"I would advise you to look over the contract you signed and agreed to for the answer to your question. Since we do not have access to it, we cannot advise upon it. "
Sometimes if Seller and Realtor agree to the Realtor pay for the repairs, provided the seller authorizes Escrow, to reimburse the Realtor out of the seller's proceeds at closing.
Exceptions apply if it is short sale
It's pretty sad that so many openly violate the law and even more shocking that they readily admit it in an open forum such as this.
From CALIFORNIA LAW
The Credit Services Act of 1984 (Civ. Code Â§Â§ 1789.10 et seq.)
"Credit services organizations (also known as "CSOs" or "credit repair services") do not provide credit. Rather, CSOs offer to obtain loans or extensions of credit for consumers who have experienced credit problems, or to correct or improve such consumers' credit records.
D. What must every CSO do?
File a registration application with, and receive a certificate of registration from, the Department of Justice (Attorney General's Office) before doing business in California. (Civ. Code Â§ 1789.25.)
Obtain a $100,000 surety bond from an admitted surety in favor of the State of California for the benefit of any person damaged by any violation of the Act. (Civ. Code Â§ 1789.18.) (The bond must be maintained for two years after the CSO stops doing business in California.)
Give the buyer, before the contract for services is signed, an information statement that complies with Civil Code Section 1789.15 (described below). The CSO must also maintain for 2 years a copy of the statement signed by the buyer and the acknowledgment of receipt of that statement. (Civ. Code Â§Â§ 1789.14, 1789.15.)
Not provide any service to a buyer except pursuant to a written contract that complies with Civil Code Section 1789.16 (described below). (Civ. Code Â§ 1789.16.)
Complete the agreed services within six months after the date the buyer signs the contract for services. (Civ. Code Â§ 1789.13(b); see Civ. Code Â§ 1789.16 (a)(3).)
Maintain an agent for service of process in this state. (Civ. Code Â§ 1789.13(j).)
E. What are CSOs not allowed to do? (Civ. Code Â§Â§1789.13, 1789.17, 1789.19(a).)
A CSO (or a salesperson, representative, or independent contractor) cannot:
Charge or receive any money or other consideration until it has fully performed the agreed services. (Civ. Code Â§ 1789.13(a).)
Charge or receive any money or other consideration solely for referring a buyer to a retail seller or other credit grantor for an extension of credit, if the credit is, or will be, based on substantially the same terms as those available to the general public, or on substantially the same terms as the buyer could have obtained without the CSO's assistance. (Civ. Code Â§ 1789.13(c).)
Make, or advise the buyer to make, any untrue or misleading statement to a consumer credit reporting agency, or to any present or potential creditor, such as untrue statements about the buyer's identification, home address, credit worthiness, credit standing, or credit capacity. (Civ. Code Â§ 1789.13(d).)
Remove, or assist or advise the buyer to remove, accurate and non-obsolete adverse information from the buyer's credit record. (Civ. Code Â§ 1789.13(e).)
Create, or assist or advise the buyer to create, a new credit record by using a new name, address, social security number, or employee identification number. (Civ. Code Â§ 1789.13(f).)
Make any untrue or misleading representation, or engage in any fraudulent or deceptive act or practice, in the offer or sale of its services. (Civ. Code Â§Â§ 1789.13(g), (h).)
Advertise its services without being registered with the Department of Justice (Attorney General's Office). (Civ. Code Â§ 1789.13(I).)
Transfer or assign its certificate of registration. (Civ. Code Â§ 1789.13(k).)
Submit a buyer's dispute to a credit reporting agency without the buyer's knowledge. (Civ. Code Â§ 1789.13(l).)
Call a credit reporting agency or use its toll free number and represent the CSO as the buyer without the buyer's prior authorization. (Civ. Code Â§ 1789.13(m).)
Attempt to have a buyer waive any rights under the Act. (Any such attempt is a violation of the Act, and any such waiver is void and unenforceable.) (Civ. Code Â§ 1789.19(a).)
Breach the contract or any contractual obligation the CSO has with the buyer. (Any such breach constitutes a violation of the Act.) (Civ. Code Â§ 1789.17.)"
If your "REALTORÂ®" did any of the prohibited or didn't do any of the required, I'd contact an attorney if I were you. Maybe that will stop them from practicing outside of their scope. It's rampant here!
What goes around, comes around!
If you agree with my answer give it the thumbs up.
Is nice to see Realtors doing a great job for their clients!
Ron Escobar, MBA
Broker & General Contractor
I am very, very up front about the cost. And in this case, especially $1000. Thats a tall order.
That should not be paid out of her commission, as she was helping you. And, as stated below, had she not helped you clean up your credit, you would not be in your home.
I believe in good karma, being kind and doing the right thing.
She helped you and it sounds like she did a fine job at it. You should pay her and thank her for her help! :)
Do any of you really think DBAGIRLIE has disclosed sufficient information for folks to go off the deep end like Gregorio Denny, Mortgage Broker or Lender, California?
The sound bite of data provided is to get the response desired. Wow! How quickly we throw others under the bus...with only a sound bite to work with.
A prudent adviser would request to see the contracts. What may have been agreed to 6, 12 18 months before the purchase often gets forgotten when the bills come due. We do not have the facts.
Another example of "No good deed goes unpunished. "
As Ron Escobar, Broker, Agent, Beverly Hills, CA pointed out, you should be doing EXACTLY THE OPPOSITE of what you are doing now.
Wishing you the very best,
I work with reputable credit repair companies and have my clients sign up directly with them. It is not the highest and best use of my time to spend in credit "fixing" and I want the consumer working directly with the credit specialist. It keeps my reputation...and my licensure...in tact.
I would advise you to look over the contract you signed and agreed to for the answer to your question. Since we do not have access to it, we cannot advise upon it.
One Thousand dollars does not go that far when a client has to do home repairs, so it just depends upon the condition of the home and what had to be taken care of in order to sell.
Your REALTOR should not be chargeing you any fee at all outside of escrow.
A $1000 fee for credit repair sound like something Tony Saprano would try a pull. That being said unless you had a written agreement to pay for a service, you are under no contractual obligation to pay for it. Realtors to my knowledge are in the business of selling Real Estate not repairing credit.
1. send a copy of the bill via certifed mail to his/her broker with a letter of explaination of whatever service he/she claims to have provided you that yields a$1000 fee. The broker needs to be informed of this kind of action by realtors working under them.
2. contact the california Department of Real estate and report this. This is wrong on so many levels!!!!!! Now I guess I have heard it all.
Best Of Luck to You,
Kawain Payne, Realtor
Good luck in your new home!