> Listing Agent says “I can’t let it go for that, but I can do it at $60,000 less than asking price.”

At that point, the listing agent began negotiating with a party who was known to be represented by another agent. That’s an ethics violation.

If the property was listed in the MLS and a Buyer Agent Commission offered, it’s also likely the Buyer’s agent could win an arbitration dispute for the other 2%, if 3% was offered in the MLS listing.

Finally, about this …

> One day the associate broker suggested to the buyer and the buyer’s agent, that the buyer sign a Buyer Broker Agreement …

??? “One Day …”??

I don’t work with anyone who doesn’t sign a Buyer Rep up front as well as the Notice of Information about Brokerage Services.

I’m suprised so many agents still don’t think this is important. It clarifies how the Buyer Agent is compensated and that it’s really the Buyer paying the commission (minus what the Seller offers to Buyer
Agents). This lack of clarity and understanding contributes a lot to the misconceptions consumers have about how agents are paid and who is really paying the buyer side commission.

I am glad that you and the listing agent, et al, got to “duke it” out over the table. Hopefully the time, effort, and attorney fees the agent, broker and owners had to pay will cause the agent to make an effort to make better ethical choices in the future, so that other consumers are not taken advantage of.

You know the story of the blind men and the elephant, that would be why there are such differing opinions on the actions of the listing agent, everyone will tend to “see” from their prospective. Yes, I would have to also agree that the listing agent did represent his sellers very well, but he did not act “Honestly and in Good Faith” towards the buyer as he is directed to do in “The Laws of Real Estate Agency” and that is the issue, at least from my point of view of the “elephant”.

Mandating that agents act ethically helps to protect the consumer on both the sellers and buyers sides. If consumers wanted a “consumer beware” atmosphere of no trusted representation in real estate transactions then agents would not be needed. Our ethics in our actions towards the consumer are part of our value, that is the trust that the public has that they will have a knowledgeable advocate to look after their “best interests”. It is that betrayal of trust that makes the consumer rate real estate agents slightly above “used car salesmen”. I think the “weasels” do need to be “outed” and have negative consequences attached to their actions.

Thanks for the Wassail Ardell! Have an eggnog and rum with fresh grated nutmeg for me! : )

The pamphlet was, of course, given her by her first agent. Not sure a second copy was needed there. Clearly the part that totally past the buyer was the checkmark on the contract next to “seller” that eliminated the buyer’s representation.

Maybe little checkmarks are not enough for this important issue of agency representation.

Agent was reported, and we took it out for months, long enough for them to need an attorney, come to mediation meetings (the broker and owners) and certainly long enough to be “of record” at the mls.

But clearly some see the agent as the hero of the seller, and a part of me sees it that way too. So eliminating people from the business that are weasels is not necessarily a good thing. Sometimes someone needs a “good” weasel” Now have a Wassail for me!

In Washington, “The Law of Real Estate Agency” states in “Section 3, Duties Of A Licensee Generally. (1) Regardless of whether the licensee is an agent, a licensee owes to all parties to whom the licensee renders real estate brokerage services the following duties, which may not be waived:….
(b) To deal honestly and in good faith;….”

I do not see how that listing agent acted honestly towards the buyer, in fact that agent was purposely acting DISHONESTLY towards the buyer when informing the buyer that she should “hurry” and act now. When the buyer said her agent was on vacation, he said he would come over and write up the offer, how was that acting in “Good Faith” towards the buyer to deprive her of properly being represented? He knew that rushing the buyer into a contract without her agent, and she said she had one, that she would be unreprensented and that he was acting unethically.

Ardell, I did not see where in the story that the listing agent gave the buyer the Pamphlet on “The Law of Real Estate Agency”, which should have been provided to the buyer before the listing agent wrote up the contract. It is very unethical for any agent to not help either the buyer or seller to understand what agency means and how it either protects a client when represented by an agent, or does not protect a client if they do not have an agent. The fact that english was a second (or 3rd, or 4th) language would have made an ethical agent take extra care helping the client to understand the benefits from being represented, and the potential downfalls of not having representation. Again the listing agent did not “deal honestly and in good faith”.

A very sad story, although since the buyer ultimately is happy with the outcome having purchased the townhome then it is a happy ending. Although, what if down the road the buyer finds that the higher morgage payments are being met only with difficulty, and enventually cannot be met? How happy of an ending would that be? The listing agent only cared that he sold his sellers’ property, not about the townhomes affordability to the buyer. If the agent is not reported and suffers no consequences, then what is to prevent him from continuing his unethical practices? How will that effect the outcome of future transactions, what will be the cost to other unsuspecting buyers/sellers?

Agents who act unethically need to be reported, it diminishes all agents when agents are allowed to continue their unethical actions, and MORE IMPORTANTLY, IT COSTS THE CONSUMER to be the victim of unethical agents. Agents who are found to act in such a manner, willfullly and continually need to be removed from the business by revoking their license, and MLS privilges.

Okay, keeping with the holiday….I hope Santa leaves a lump of coal in that listing agents’ stocking!

I see “your mama didn’t raise no fool”

What are some of the common disputes you need to resolve when there are NO agents involved. Got any War Stories?