Jeff K, Home Buyer in Orlando, FL

Do I have to use the listing agent that showed us the home?

Asked by Jeff K, Orlando, FL Sun Mar 22, 2009

We found a home online. I called the listing agent and she told us it was a "short sale". I told her that I didn't want to deal with an agent that wasn't enthusiastic about a short sale. She assured me she was. She told us that the house had an offer pending but the buyer backed out. We made an appointment to see the house. She showed up empty handed. I asked her if a BPO had been done. She said they wouldn't do that until after an offer was made. What?
She asked if we were working with an agent, I said "no, we haven't found one we are comfortable with".
I really want the home, but I really don't believe I want to be her first attempt at a short sale.
Am I bound to her because she showed us the home?
I really need a short sale bulldog.

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Answers

17
Gay Middleton’s answer
Message to Sold.

If a Professional Realtor and a Short Sale specialist cannot get banks to respond faster how in the world is a buyer representing his/her self supposed to contact the bank and have the experience to finalize a short sale directly? One thing you have to remember, the bank is not a party to the contract. The seller of a short sale is the party (seller) and you have a potential (buyer). The bank has to approve the sellers request to sell the property to this buyer at the contract price at a loss. A potential buyer going directly to a bank on a short sale property may not be a legal action. One may want to consult an attorney before trying to "bull dog" their way past the list agent and/or seller.

This property is listed by a Realtor, while this buyer does not have to use the listing agent, he would not increase his chances by passing over the listing agent and to try and go directly to the bank. If that could happen, this listing agent will be paid by the bank for her listing services and this buyer will not be represented. The banks need Realtors more than ever and It has been my experience that they are not using the commission as a bargaining tool. In some cases the Realtors involved in the transactions are many times asked by the bank to accept less than the posted commission on the sale. In a real world situation, this is like you working all month at your job and at the end of the month when you expect to be paid as agreed for your work, you are asked to take less.

Forgive me, but your advice falls into the category of the old saying "the man on trial who represents his self has a fool for a client" . This is an open forum to offer opinions, advice and information about Real Estate and all are welcome to participate. Just wanted to offer another view and hopefully clear up a few points made.

Thanks for the opportunity.
Gay Middleton
Realtor
1 vote Thank Flag Link Tue Mar 24, 2009
To follow up, since the listing agent had a buyer at one time, a BPO may have been ordered for that contract. However, a new BPO would have to be ordered for any new contract since the market changes daily, so don't judge the listing agent too quickly.

Rita was right. Interview her further. She may just have the strengths you're looking for.

Judy Chapman
Coldwell Banker Residential Real Estate
521 E Mitchell Hammock Rd
Oviedo, FL 32765
(407) 227-7763
judy.chapman@floridamoves.com
http://www.orlandorealtynotepad.com
Specializing in Oviedo, East Orlando, Winter Springs, Chuluota, Lake Mary, Maitland & Winter Park
1 vote Thank Flag Link Sun Mar 22, 2009
Sold,

Quick question, if there is an HOA lien at closing who pays the bank, investor who holds a second, seller, buyer or is the HOA out of luck?

Take time to explore my website also if I be of further help just call or email me,

Dave Lowe, broker
GRI – ePRO – GREEN (Designations) http://brokerdave.topproducerwebsite.com/daves-designations.asp
Two4One of Orlando (Orlando Website) http://two4oneoforlando.com/
Two4One.com (Corporate Website) http://two4one.com/
Customer Testimonies http://brokerdave.topproducerwebsite.com/customer-testimonial.asp
Dave’s Bio http://brokerdave.topproducerwebsite.com/daves-bio-.asp
Web Reference: http://two4oneoforlando.com
0 votes Thank Flag Link Wed Mar 25, 2009
Jeff,
Keeping it simple. You can choose who you feel can best keep your needs number 1.
Realtor Rick.
0 votes Thank Flag Link Tue Mar 24, 2009
Jeff,

I do what I feel is the best, a three point plan, we explain your options for the property as it relates to a buyer or seller and take the direction you feel has your interest in mind.

