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Old 03-12-2008, 05:26 PM
 
Location: Martinsville, NJ
6,163 posts, read 12,147,267 times
Reputation: 3978

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I'm still missing something. You say you found a house that's not on the market. Have you been inside it? Was your agent with you? Did she arrange for you to see it? Did you make an offer to purchase it? So many details are missing.
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Old 03-12-2008, 07:47 PM
 
Location: Columbia, SC
10,229 posts, read 19,986,778 times
Reputation: 9039
I agree with Bill. Your story is too jumbled and incomplete to make heads or tails of anything at this point. Look at your buyer agency and see what it states or what box is checked off. Shouldn't be that difficult. And why did you go see a home without notifying your agent? That was a mistake on your part.
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Old 03-12-2008, 08:06 PM
 
Location: Rural Central Texas
3,646 posts, read 9,976,376 times
Reputation: 5508
Quote:
Originally Posted by cneal84 View Post
I signed a buyer - agent relationship agreement. In which explained that all that it is for is that she represent us for up to 6mos. My wife asked her do we have to pay you anything she said no, the seller pays her.
If she explained the contract accurately, and you need to read the fine print to be sure, then she is at the mercy of the seller and their agreement with the brokers for her paycheck. If the seller does not have a listing agreement with anyone, then there is no contract for a commission from the seller.

If there is nothing in your buyers agent agreement regarding commission from you in case of a non-commissioned sale, then she is out of luck and pretty stupid for allowing you to cut her out of the deal without negotiating her commission into the sales prices somehow. If your sales contract states that a 2.5% commission will be paid by the seller, then that is all that the seller pays. If they have an agent on their side, then your agent has to make an agreement with the sellers agent as to how they split that 2.5%. If your agent is not happy with her cut, then she will learn to work her buyers and sellers better in the future. Hunger makes for a great teacher.

Quote:
Originally Posted by cneal84 View Post
she didn't do anything but walk threw the house just like we did. She didn't have our best interest at heart. Why am I paying her for the work I did. That's nonsense.
If she walked through a house with you as your representative, even without doing any work, she has acted on your behalf and has legally even if not morally, earned any commission offered as part of that sale to a party representative, subject only to contracts in place for said representation. If you permitted her to be your agent without doing any work for the money, then shame on you.
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Old 03-12-2008, 08:23 PM
 
Location: Gorham, Maine
1,951 posts, read 4,834,698 times
Reputation: 1442
For all those potential buyers who may be reading this, the moral of the story is:

If you want to look for houses on your own, don't hire an agent to represent you. In my state and I assume most others, it doesn't matter who finds the house - once you sign an EXCLUSIVE Buyer Representation Agreement you will be responsible for the agent's compensation at a set fee or percentage of the sales price of a property you acquire. This shouldn't be a game to beat the agent, it's a partnership in which each side, through mutual trust gains a desirable finish. If you see a FSBO or a house with a sign CALL YOUR AGENT! Don't go it alone, your agent is waiting to do all the work for you. At the same token, if you want to work with an agent without signing an agreement, remember that they cannot give you any advice, cannot favor either party and are basically shuffling papers between the two parties, in some states this is called "Transaction Broker." One of my instructors calls it, "a monkey with a key." And you pay the exact same fee if you purchase a home through a transaction broker and get none of the benefits.

The bottom line in this and any relationship is communication. Do it well and you'll have fabulous results. Do it poorly and you'll have an relationship like the OP has, which is pretty crappy. If you want all the benefits of representation, then sign up with a good agent. If you think you're better on your own, then let the agents know up front and they will be happy to work with you on your terms.
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Old 03-12-2008, 10:32 PM
 
Location: Columbia, SC
10,229 posts, read 19,986,778 times
Reputation: 9039
Quote:
Originally Posted by WhoFanMe View Post
For all those potential buyers who may be reading this, the moral of the story is:

If you want to look for houses on your own, don't hire an agent to represent you.
I disagree with that statement. If an agent properly explains their benefit and have a meeting of the minds it shouldn't be a problem. I have buyers that like to drive around and look at homes. If they find one they like they call me with the agent or owner name/ address/ number. I like the ones that drive around, they save me time because on the mailer they'll swing by and look at the curb appeal. If they like it they call me to see it.

