I scrolled quickly thorough the answers (but didn't read them all), but here is my synopsis. First of all, I would never speak to a client in that manner, so that to me is unacceptable. Given the facts I can see why the agent became upset, but still, she should not have jumped at you.
Next, you asked why people tell buyers not to go to the listing agent, and here is why: the listing agent has a fiduciary duty to the seller. That being said, if they listing agent then represents the buyer as well there could be a huge conflict of interest...how can you adequately represent two sides if you cannot share certain information and want to get the best for your clients? Dual agency is a BIG issue, and one that is subject to much contention. Of course there are disclosures that you sign in such situations, but still...it is hard to argue that your best interests as a buyer would be represented by one with primary allegiance to the seller.
Hopefully you came to terms with your agent. If you are unhappy with an agent it is your prerogative to find one who can represent you and take care of you as well.
Best of luck to you,
Rachel LaMar, J.D.
LaMar Real Estate, Inc.
Lynn911 Dallas Realtor & Consultant, Loan Officer, Credit Repair Advisor
The Michael Group - Dallas Business Journal Top Ranked Realtors
The reaction of your buyers agent is that of fear, and i can see their point. I his/her eyes you did go behind their back in contacting the other agent, I presume the agent you have working for you, does not have a written "buyers agreement" between you and themselves, which would eliminate the concern of you going behind their back. I have represented less buyers than i do sellers, so for me, when i ask a buyer to sign a "buyers agreement" they always look at me cross eyed and start to question my motives....HA, it is the other way around but at any rate i rarely get a buyer to sign the agreement that protects me as their representative and in the end protects them because it defines my role. As the professional I am and most agents are, we don't need a signed agreement to act in the best interest of our clients so weather that is signed or not does not dictate my level of service or professionalism...back to your agent acting with disrespect to you out of fear. As an Jeanne Feenick replied below reassure your agent, that you are loyal to them and did not mean any harm in researching the house you "love." In fact if you don't have a buyers agreement written in place, a huge sign of loyalty would be to do that, and would allow you more "Freedoms" because your agent knows they will be earning money in the end for work they are doing.
In regards to short sales, Gerard Carney is right, your offer is just that an offer, it is not binding, and in fact could be used against you when another ABC agent calls the listing agent and says, " i have a buyer with financing or cash that can close quickly, do you have any other offers your seller is considering? they say yes we do, well ABC agent goes back to their buyer and says you need to be 95% of listing price or 110% of listing price if you want you offer considered...ABC has no clue of your offer price, but they know the market, they know what "others" are writing contracts up at and if they are a successful buyers agent will be able to coach their buyer into the strongest possible offer to ensure their buyer gets the house...I have been on the losing end of this many times, and each time i know that my buyers are not as motivated to purchase and I am not as arm twisting as i should be with my buyers to get them up on price. So making an back up offer might just bring you a false hope...On the sellers side of short sales which i have been a part of over 200 times, we take back up offers all the time, infact the last house we close early June we have 4 back up offers, guess what the first CONTRACT we had in place waited through the process and closed....all 4 back ups got an email letting them know they were not the lucky buyers....and i think that is what Gerard might be getting at.
Here is a blog i wrote about passion to help others...I am sure your agent has similar passion.
best of luck to you. if you have found this to be helpful please mark it as such. :) Thank you again.
Most of my real estate business is working with Buyers. If a buyer tells me they have a specific time line for finding and closing on a property I take them at their word. If the time line is short then a short sale most likely is not the best options. I recently represented a buyer in a short sale. It took over 7 weeks for the seller (bank) to accept the offer. Then they (the bank) wanted to close within 10 days. The buyers were paying cash so they were ready to close at any time. If the buyer had a loan it would have gotten messy and may not have closed at all. Two business days before the closing, the seller terminated the contract because they could not sell the property due to excessive liens on the property that the property owner nor the bank was willing to pay. The time line just got shorter. Fortunately, the story has a happy ending. Your agent may have saved you from a bad situation.
When a buyer goes around their agent it muddies the water. Buyers usually arenâ€™t the best negotiator since they donâ€™t do it every day and are emotionally attached to the outcome. At that point the buyer compromises the whole process. Emotions do run high in this business, so you and your agent need to talk and come to an agreement on how to work together or part ways.
Best of luck to you in finding your next home.
Keller Willimas Atlanta Midtown
Licensed Associate Broker
Accredited Buyer Representative
GREEN Designated Agent
William Raveis Legends Realty Group
You might want to shop for an agent that has experience in short sales. I wonder why the listing agent allowed their listing to stay pending when it was unknown if the person making the offer was still interested in the property. Short sales often end up as dead ends when the agents don't know how to work them. You can clear the smoke by finding out how many short sales they have completed sucessfully. So if the listing agent has not been sucessful in selling their short sales you maybe getting into a fusterating situation since you can't fire the listing agent.
Good luck on your search for a new home!
The fact that you have bought a few homes in no way means you are a real estate expert or even competant to enter into and oversee your own real estate transaction. I have represented buyers who have reached a station in life where they have owned many high end luxury homes, and not one of them (including a commercail real estate attorney) could have protected their own position or acheived the same price and terms I did - and in a few cases even kept their deal from derailing.
