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Mark10, Other/Just Looking in Chicago, IL

Listing agent not submitting offers (at least that is what it seams)

Asked by Mark10, Chicago, IL Sat Nov 13, 2010

My agent has submitted offers on a property (bank owned property) on my behalf, but he haven't gotten a response from them on a timely manner. My first offer I submitted was rejected within two days, about a week and half ago I made a second and last offer, but we haven't heard from them in days. They don't answer the phones or return emails. Now I am thinking they are not submitting the offers to the bank and so is my agent, we are both thinking they will submit an offer that is above the asking price so they benefit from the sale. I am pretty upset they we haven't heard from them, because I am putting aside my vacation to deal with the closing. Is there a way to find out what bank owns the house and contact them directly since we haven't had any luck with the listing agent. I don't want to get anyone in trouble but if they are not submitting ALL OFFERS to the bank then I would going to be really upset and possibly take legal actions against the listing agent co. Please help.

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9
PLEASE READ! Hi Mark, I am a realtor in Boca Raton, FL. Unfortunately I strongly think that there are a lot of listing companies are NOT working honestly. This just happened to my client. I was calling and sending e-mails to listing office. Nobody contacted me. It was a Freddi Mac property. Finally I send them an e-mail saying I will complain and contact the seller because I believe that they are not submitting all offers to seller. Then immediately I received AN E-MAIL BACK, saying that the seller is negotiating with another buyer. I believed that they are just doing it to make me go away!!! Our offer was really good and I didnt believe them because they never responded before I said I will contact Freddi Mac, the seller!!!! I found Freddie Mac's general number online and called them. They gave me a different direct number to call. I called and I explained how the listing company treated us and that I believe they only submit some offers (that benefit listing company) not all of them including my clients offer. They gave me a claim number, took the address to the property and my name and my clients name. In the next two days I received another e-mail from the listing company!!! What a surprise! The company who did not return e-mails or calls suddendly start contacting me without me asking! The e-mail was saying "We know you contacted the seller, we are submitting all highest and best offers again to seller!" So THEY DEFINITELY DID NOT SUBMIT MY CLIENTS OFFER AT FIRST. Then in a day or two, I received another e-mail saying my clients offer is ACCEPTED. We are working on closing the transaction. Now I should complain this to licencing and have this company punished legally. They may loose their licence and/or get big fines. So when they are ignoring your e-mails and phones, that is a big red flag. Even if they response and you may still have to contact the seller to protect your rights. I am just having the same situation with another company now. I called their broker about it. Now I get a cold responses from the girl who submits offers to bank, but I do not believe that she will do her job and I will call the seller.

I have to say, not all listing companies are the same but there are some that are bad and needs to go away because I have a big problem if after working so many hours on the houses to show, choosing them, driving from one house to another, writing up offers with this senseless addendums up front 15-20 pages per offer, (offer should be 5-10 pages max and addendums if your offer is accepted) and then you find out someone is putting your offer in to trash. That makes me very upset and angry. Those people should not work in this industry, period.
2 votes Thank Flag Link Thu Apr 7, 2011
Ha! You helped me out because I'm having a similar issue with an agent on a property, I have been trying to put an offer in for days, I'm new to the business and it would be my very first offer, and she said oh she got another offer as if mine doesn't matter? So I called and emailed and texted many many times and called her office and they couldn't reach her but they'd tell her to call me, this goes on for days, so after reading this I sent her an email saying I will contact the seller directly and BAM 3 seconds later she calls! WOW. WISH I KNEW HOW TO REPORT HER!
Flag Sat May 11, 2013
Help, going through the same thing, can you please provide the contact number you used for Freddie mac?
Flag Thu Mar 21, 2013
Your agent has no control over the response from the asset manager of the bank owned property. So please do not hold your agent accountable. We are going to air on the side that everything is above board and in the best interest of the seller. If its a hot property there could be multiple offers. There could be a lengthy time within which the assest manager or bank responds to the offers. If its a new listing the bank may be waiting on a offer within a certain price range. If its a property that you really want bid like you want it. Comps are fine but during this market they are not everything. Other factors that play a role are how are you paying for it. Cash? Loan?
0 votes Thank Flag Link Thu Nov 18, 2010
First of all, the listing agent has likely submitted your offer. If you haven't heard, it doesn't mean very much. It sounds as if your agent hasn't done too many foreclosures. The time varies with banks and Fannie Mae or Freddie Mac for responses. You cannot go directly to the bank and bypass the listing agent. They will only receive and review properties sent to them by the listing agent. There is only one way to get a home in a tough market (I'm not real sure that Chicago is a tough market), view many properties and make many offers at the same time on the homes you like. Usually, I write 5-7 offers for a client on the homes they like after we have finished viewing the homes. It is a lot of paperwork, but people get a home this way. Take your vacation and just calm down. You are creating undue stress on yourself when there is no need for it. The banks will respond when they feel like responding. In the meantime, view more properties and make more offers. You will get at least one or two of the properties that way. Then, choose the one you want of the two if you get both. Also, I would add, the offer that gets accepted in a foreclosure is the one that gives the bank the best net. If you ask for a lot of closing costs, home warranty, repairs, etc then it is likely the bank will choose another offer. Have your agent keep it simple. Then you will get your home.
0 votes Thank Flag Link Thu Nov 18, 2010
I do feel for you. There is nothing more upsetting to a buyers agent when the listing agent doesnt return calls and then "all of a sudden" the home is on deposit and sold by their own office. All offers are required to be submitted, hopefully there is nothing unethical going on. I do know from experience it is tough getting in touch with some banks. And when you do, they never seem to have the answer. On the other hand, some banks are very easy to get in touch with. The Tax records may show who the bank is if the records are updated. You will not get anywhere from calling the bank.

