Get out a Buyer's Agent Contract-HELP (commission, Realtors, agreement, terminating) - Real Estate Professionals - City-Data Forum

happyinMI · 08-22-2007, 02:51 PM

Hello!!! Can someone PLEASE HELP us? We have moved from Colorado to Michigan due to my husband's job. We signed a 6 month Buyer's Agent Contract with a SHADY Realitor (John Doe). In the Buyer's Agent Contract (BAC) our Contract ends on August 30, 2007; but it also states that 3months AFTER the Contract ends; if we locate a home that John Doe has shown us; that we have to pay him a 3% Commission.

My husband had signed a PA on July 2007 with this John Doe and he was a Dual Agent; (SHAME ON US)...and John Doe was NOT working for us AT ALL...well the Appraisal came in EXTREMELY LOWer than the PA offer..therefore the Mortgage Co. had DENIED us the Mortgage...at that time the Realitor - John Doe contacted the Appraiser and the Appraiser stated to us after John Doe had spoken to him...that "he made a mistake on the Appraisal."...(smell something rotten in DENMARK) ... We stated we wanted our Earnest Money back and the DEAL was DEAD...regardless of the Appraiser making an "ERROR"... so it took sometime to get the Earnest Money back...I had my husband FAX the Denial Letter to the John Doe's office and I was very stern; about getting our Earnest Money back and we did...

My question is this ... How do we get out of the 3 month Contingency that has been tacked onto the 6 month we had completed in 8 days. We sent John Doe a Letter stating our UNHAPPY and UNETHICAL way of how John Doe conducted business.

Please HELP me..

Thank you!!! I look forward to a repy!!!

chaz longue · 08-23-2007, 03:46 PM

Sounds like you've had a tough time of it!
There's a lot we don't know though and I hope you have good news soon...

Any idea why the discrepancy between John Doe's market analysis and the appraisal?

What's your attorney say about terminating the buyer agency agreement?

Have you asked the Realtor to agree to terminate the buyer agency agreement?

Have you asked the Realtor's principal broker to terminate the agreement?

Have you contacted the Real Estate Commission and/or the local board of Realtors and filed a complaint?

Are you interested in purchasing a home the agent showed you during the time the Buyer Agency agreement was in effect?

I hope you can resolve this...

kevinm · 08-24-2007, 08:04 AM

Buyer's agent commissions are paid by the seller. This fee is half of the 6% listing fee of the selling agent. Why are you being charged this?

2bindenver · 08-24-2007, 12:31 PM

Number 1 question: are you at all interested in buying any house that he has shown you?

TimtheGuy · 08-24-2007, 12:53 PM

Quote:

Originally Posted by happyinMI

Hello!!! Can someone PLEASE HELP us? We have moved from Colorado to Michigan due to my husband's job. We signed a 6 month Buyer's Agent Contract with a SHADY Realitor (John Doe). In the Buyer's Agent Contract (BAC) our Contract ends on August 30, 2007; but it also states that 3months AFTER the Contract ends; if we locate a home that John Doe has shown us; that we have to pay him a 3% Commission.

My husband had signed a PA on July 2007 with this John Doe and he was a Dual Agent; (SHAME ON US)...and John Doe was NOT working for us AT ALL...well the Appraisal came in EXTREMELY LOWer than the PA offer..therefore the Mortgage Co. had DENIED us the Mortgage...at that time the Realitor - John Doe contacted the Appraiser and the Appraiser stated to us after John Doe had spoken to him...that "he made a mistake on the Appraisal."...(smell something rotten in DENMARK) ... We stated we wanted our Earnest Money back and the DEAL was DEAD...regardless of the Appraiser making an "ERROR"... so it took sometime to get the Earnest Money back...I had my husband FAX the Denial Letter to the John Doe's office and I was very stern; about getting our Earnest Money back and we did...

My question is this ... How do we get out of the 3 month Contingency that has been tacked onto the 6 month we had completed in 8 days. We sent John Doe a Letter stating our UNHAPPY and UNETHICAL way of how John Doe conducted business.