Certainly, agents have differing levels of competancy, but in all cases, even an average agent is better than no agent, for a host of legal and liability reasons and added protections that represented buyers have that buyer working on their own do not have. If you act on your own and there are mistakes or misunderstandings, or things dont work out like you planned, short of outright fraud by one of the parties, and that is harder to prove than you might think, GA courts deem that self represented buyers are not excercising proper due-diligence and often throw resulting legal suits of self represented buyers out.
Be very careful about buying any home on your own after a buyers agent has identified it to you - and even if you found it own your own during the term of an active Brokerage Agreement with an agent. If you transact with the seller directly on such a property ,and in some cases, even through another buyers agent you later hire, you could legally expose yourself to personally owing one or more more agents a commission out of your own pocket!
Better luck finding an agent you can have a trusting relationship with the next time.
Broker/Owner - Realtor
Professional Buyers Broker
New Home Construction Expert
ICC Code Certified Building Inspection Expert
We went ahead and scheduled a meeting directly with the listing agent (I know, booo hisss). It turned out great as we were able to see the house and found out facts about it that I'm 100% ABSOLUTELY SURE I would NOT have found out if it were from my own buyers agent. Like the fact that they haven't heard anything in a very long time from the 1st person that made an offer back in April, and that they aren't sure that person is even interested in the house anymore. Maybe, maybe not. So, we might have a chance to become the 1st offer, but after having seen it, we're not sure we really want to put an offer down anyway. We also learned about other potential short sales coming in the neighborhood.
So, overall my experience was very positive. I'm not saying that I'm dropping my current buyers agent, but I feel relieved that I have other options, if I choose to use them.
I know I'll probably get a lot of flack for saying this, but I just don't understand why the majority of agents on here immediately bad mouth to buyers the opportunity of working directly with the "big-bad out to protect his clients interest" listing agent.
We'll ok, I think I know why. It has to do with MONEY and the fact that 2 is better than 1, meaning 2 agents getting commissions is better than just 1 getting commission. Please, I've heard all the pros and cons. I've bought and sold several houses so far in my life and frankly, there have been times when 1 was better than 2. Maybe if I was doing this for the 1st time, but in my case, I feel very confident dealing with a new agent, and it was a breath of fresh air learning things from other people, instead of hearing the same things from my buyers agent.
I suspect that you may be less than her ideal client. I know from experience that business and personal relationships work best when both parties value each other. I wouldn't work with the listing agent, but I think I'd have a heart-to-heart with my agent and tell her how I will and will not be spoken to, and if that doesn't change the behavior, then I think I would find someone who was more polite and who valued my business to represent me in my purchase.
Remember, if you're unhappy with your agent, you can terminate your relationship at any time. However, I would still have your own representation to ensure that your interests are protected.
If I can help, I'll be happy to.
This your learning curve. You will be buying and selling homes the rest of your life! Learn all you can! I love teaching my clients the process. I say, I don't want to just sell you a home, I want to teach you so that if you leave the state, I know you will be a well informed buyer or seller! It's not about the sale but the education!
Granted, you should NOT have to ask but don't be intimidated, She works for you and part of her job is to help you.
Short sales are difficult to navigate but if you know what you're doing and you have patience, you can get some really good deals! To bad she missed the opportunity to teach.
Not a good idea to use sellers agent! If you must, secure another buyers agent. Please tell me, she explained agency disclosure! Oh come on! Work with me people! Work with me! Don't make me come down there! LOL!
Good luck with your purchase!
If you want to expain why you feel a certain wat; there is a way to do that.
It came off rude based on what I read. If they were not happy about what you did; they should be able to let you know in a professional manner.
How goes your home search? I read through the comments below. I think your agent was rude and over-reacted. Personally. if I were in his/her shoes, I would have been happy that you were at least honest about your own independent inquiry. But, at the same time, I know how your agent may have felt. Short Sale transactions are time consuming and not every agent is thrilled to write-up offers or negotiate directly with a lender. I am less thrilled now having gone through several bad experiences.
But, it almost sounds like the agent didn't want you to even entertain the short sales from the beginning by saying NEXT. If that was the case and you wanted to preview both short sale and normal resale homes regardless of the status, you and the agent should have had that understanding.
There's no harm in changing your wants and needs, but you just want to make sure you and your agent are on the same page.
I am curious. Are you still working with this agent? I'd like you to give my friend in the Atlanta a call. I provided his website as a web-reference. I hope ot helps.
PS. My buddy Terence has an awesome website and loves to work with buyers.
Unwavering Commitment to Service
Short sales have their own unique challenages. You will most likely be going it alone if/when an issue arises.
I have tried to warn some of my buyers in the past against using the listing agent, but they always know better than those of us in the business every day of the year.
Sr Loan Officer / FHA 203K Renovation / HomePath Specialist
Apply Online at http://www.rodneymason.com
Licensed in AL & GA
I'm 3 months in on a short sale with Suntrust and haven't even been assigned a negotiator yet. Understandably so, the bank isn't going to make it easy for an owner to default on your obligation.
