Considering buying our rental. Need advice on best way to proceed.

Sherie1982
Home Buyer
Destin, FL

My husband and I are renting a house that we would like to buy. About a month ago, we went through the rental agency and put an offer in to the owners of the house to buy the property. The owners revealed that they had a second mortgage on the house and owe $25k more than we offered for the house. Our offer was very fair and reflected the value of house based on comparables. They were not interested in a short sale at that point because they did not want to ruin their credit. My husband are I are considering going directly to the owners and making another offer, without the aid of the real estate broker. Keep in mind that the house is not listed for sale, we are renting the property. Out thought is that if the seller does not have to pay commission to a broker they will be more financially able to sell the house to us. I have a friend who is a real estate agent that we could pay a 1% commission to take of the paperwork once a price is negotiated. Good idea or bad idea? Thanks.

Answers (2)
Mark Lemenager
Agent
Harmony, FL

Hi Sherie,

As Myke notes, it will all come down to the terms of the contract between the rental agency and the owners. If you've been in the property more than a couple years, then there may be no provision for a commission. Ask them what there contact says. Either they'll tell you or they won't. Nothing ventured, nothing gained.

Good Luck, Mark

Sun Nov 8 2009, 12:30
Myke Triebold,G...
Agent
Destin, FL
FIRST ANSWER

I have no idea what the price range of the home is that you are living in. It may be that the rental agency's contract covers this situation, and the owner might very well owe them the commission regardless of what you do at this point. This gets very "sticky"--procuring cause is taken very seriously by the emerald coast board of realtors. Your friend could find themselves in difficulty if they try to take the sale away on a property that you have already made an offer with. Essentially, you have already used the services of a realtor to make the original offer on this property, and that realtor has a good reason to believe that they have earned the commission if you indeed eventually purchase the property.

Sun Nov 8 2009, 12:16

Didn’t find what you were looking for? Ask a question!

Search Advice

Ask a question

Got a real estate question? Get answers from locals, experts and real estate pros.
Ask
Email me when…

Learn more

View all » 1 - 3 of 17
Copyright © 2010 Trulia, Inc. All rights reserved.   |   Fair Housing and Equal Opportunity
Help us improve our service—send us feedback