Take time to explore my website also if I be of further help just call or email me,

Dave Lowe, broker
GRI – ePRO – GREEN (Designations) http://brokerdave.topproducerwebsite.com/daves-designations.asp
Two4One of Orlando (Orlando Website) http://two4oneoforlando.com/
Two4One.com (Corporate Website) http://two4one.com/
Customer Testimonies http://brokerdave.topproducerwebsite.com/customer-testimonial.asp
Dave’s Bio http://brokerdave.topproducerwebsite.com/daves-bio-.asp
Web Reference: http://two4oneoforlando.com
0 votes Thank Flag Link Mon Mar 23, 2009
Good Morning Jeff

I just wanted to comment about my relationship with a Short Sale Express Company. I am in a much better position than most Realtors, my company has spent money to contract with another company that specializes in short sales. WE pay for this service and it affords us the experience and knowledge of someone that has been in the business for many years and this is all they do. They have relationships in the industry with banks, asset managers and title companies and a staff that works on SS full time.

With all due respect to previous advisor (see message previous), there are many "issues" in the market place right now and my company is going the extra mile to ensure the highest quality service we can give. You are correct in wanting to work with the best you can find. There are some agents that do not have the experience or the tenacity or time to follow thru with these SS negotiations. I believe my company has offered an alternative to that. They are (also) training us on the ins and outs of short sales to better assist our clients. As with all here, I am simply passing on information to the Real Estate community.

While previous members "advice" is respected and welcome here, if you could contact the SS company direct, it would cost you and I am providing the service/information for FREE. When I utilize the SS company with a lising, I offer the seller (and buyer) the best service and information in the market today and that the transaction will be handled professionaly and expedited thru the system and I Pay for it!

Sounds like a great deal to me!

Just wanted to clear that up...Trulia is a forum for opinions from all and I appreciate all participants as I hope they do mine. Thanks.

Gay Middleton
Realtor
Web Reference: http://www.gaymiddleton.com
0 votes Thank Flag Link Mon Mar 23, 2009
Hi Jeff,

Before you go and get locked into representation on this, from someone who may or may not truly have expertise in short sales - go see if you can't talk directly to someone in an executive position at that bank. The agent will still get her money - don't worry about that. But if you can talk to the right person, be able to make a very strong offer (cash or very well positioned), and they are the only lender - you might get this thing done fast.

Are you sure there is only one lien holder to be concerned about? If not, this deal will be truly ugly and long, if it happens at all.

I'd be dubious of working with someone that "just took a course from a pro" - I'd rather find out who that Pro is and talk with them ...

I tried one short sale. Made a solid all cash offer that was well-aligned with recent sold comps in that immediate neighborhood. 3 months of waiting and the bank putzing around. I walked.

Good luck!
0 votes Thank Flag Link Mon Mar 23, 2009
Jeff,
Short Answer no.
Hope this helps.
Realtor Rick.
0 votes Thank Flag Link Mon Mar 23, 2009
Jeff,

You have the right to select your agent and if your not happy just let them know, you don't want further complications as you progress.

Take time to explore my website also if I be of further help just call or email me,

Dave Lowe, broker
GRI – ePRO – GREEN (Designations) http://brokerdave.topproducerwebsite.com/daves-designations.asp
Two4One of Orlando (Orlando Website) http://two4oneoforlando.com/
Two4One.com (Corporate Website) http://two4one.com/
Customer Testimonies http://brokerdave.topproducerwebsite.com/customer-testimonial.asp
Dave’s Bio http://brokerdave.topproducerwebsite.com/daves-bio-.asp

You gotta love those drive by bloggers!
Web Reference: http://two4oneoforlando.com
0 votes Thank Flag Link Sun Mar 22, 2009
No you are not bound unless you signed a buyer agency agreement with her. Even then any agent worh their salt would let you out of it if you are not happy with them
0 votes Thank Flag Link Sun Mar 22, 2009
You do not need a "bulldog" or any other kind of agent. Make an offer without one and make sure you put into that you want to save 3% for not having a broker. The bank(owner) will love it and make it a stronger offer.
0 votes Thank Flag Link Sun Mar 22, 2009
Hi Jeff,

