for them. That is a considerable amount of money. I see no problem with them letting you know you are losing a sale. They have to make a living too. The ONLY time I see this as unethical is if the bidding is done by sealed bid and the highest bidder gets it. If they give you information as to what the other bids are, then they are being unethical as that is not how a sealed bid is suppose to work.

[007 license to sell]

Actually it is a code of ethics violation for both a listing agent and a buyers agent to disclose multiple offers much less an amount that they need to be over another parties bid. It has nothing to do with a sealed bid, there is a code of Ethics that realtors are bound by.

Article 1 of the Code of Ethics in standard of Practice 1-15 prevents the listing agent from disclosing the existence of offers on a property without the sellers permission. It is only when and offer has been accepted that the agent has a duty to disclose upon inquiry You can look up the standard of practice 3-6


The only thing an agent can tell a buyer is to submit their highest and best offer.

[olecapt]

Originally Posted by 007 license to sell

Actually it is a code of ethics violation for both a listing agent and a buyers agent to disclose multiple offers much less an amount that they need to be over another parties bid. It has nothing to do with a sealed bid, there is a code of Ethics that realtors are bound by.

Article 1 of the Code of Ethics in standard of Practice 1-15 prevents the listing agent from disclosing the existence of offers on a property without the sellers permission. It is only when and offer has been accepted that the agent has a duty to disclose upon inquiry You can look up the standard of practice 3-6


The only thing an agent can tell a buyer is to submit their highest and best offer.

Disagree. A listing agent can tell the buyers agent anything that is both truthful and to which his client consents. In the case of REOs it is not clear who gives permision but certainly the listing agent can tell anything he and the asset manager agree to.

1-15 says shall disclose with seller approval. Why would any rational seller disapprove? The only other answer the agent can make is I won't tell you...and not that there are none.

So you ask and either get told or figure out that the agent or his client is a jerk.
A buyers agent would be required to tell a buyer anything he happens to hear...even if it is an unintended disclosure.

I also pump the seller's agent for anything I can get when I am the buyer's agent. Had one this afternoon tell me quite clearly my buyer is 5K light. My buyer decided not to bite but wait and see if the higher bidder is for real...I think a good call.

[airics]

sorry 007 - olecapt was correct.. it was in the post licensing class

[007 license to sell]

Originally Posted by airics

sorry 007 - olecapt was correct.. it was in the post licensing class

What are you talking about a post licensing class? Who said anything about a post licensing class?

[airics]

in post licensing class, it was taught that if the seller allows or wants you to disclose, you can... if a seller doesn't want to his realtor to submit offers below a certain amount, the realtor doesn't have to ...etc... How long have you been a realtor in Nevada?