Foreclosure in 18504>Question Details

Mike, Real Estate Pro in 18504

i believe the listing agent for a foreclosure property revealed bids to eventual buyer. is this legal?if so what can i do to expose this agent?

Asked by Mike, 18504 Fri Feb 11, 2011

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13
Mike -- for your refeeence, see Realtor's Code of Ethics, http://www.realtor.org/mempolweb.nsf/pages/code

Scroll down to Duties to Clients and Customers, Article 1, Standard of Practice 1-15

REALTORS®, in response to inquiries from buyers or cooperating brokers shall, with the SELLERS
APPROVAL, disclose the existence of offers on the property. Where disclosure is authorized, REALTORS® shall also disclose, if asked, whether offers were obtained by the listing licensee, another licensee in the listing firm, or by a cooperating broker. (Adopted 1/03, Amended 1/09))

Good luck.
1 vote Thank Flag Link Mon Feb 14, 2011
Mike,
If you have proof this can be a serious issue, prior to contacting an Attorney (which you should do if you have proof and you get no satisfcation from agent/broker). However, first you might want to contact the agent's Broker to discuss this situation and make them aware of it.
1 vote Thank Flag Link Fri Feb 11, 2011
there is a difference between ethics and illegal...its a question of ethics. if however the seller authorized it, its ok. the seller's agent works for the seller unless another written relationship is crated in writing.
0 votes Thank Flag Link Sat Mar 5, 2011
Before exposing the agent, you had better have proof positive that he/she disclosed bids.

If bids were disclosed it would make the Realtor's actions unethical.
Web Reference: http://www.golftobeach.com
0 votes Thank Flag Link Mon Feb 14, 2011
If the seller instructed the agent to reveal the offer prices to bidders/potential buyers, and the agent complied, this is perfectly legal.

Some sellers do prefer that the offer prices are revealed to the bidders --- just like in an auction --- to entice the bidders to raise their offers.

Now, if you can prove that the agent did this without the seller's knowledge, then you can start by speaking to that agent's broker regarding what you perceive as unauthorized action and and then consult with the local association of realtors for your next step in filing a grievance against this agent.
0 votes Thank Flag Link Mon Feb 14, 2011
It depends on what the seller told the agent to do. If the seller instructed the agent to do this, then there may not have been unethical behavior. You can file a complaint against an agent by contacting the Pennsylvania Real Estate Commission and filling out paperwork.
0 votes Thank Flag Link Sun Feb 13, 2011
Report them to the Greater Scranton Board of Realtors;located on Davis Street in Clarks Summit. Telephone #
570-587-0251
0 votes Thank Flag Link Sat Feb 12, 2011
If the listing agent is not your agent (Dual Agency) and was working in his/her clients best interests - it certainly sounds like they did get a higher bid for their client - it is legal and there is no violation to the Code of Ethics. Whether or not your bid amount was shared is immaterial. You put in your highest and best bid because you really wanted this property and anyone paying more than that was simply overpaying.
0 votes Thank Flag Link Fri Feb 11, 2011
In California, it is legal as long as the seller agrees to it, and the information is shared with all offerers. Furthermore, if the seller doesn't want the amount of other offers disclosed, then they must put it in writing.

Go to the Pennsylvania Association of Realtor's website and see if they have a legal hotline for consumers. They should be able to tell you if it is legal in your state. If you can't get an answer there, call your local Association of Realtors.
0 votes Thank Flag Link Fri Feb 11, 2011
Did the agent have permission from the seller, in this case the lender, to divulge such information; do you have proof it occurred...as for any involved legalities, do consult with an attorney who specializes in real estate, for an accurate answer...
0 votes Thank Flag Link Fri Feb 11, 2011
Undetermined what took place between listing agent and buyer(s) exposure. Do you have documentation? Do you a recording of conversation? Do you have video of the activity took place? Do you have copies of emails between all parties?

How were you financially damaged in this transaction ?

If you have any concerns contact listing agent broker

Lynn911 Dallas Realtor & Consultant, Loan Officer, Credit Repair Advisor
The Michael Group - Dallas Business Journal Top Ranked Realtors
972-699-9111
http://www.lynn911.com
0 votes Thank Flag Link Fri Feb 11, 2011
Hello Mike,
For the listing agent of a bank-owned property to reveal other offers on the property is not necessarily illegal. The bank may have given the agent permission to disclose what offers they have received as this is a way to obtain higher offers. It is up to the sellers on real estate transactions whether or not they wish for offer amounts to be disclosed to other potential buyers.
Hope this is helpful.

Laura Feghali
Prudential Connecticut Realty
0 votes Thank Flag Link Fri Feb 11, 2011
Hello Mike,
This a hard question to answer. This situation does happen and it's very unethical, but whether it's a illegal is questionable. I would just suggest not to use this agent and to inform his or her broker what this agent is doing.
0 votes Thank Flag Link Fri Feb 11, 2011
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