Home Buying in Catonsville>Question Details

Steve, Both Buyer and Seller in Maryland

I just bought a house in 2 months ago and my buyers agent told me what to offer. I took her opinion to heart

Asked by Steve, Maryland Mon May 12, 2008

and got the house. As soon as I moved in, a neighbor told me my agent listed an sold the same model $75,000 less. The houses have the same amenities. Can I sue my agent for recommending this high price and not telling me about her sold listing from 2 months ago? I paid cash so there was no bank involved. I relied heavily on my agent to represent me.

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5
Yikes - that's bad. Your agent should have told you about that sale. Did she show you comps to make an offer? If so, it should have been in there. You may have a case. I would first confront her on this and find out why she didn't tell you about it. If you don't like the answer, contact the Maryland Real Estate Commision. You may have a case. Are you sure the other house is the same style, same square footage, and all amenities? If it is, there is no question, she ommitted this comp on purpose. Since you didn't use a bank, you didn't have an appraisal done. You should have paid the $400 to get one on your own. If you need a hired "gun" for an arbitration or court case, I'm here to help. I can also do an appraisal for you. I can be reached at ejmrhodes@aol.com Good Luck!
12 votes Thank Flag Link Mon May 12, 2008
it is against maryland law for an agent to specify an exact offer price.
instead a range should have been given, and it is the buyers choice for the exact offer price.
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did you have an appraisal contingency ?
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if so, and the house did appraise for your ultimate purchase price...i doubt you have a case.
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0 votes Thank Flag Link Sat Jan 30, 2010
Be sure that the rumor is true, first. Check the public records to determine what the property actually sold for. Also the agent should have provided you with a CMA (Comparative Market Analysis) to determine if the asking price was in line with what similar houses were being sold for. Anyone can sue anyone for anything. But if you check your buyers agreement, there is probably a clause in there that states that you are ultimately responsible for the purchase, and the agent is not representing the value of theproperty. Normally, you should always get an appraisal, even if you are not getting a loan. And have an appraisail addendum in the purchase contract that states you want an appraisal, and can get out of the contract if it doesn't appraise to asking price. Lastly, remember that most markets are declining, and what a house sold for 6 -8 months ago is not what you can sell for now, so it sounds as though she should have offered less than what things went for previously, not more.
0 votes Thank Flag Link Sun Jun 8, 2008
Check your buyer agency contract (if one was signed)- in it, depending on your state, is a "fiduciary" requirement to you, the buyer. If a property that would impact your purchasing decision was made based on omitted information, and it was intentional, I'd be chatting with a lawyer. The agreements vary from state to state- review your agreement asap.
Web Reference: http://optionsrealty.com
0 votes Thank Flag Link Sun Jun 8, 2008
Steve,
All agents are bound by full disclosure and are required by law to fair and equitable treatment of all clients. Did your agent prepare a CMA (comparative market analysis) for you, showing what homes had sold in the neighborhood in the last 6 months? Did you have an appraisal done? Did your agent also represent the seller? Did you check Trulia yourself for comps in the neighborhood? Our society is so quick to sue and so quick to judge others. Even though you rely heavily on your agent buyers should also do their own homework and be prepared to make their own decisions. Not all buyers agents are created equal.
0 votes Thank Flag Link Sun Jun 8, 2008
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