I entered a 1 year BRE with my agent. After the first transaction fell through he became bitter towards me. He dragged his feet submitting a subsequent offer on a short sale property. He failed to keep me informed pursuant to section 6 A and B of the BRE, he withheld a building inspection in his possession (provided by sellers for me) until after I paid for a second inspection, which he failed to show up for, then he delivered the inspection 2 days later. I fired the agent in writing 5 weeks before the close of escrow and before the lender had accepted the "short" terms. The agent assigned another agent from his office (unofficially). That agent did not have authority over the transaction through escrow. My ex-agent failed to "facilitate the escrow process" in any way. When escrow closed I believed I fulfilled the 4% obligation to the agent. Settlement statement showed 6% commissions paid. I complained to DRE and the Association. The agent demanded 1% unpaid commissions. What can I do?
Dear Unhappy:
I too am sorry that your real estate buying experience was not all you thought it should be. But, there are always two sides to a story. Lets look at some of your statements: You stated that "He dragged his feet submitting a subsequent offer on a short sale property." He also warned you that short sales were very frustrating, that the time between the offer is made and a response is made from the bank can be months. He told you that just because an offer was submitted does not mean the bank will respond in a timely manner - didn't he?
You state that "He failed to keep me informed pursuant to section 6 A and B of the BRE, he withheld a building inspection in his possession (provided by sellers for me) until after I paid for a second inspection" Yet, isn't it true that when you made these assertions to two judges in our local courts, it was their finding that a) he did NOT with hold any information, that b) you should have done your own inspection anyway?
Then you state that "I fired the agent in writing 5 weeks before the close of escrow and before the lender had accepted the "short" terms." Yes, you fired the agent AFTER the contract was 'substantially performed'. So, if you hire someone to paint your house, and fire him after it is 90% completed - you don't owe him anything? When you made these assertions to the judges - what was their decision?
And yes, the agent did "assign another agent from his office." There is nothing unusual about that, all agents help each other (or we should).
When you filed your complaints with the DRE, the local association appeals and told your story to the Small Claims judge, and the Appeals Judge - what did THEY ALL tell you? I suggest that you learn from this experience, enjoy your house. You got a great deal. And give the kids a hug for me.
I am sorry you had to go through that. The only piece of advice I can give you over this issue: is to either contact a real estate attorney or contact the Shasta County District Attorneys Office and talk to the Real Estate division that will be fully operational come this summer. I am sorry for any inconvenience this agent has caused you.
Wow....sorry you had to endure that kind of abuse/poor service! Contacting the local Realtor's board and the Cal DRE would be in order if this person persists. A 4 % commission? Other than tell everyone you know and blog about this person and contact the Dept of Real Estate and the local board there is probably not much you can do. You might want to contact an attorney in case the harassment persists.
They are lucky they even got the 3%!!
Contact me if you want the name of a great local Redding attorney that can tell you your rights?
P.S. contacting DRE will usually take 2-4 months to get a response from them as they are so busy.
With holding the property inspection is a BIG no-no!
Regards
Rick Goates
Unhappy
You need legal advice from an attorney
The Realtor works for a broker. It sounds to me that the broker assigned you a new agent to complete the escrow process, is that correct? The commission agreement is based on the seller's contract with the listing agent. The broker of the listing agent actually receives the contracted commission, in this case six percent. The MLS states the compensation to be paid to the buyer's broker, and in turn, the broker pays a share to the buyer's agent...the fellow that you are not wanting to pay because of shoddy service.
The problem you have is that because the seller is legally obligated to pay the commission to the broker, it sounds to me as though your complaint and request for a refund would be handled by talking with the broker.
The broker is legally liable for the actions of their agents, so if this agent did not provide the service that you feel you were due, you have two paths to take. First, talk with the broker, who obviously is aware of the problems.
If this agent is a REALTOR, then he is also obligated to adhere to the Code of Ethics (see link). If you think that there is a violation of ethics, then you can file a grievance with the local Association of Realtors.
http://www.realtor.org/mempolweb.nsf/214c1520b27c9ee286256b2
The agent is also a DRE licensee, so it may be that he has violated DRE rules. Visit http://www.dre.ca.gov and see the consumer section to file a complaint.
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