Using a buyer's agent instead of going in unrepresented isn't just about the "big bad listing agent". A good buyer's agent knows how to research, review, write contracts, negotiate, deal with inspections, deal with lenders, deal with appraisers, deal with other agents and sellers, deal with issues that come up, deal with lawyers.....this industry is broken beyond belief and it's not going to get better anytime soon. A good agent makes things go smooth like a good pilot gets you where you're going without issue. The objective is boring closings.
Money is an issue of course but understand buyer's rarely incur an expense for representation - it's typically on the sellers. The idea that not using a buyer's agent will "save money and be expressed in selling price" is nonsensical - the selling agent broker will be paid the contractual fee or very close. If anything is cut, it will be minimal and it will be to the seller, not buyer.
I've been saying it for years, there are still far too many blockhead agents out here and you might have run into one. Good hunting -
Short sales can often be very lengthy in time and that is why most bueyrs and agents will avoid them. In contacting the listing agent, a buyer should never do that if they are already working with another agent. Doing so does undermind the process. I am sure that your agent could have presented their frustrations differently though.
Sr Loan Officer / FHA 203K Renovation / HomePath Specialist
Apply Online at http://www.rodneymason.com
Licensed in AL & GA
If you were unhappy with your treatment by this agent we recommend being direct, expressing your disappointment to both them and their broker, before moving on.
The bottom line is you can contact anyone you wish to contact and your agent may benefit from a reminder.....
That is rude, she should have given you the option. Short Sale could take a while to progress especially when it has not been approved by the lender. She should have explained it to you initially. You could have still put an offer in if there wasn't a firm one in hand. Basically, to submit a Short Sale to the lender an offer is required for the bank to move into the processing phase. You need a more Fiduciary wise agent, meaning someone with your best interest and better customer service skills. Keep an eye on it cause if it goes any longer the buyers under contract may walk away.
No time pressure, we can wait months, if necessary, as we are looking to buy investment property to eventually rent out. We already live in a house.
We hope to bring CASH ONLY (based on price negotiations).
We will probably low ball the price as I'm not sure this market is finished going down yet...
Our sense is our agent is good at "regular" sales, but not so good when it comes to REOs. Maybe, she thinks it a "waste of time" chasing P L A, but maybe it's not as some other posts have said. But I still think she was rude a bit...
In fairness to your agent, he likely believed the listing was Under Contract. But as I always tell my clients, proper communication is key to a successful sale and closing. Misunderstandings can $cost$ you and also waste a lot of valuable time. Before you leave your agent with a bruised ego, you might want to give him one more chance to clear up things. And if you aren't comfortable after that... Remember, there are a lot of agents who would be pleased to represent your interests. But I would highly recommend that you have an agent specifically representing your interests as a buyer, especially if this is your first home purchase.
With that said we all need to be working in our clients best interest to the best of our ability and if you wanted to try and follow that house more closely then that is what she should have done as that is our duty to you when we take you on as a client.
If you love this house and are willing to deal with the difficulty of working through a short sale than make an offer. The listing agent will need to present all offers to the bank as well as the seller and with most banks working with short sales they reserve the right to entertain offers up until the time they approve the short sale with the first buyer. So if you have a better offer than it is very likely they will decline the first buyer and start the process over again with you.
Just rember there are no gurantees with short sales and they do take incredible patience and sometimes you really have to leave any logic out in trying to figure out what there motives and decision making processes.
Best of luck to you and go make that offer with an agent you feel comfortable with!
As for dealing with the listing agent directly, let me just say, "NO." Each party to the transaction deserves to be represented by someone fighting for their rights. Not to say that the listing agent wouldn't be able to help you, but as your relationship with the listing agent stands now, the agent is looking out for the seller. Anything you say to the listing agent could come back to haunt you during the transaction.
If the sellers are entertaining backups, demand that your agent take you to see the listing or demand to be released, in writing, from your brokerage agreement and find a new agent to represent you and your interests.
Best of luck in your adventure.
She should submit the offer even if it's a back up and total waste of time if that's what you want. But - she should also educate you to this process. I suggest my clients not waste time with short sales, the hype rarely plays out.
I know there will be contrary opinions and that's fine, this is my opinion and the folks I work with feel the same once they fully understand the pros and cons.
I would go ahead and forget about the pending lender approval property. If you really want to submit a back-up offer, get ready for a lot of paperwork, a lot of waiting around, and a good chance to have wasted all that effort for nothing.
Just fill in your agent BEFORE you start contacting other agents and keep him in the loop. You could always ask your agent to contact the same listing agent again. If they refuse, maybe you should find new representation.
You've hired him/her to help you through the process, why not let him do his job?
You probably shouldn't have contacted the Listing Agent since you have an agent but your agent was absolutely wrong responding the way they did. Not only as your agent but as a human being. Your agent should have suggested submitting a backup offer if the listing agent says they were accepting them. If you have a written contract with your agent, let them know you want to cancel the agreement (in writing). Then, you are free to submit a backup offer through the listing agent or hire a new agent altogether.