Again, If this is the property that you are commited to then the process will be an unsure and trying time that may drag on and be quite frustrating. I do strongly suggest that you have a few conversations and find a knowledgeable Buyers Agent REALTOR that will explain each step of the way. Also, they will be representing YOUR interests and protecting and fighting for your rights as a client. The Listing Agent can then be in communication with your agent and that will in itself perhaps take some of the headache away from the process for you.
Unfortunately, short sales have no guarantees that the bank will ever accept ANY offer. Offers refused or held up waiting for "highest and best" offers, BPO's ordered with each offer, and months of being held up waiting to close in hopes that a better offer will come through. We pursue our short sales working closely with specialized short sale attorneys that deal with the banks yet these are commonplace issues.

I strongly urge you, if you are not completely commited to the property, to perhaps step back and find a property that is already REO. You will discover working with a buyers agent whether or not the property is a good investment and what you should put in as an offer on it based on the current market. There are so many choices in this buyers market and you are on the right track by actively seeking a purchase at this time!

The internet is a wonderful educational tool in terms of increasing buyer knowledge, but having a REALTOR to decipher the information and work with you through the process does nothing but increase your buying power. Best of all-the services are paid for by the seller!

I wish you the best and please contact me if I may be of any assistance!

Heather Holmes
heather@kreghomes.com
407-744-2935
0 votes Thank Flag Link Sun Mar 22, 2009
Hey Jeff,
Lets compare notes. The agent you met up with may not be as experienced as you would like her to be, but that is alright. All you have to do is get to use a well trained and qualified short sale negotiator.

There are people out there like me who know how to get the deal closed. We know from the moment the offer comes in if its worth sending to the lender. If its not worth sending to the lender then we may make a suggestion for the homeowner to counter back.
Technically we work with the sellers, but there are times I have had buyers who have insisted on having me be a part of a deal. And if you are at all unsure about the listing agent and her experience have her give me a call. I often can sniff out the shoulda / woulda / coulda's and tell if they know what they are doing or talking about.
And if she or any other agent does, then great! Maybe they are qualified to handle the deal and sometimes it is just as easy using that one agent but often it is not in the best interest of the agent to do so.

I have been promoting that agents are supposed to work with buyer and sellers and guys like me (also an agent but also with years experience as a mortgage broker) know how, when and especially the why of getting the deal done. I will admit it is not rocket science but one wrong move could have your offer sitting in the bin for a long time. I see plenty of pending offers sit for months with no response from the lender and if so, there is often something wrong with the deal.

As I stated above, there are plenty of people out there that do what I do but we don't advertise all that much because we get a few good agents and those agents tell their friends before long we are managing 15 to 20 deals at a given time. So you might just ask your agent if she is already working with a negotiator, and if not, you could give me a call to explain what it is and how I do what I do.

My goal is to get the deal closed within 60 days and I will be honest with you there are deals that are dead the minute your offer is submitted, so you do want to know what you are doing. Again there is nothing wrong with using the listing agent if they know what they are doing.

I don't like stepping on toes, and I always work to get the deal done.
0 votes Thank Flag Link Sun Mar 22, 2009
The agent was correct in telling you that a BPO would not be done until the bank received your offer. In fact if the whole process at the bank takes over a certain number of days they will order another one towards the end before making a final decission as market conditions change. Know that this process takes 3-5 months, "bulldog" envolved or not. Part of it is simply that your offer is going to wait in to line with others to even get to a loss mitigators desk.

I agree with my fellow realtors answering that the best thing to do is to find out how many short sales she has done and how many she closed successfully.
0 votes Thank Flag Link Sun Mar 22, 2009
Hi Jeff
I attended a training meeting for short sales presented by a pro last week. There is really not much more any of us can do at this point. The bank holds the keys to all these short sales and the banks are really putting the brakes on and the number of short sales being approved has dropped off dramatically in recent weeks. It has to with all the government intervention. Banks are just not motivated. It is not impossible but like you say, it is a tough arena to be in. I have a few dogs in that fight myself.

