Author Topic: Getting out of an agreement / contract with a realtor?  (Read 1490 times)

FrugalSaver

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Getting out of an agreement / contract with a realtor?
« on: October 13, 2017, 03:29:30 PM »
A friend recently signed an agreement with a realtor to pay 6% of the sale.

The very next day, someone knocked on the door offering to pay cash at a great price for Thee house.

The realto says they are obligated to pay them the 6% having done nothing to achieve the sale.

What's legal here?  Reasonable?  If my friend accepts the offer should they be obligated to pay 6% to the realtor on principle?  This is probably not a scenario that happens very often I would assume.

YttriumNitrate

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Re: Getting out of an agreement / contract with a realtor?
« Reply #1 on: October 13, 2017, 06:56:23 PM »
What does the contract say?

ixtap

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Re: Getting out of an agreement / contract with a realtor?
« Reply #2 on: October 13, 2017, 07:06:06 PM »
I also work on commission and one of clients is a real estate agent. They had someone approach them, and gave me my commission of their own free will.

It does happen, that is why the contract is there. Why not have your agent handle paperwork and discuss a 3% commission, which is what they would have received if another agent brought the buyer.

Car Jack

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Re: Getting out of an agreement / contract with a realtor?
« Reply #3 on: October 15, 2017, 06:24:02 PM »
A choice (if the contract allows, you have to read it) is to fire the real estate agent, wait the time listed in the contract (90 to 180 days is typical) and then sell the house. 

He could attempt to negotiate with the agent, but the agent has all the cards and knows that there's almost no chance that he's going to wait that long before selling.

Miss Piggy

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Re: Getting out of an agreement / contract with a realtor?
« Reply #4 on: October 15, 2017, 07:31:35 PM »
Did the interested buyer knock on the door because there was a for sale sign in the yard from the agent? Or was it just out of the blue?

afox

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Re: Getting out of an agreement / contract with a realtor?
« Reply #5 on: October 17, 2017, 01:04:01 PM »
Of course we wanna know, how much was the cash offer?  Im guessing the RE agent will be more likely to pursue their 6% if there is more money on the line. 

Typically the listing agent gets paid 3% by you if there is a buyers agent involved and 4.5% or something similar if the listing agent brings the buyer.  You should have never agreed to a contract with 6% listing agent fees, im sure you realize this is hiway robbery now.  Let this be a lesson for others that these fees are negotiable and if one is not careful you may be taken advantage of.

I sold a house to a family member for 7% less than appraised value.  No inspection or complicated contract, just a small laywer fee.  I was talking to realtors before making that decision but they were just so slimy I figured Id rather give money to family member than have it go to agents next luxury automobile.