Of course, I do sign buyer agencies and I do explain them. If they see an unrepresented seller all I ask of them is to give me a chance to talk to them first and if they won't pay me then they get released from the agency. It's never been a problem yet, but at some point I'll run across an unrepresented seller that won't pay.
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Old 03-13-2008, 08:18 AM
 
Location: Gilbert - Val Vista Lakes
6,069 posts, read 13,935,266 times
Reputation: 3867
I find it difficult to comprehend why a person would sign a buyer/broker agreement without reading it. I also find it hard to believe that an agent would hand a client the buyer/broker agreement and lie to them about what it contains while it's in their hands. It really doesn't make sense to me.

The AZ B/B agreement is quite clear in that the buyer is responsible for the commission amount stated, and that the "Buyer authorizes Broker to accept compensation from Seller or Seller's broker, which shall be credited against any compensation owed by Buyer to Broker under this Agreement."

It further states that the agreement shall supersede any other written or oral agreement.

Anyone who signs a contract has the responsibility to read and understand the contract before signing.

The signature is the party's symbol of agreement to all the terms and conditions in the contract. A judge will rely solely on the wording of the contract, and not on any verbal explanation of the contract by either party.

Any judge would not accept an argument that a party did not read the contract and the other party lied to them about the wording of the contract.

The contract also spells out the Dispute Resolution procedure.

So I suggest that you read this contract in it's entirety, and then decide what to do.

To honor the contract that you signed, you would compete the transaction with your agent and pay her as per the contract terms.

If you fight it, you'll probably lose, and have to pay her anyway.

If you feel she has wronged you, then you should go to your state department of real estate and file a complaint, and be able to back up your complaints.

Written contracts are for the purpose of eliminating this type of situation where one person states verbally what the other person said.

The contract states the agreement in writing, is signed by both parties, and one cannot come back later and say they didn't know what it said, or they thought it said something different.
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Old 03-13-2008, 08:35 AM
 
Location: Central Texas
20,837 posts, read 41,291,748 times
Reputation: 24431
Captain Bill puts it most excellently.
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Old 03-13-2008, 10:07 AM
 
4 posts, read 25,879 times
Reputation: 10
Default contract terms

Broker's Fee
(A) it is broker's policy to accept compensation offered by the listing broker and/or the seller. Broker may be paid a fee that is is a percentage of the purchase price. Even though broker's fee may be paid by seller or listing broker, broker will continue to represent the interests of buyer.
Special Instructions: 2.5%
Tell where in this text it says I'm paying.
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Old 03-13-2008, 10:27 AM
 
Location: Gorham, Maine
1,951 posts, read 4,834,698 times
Reputation: 1442
Quote:
Originally Posted by Brandon Hoffman View Post
I disagree with that statement. If an agent properly explains their benefit and have a meeting of the minds it shouldn't be a problem. I have buyers that like to drive around and look at homes. If they find one they like they call me with the agent or owner name/ address/ number. I like the ones that drive around, they save me time because on the mailer they'll swing by and look at the curb appeal. If they like it they call me to see it.

Of course, I do sign buyer agencies and I do explain them. If they see an unrepresented seller all I ask of them is to give me a chance to talk to them first and if they won't pay me then they get released from the agency. It's never been a problem yet, but at some point I'll run across an unrepresented seller that won't pay.
Brandon,

Perhaps I should be more clear. I encourage clients to to drive bys first, it saves everybody time and money - but it states right in our agreement, that they notify me BEFORE contacting the seller or the seller's agent. Yes, the buyer has responsibilities too.
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Old 03-13-2008, 01:49 PM
 
Location: Gilbert - Val Vista Lakes
6,069 posts, read 13,935,266 times
Reputation: 3867
Quote:
Originally Posted by cneal84 View Post
Broker's Fee
(A) it is broker's policy to accept compensation offered by the listing broker and/or the seller. Broker may be paid a fee that is is a percentage of the purchase price. Even though broker's fee may be paid by seller or listing broker, broker will continue to represent the interests of buyer.
Special Instructions: 2.5%
Tell where in this text it says I'm paying.
This is not a clause that discusses the compensation for the agent. It is clarifying that the broker still represents you the buyer, even though the commission may be paid by the seller.

Perhaps you should read on because if the agent is telling you that you will owe her a commission, then it should be in that document.

What state are you in? An agent from your state can point you to the proper clause.
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