Please HELP me..

Thank you!!! I look forward to a repy!!!

Go find a house he didn't show you.

happyinMI · 08-27-2007, 08:02 AM

Quote:

Originally Posted by chaz longue

Sounds like you've had a tough time of it!
There's a lot we don't know though and I hope you have good news soon...

Any idea why the discrepancy between John Doe's market analysis and the appraisal?

What's your attorney say about terminating the buyer agency agreement?

Have you asked the Realtor to agree to terminate the buyer agency agreement?

Have you asked the Realtor's principal broker to terminate the agreement?

Have you contacted the Real Estate Commission and/or the local board of Realtors and filed a complaint?

Are you interested in purchasing a home the agent showed you during the time the Buyer Agency agreement was in effect?

I hope you can resolve this...

Dear Chaz,
Any idea why the discrepancy between John Doe's market analysis and the appraisal? No, I do not have an idea as to why John Doe's market analysis and the Appraisal, from what I can come up with is that the market analysis did not have comparable within the area of the home.

What's your attorney say about terminating the buyer agency agreement?
As of August 30, 2007 we have completed our Buyer's Agent Agreement. There is a clause in which it states: 3 months after the completion of this contract; if the Buyer locates a home that the Agent/Broker has shown; the Agent/Broker has the right to a commission. We were informed that the portion (3 months after the completion of this contract) can be null & void.

Have you asked the Realtor to agree to terminate the buyer agency agreement? We have written a letter stating our DIS-SATISFACTION to John Doe; in the letter it states LOUD and CLEAR our UNHAPPINESS with his ethical, mortal obligation to us. You tell me what you would do if you received a letter of such.

Have you contacted the Real Estate Commission and/or the local board of Realtors and filed a complaint? No, we have not contacted the Real Estate Commission and/or the Local Board of Realtors and filed any complaint. We have contacted the Mortgage Co. to remove the Realtor/Broker from the Advance Home Plan (Relocation Program).

Are you interested in purchasing a home the agent showed you during the time the Buyer Agency agreement was in effect? Yes, we are interested in purchasing the home that the original Agent - John Doe had shown my husband, but we are speaking with my attorney and interested in putting a PA after the August 30, date.

Thank you for all you Good questions. Have a Nice Day

UseJeff · 08-27-2007, 02:26 PM

I think Timtheguy nailed it. If the contract states "3% if you buy a house that said Realtor has shown you" then just buy a different house. If you truly like a house that the Realtor has shown you, then just contact an outside appraiser and pay for your own personal appraisal. I would also try and be there during the appraisal to protect yourself, and in addition tell the appraiser your concerns and goals. Be sure the Realtor doesn't interact with the appraiser... just follow him around and let him do his job. Don't allow any cards to be passed out, and don't allow them to know the appraisers name. This way you can get an unbiased appraisal to find out market value. Also be sure and tell the appraiser you don't want the value inflated at all, as the appraisal has nothing to do with the loan you will get. Granted, you can likely have that appraisal rewritten into the lenders name when it does come time to do your loan... so at least you won't have to pay for another appraisal at that point.

happyinMI · 09-05-2007, 11:41 AM

Hello All! and Thank you for ALL your advise and options. They were very helpful and also some were very informative.

Just to UPDATE you on the John Doe situation... We have been released of the "Buyer/Broker" contract. The house is still on the market...haha!!!

Good Luck to those that are looking to buy ... BEWARE...for "sales agents" that are out for themselves...and Sales Agent "BE AFRAID"....Consumer's are SMARTER and WISER than you give them CREDIT for...so keep your work ethics in tact...Sales Agent. Also to the Sales Agents...."WORD OF MOUTH" carries A LOT of weight...."REFERRALS are your BREAD AND BUTTER" so don't go messing it up ALL for GREED...

lscalder · 09-06-2007, 12:11 PM

What you need to do is Call the Agent Broker which is the owner of the company and let them know what is going on.

You can either fax over a letter to the company stating you are no longer interest in the agent service. After you have done this then you are free and clear.Make sure the agent and broker receive the faxed document.