I am a "bulldog" and I have two short sales one as list agent and one as buyer agent. I am frozen. I make calls everyday, I follow up, I send complete pkgs, I respond to requests and still nothing. On Buyer side, I am at the mercy of the list agent and their title co. I learned last week that title company is one key to this. If the title co is top notch and top rated they may have some advantage with bank. Perhaps that is the direction to take. Make a request that list agent use your title co choice and then make an informed title choice if possible. The organizer of my training session is someone I can hire to facilitate this for my sellers and possibly buyers too. I would have to ask. If you want to know the answer to that just let me know.

I am sorry you had a tough experience. I know first hand it is an real struggle to remain a positive force in today's challenging market, but I for one am trying my best. What are you looking for in an agent that would make you comfortable? You sound very knowledgeable about the process and about what you want. That is a buyer I would like to work with.

I wish I had better advice. You cannot cut out this listing agent even if you choose a Buyers Agent, unless you wait it out and this agent losses the listing when the short sale turns into a foreclosure that turns into an REO, no telling how long that may take. You can check online and get the status of the foreclosure process on this property. If you would like me to check just contact me and share the address and I will do some research for you.

If this is the house for you and you are committed then I suggest you can try and work it thru with this list agent or find a Buyers Agent that you can trust and feel comfortable with and submit an offer. Even if a BPO has been done, when a new offer or buyer comes in the bank will START OVER and there is no such thing as an "approved" short sale. Our trainer cautioned on that myth.

As you know, there are many homes available and my experience has been that when a Buyer misses out on a home, usually the next one that comes along is much better than the last! Keep pushing on, you will find that agent and that perfect home. You sound determined to make that happen. Let me know if I can help you accomplish that.

Gay Middleton
Realtor/Sales Specialist
407.493.3699
Web Reference: http://www.gaymiddleton.com
0 votes Thank Flag Link Sun Mar 22, 2009
Hi Jeff,
Unless you signed a Buyer Broker Agreement, which I assume you haven't, no, you don't have to go with her. But if you arrange for another agent to represent you, that agent will have to go through her, which means so will you. It'll be just one of those uncomfortable things.

Good luck with whatever you decide.

Judy Chapman
Coldwell Banker Residential Real Estate
521 E Mitchell Hammock Rd
Oviedo, FL 32765
(407) 227-7763
judy.chapman@floridamoves.com
http://www.orlandorealtynotepad.com
Specializing in Oviedo, East Orlando, Winter Springs, Chuluota, Lake Mary, Maitland & Winter Park
0 votes Thank Flag Link Sun Mar 22, 2009
Hi Jeff: I am in Memphis, Tennessee and am a short sale bulldog. However, the bull dog that you need is on ethat knows the listing side and the purchsae side of the short sale transaction. These transactions take a little while (60-90 days or so) to ge through the process. The listing agent would not have the BPO because, it is ordered either to set up a short sale on a government backed loan or during the offer process through the bank's process. That listing agent is not the one to perform the BPO. Your frustration will come in at the point where you do have your own representation and the listing agent is still the one to work with the seller and the current mortgage lender. I have not seen yet where the buyer's agent was authorized to work directly with the seller and the seller's current lender. I would call that agent again and ask her some "interview" questions, like how many short sales has she attempted and how many has she completed. Has she obtained all the paperwork and documentation from the seller that would be needed for this process and is she willing to call the lender once a week for the status updates. Different Realtors show their passion (or lack thereof) in different ways. It is my passion to assist a short sale buyer and seller to a final closing end. I "coach" my customers and clients throughout the process though. Perhaps you should investigate her a little further before putting her to the side. She is a key ingredient to getting this home for you and your family.
0 votes Thank Flag Link Sun Mar 22, 2009
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