I agree with Lisa, your agent needs to speak with her/his manager and the manager should step in. Too many times nothing is said and the office keeps doing the same thing....keeping it in-house.

Good luck. Do remember, if its meant to be then it will happen. Not receiving an answer, maybe this isnt the right home and you need to find another one. I am a strong believer of this and when my clients do not get the home they want, then it wasn't meant to be.
0 votes Thank Flag Link Thu Nov 18, 2010
I would hope none of your worries are true as we expect our fellow Realtors to follow ethical behavior. They are required to submit ALL offers in a timely manner. If you suspect the above to be factual and the fact that they are not returning your calls I would first begin with a phone call the Agencies office manager. Ask your Buyers agent to do this on your behalf. There's no excuse for not returning calls and it is one of my biggest pet pieves. I would then ask for some sort of prrof that your offer was submitted/rejected there is a great paper trail when it comes to bank owned. Best of luck.
0 votes Thank Flag Link Thu Nov 18, 2010
It's possible.........However, all offers have to be submitted. That being said, I have dealt with this numerous times, the banks don't answer my calls and/or emails, the listing agent won't answer either. It is very frustrating! The client doesn't see all that is going on or how much effort many agents put into trying to get an answer. If you are not feeling comfortable perhaps talk with the agent and the broker.
0 votes Thank Flag Link Thu Nov 18, 2010
Mark10,
It is always possible that the agent is not submitting, but some banks do take time to respond especially if there are multiple offers. From your comments it sounds like your offer was not a full list offer...your offer could be low which also tends to lead to delayed response times.
REO transactions are not typical transactions & there are a lot of issues being dealt with that the buyer does not see.
Web Reference: http://NorthShoreREO.com
0 votes Thank Flag Link Wed Nov 17, 2010
The problem with the offers you make to the bank is that they can take however long they want to give you an answer. If they want to hold out for a higher offer, they know they can. The best way to get a faster answer to make a more solid offer.

Here's the thing, if you are lowballing the home, the asset manager could be looking at it as you're wasting their time. I've known some of them to not give an answer on a 2nd offer (after the 1st was rejected) because you chose to waste their time, now it's your turn. Giving you fast answers only encourages people to start offering low and then slowly work the amount up. By doing this they might feel they are getting the point across to you not to mess around and offer your best the 1st time around.

I don't necessarily agree with it, but if they frustrate enough people making low offers it will save them time in the long run.
0 votes Thank Flag Link Sat Nov 13, 2010
It's possible that the listing agent has submitted your offer and is waiting on the bank to respond. It's not uncommon for REO's (bank owned) to take a while to respond. I am surprised that you received an answer on a bank owned property in 2 days on your first offer.

You should however be able to get an answer from the listing agent as to whether or not he/she even submitted the offer. You could have your agent contact the listing agents broker to see if you can get any answers about your offer.
0 votes Thank Flag Link Sat Nov 13, 2010
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