We offered full price on a home. The agent counter-ed w/ a price 15K more. We didn't buy, but the home is still at original amount on MLS.

Asked by Missyrf, Mattapoisett, MA Sat Jan 28, 2012

Ethical? It seems wrong that a realtor continue listing a home for 250K when they have no intention of taking 250K. When our realtor said so if my buyer offered 265K that would be accepted, the other realtor said it was possible but still might not be enough. YET the house is still on MLS for 250K.

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17
Jim McCowan, Agent, Arlington, VA
Sun Jan 29, 2012
The blame MAY not be with the realtor. As the listing agent, we have to follow the wishes of the seller(s) no matter how crazy they may be.
Web Reference:  http://www.JimMcCowan.com
1 vote
Amy Mullen, Agent, Shrewsbury, MA
Sat Jan 28, 2012
Missyrf,

Is it a short sale?

Amy
1 vote
stephen webb…, Agent, Kirkland, WA
Thu Jun 6, 2013
Sellers have that right and sometimes in hot markets things get a little goofy.
Learn your market, at least driving buy every property for sale in the area and price range you have selected. In the process you may discover a better buy or will confirm the value of the one you are working on now.
Its very important in todays market to know value in your market. Its too easy to make a mistake amongst all of the action and hustle.
You will find a series of articles on the step by step process of identifying the best buys at Your Road Home. And if you are a first time home buyer be sure to read article #9 on the MCC Tax Credit for first time home buyers. Best tax credit yet.
Best of Luck, Stephen Webber, Retired after 34 Years of Real Estate,
Web Reference:  http://Your-Road-Home.com
0 votes
Louis Wolfs…, Agent, Needham, MA
Tue Jan 31, 2012
if you are interested in it, buy it, put your energy towards that, unfortunately short sales are fustrating and take time. There is a huge 2nd on the property. I spoke with the agent and have more details on it. it seems as though if you want it, you can at least get into the process, understanding that with short sales nothing is certain.
0 votes
Territory.c…, Agent, MA,
Tue Jan 31, 2012
Realtors do this all the time, one of the reasons they like short sales. They can advertise them for crazy prices and therefore get a lot of new buyer leads. Sorry to say it, but its the truth. The good old bait and switch tactic. We see it happen ALL the time.

I agree, it does seem in essence to be false advertising and you would think the mls would (want to) regulate that by requiring real estate agents to only post list prices approved by the bank. It is my understanding those kinds of regulations are not in place but if another agent on here knows differently please post. Very curious. Point is, because it is unregulated agents do use them as lead generators.

That said, buyers trying to purchase short sales should educate themselves about the process before jumping in and realize that there is absolutely nothing guaranteed. It is one of the reasons we highly advise our clients to avoid them altogether unless they are seasoned investors.

Good luck!
http://territory.com/buy_and_save
Web Reference:  http://territory.com/
0 votes
Missyrf, Home Buyer, Mattapoisett, MA
Tue Jan 31, 2012
Actually we did see all this information and even signed some extra forms with the offer. But you will also note this first line of their own paper work: "1. The listing price is very close to what the seller expects to pay the bank for the property. Therefore, to be considered by the seller, offers should be close to the asking price." Case and point. We did that and then got told NO... yet the MLS still -as of today- says 250,000.
So we are going to follow up with the MLS board. We were very interested in this house- so it's a shame really.
0 votes
Louis Wolfs…, Agent, Needham, MA
Sun Jan 29, 2012
Did your agent provide you the information below?

"Sale is subject to seller taking title and requires 3rd party approval. See addendum for all offers."

Addendum for an Offer on this Listing
PETINENT INFORMATION for making an offer on Homeowner Solutions Network Short Sale Listings:
1. The listing price is very close to what the seller expects to pay the bank for the property. Therefore, to be considered by the seller, offers should be close to the asking price.
2. The property’s condition is reflected in the listing price. The seller will send a copy of its property inspection report to a serious potential buyer. The property will be sold “AS IS.”
3. The sale is subject to approval of the seller’s short sale purchase of the property by the current lender.
4. The sale is subject to the seller taking title to the property.
5. All buyers whose offers are accepted must get pre-approved for a loan by a mortgage broker approved by the seller before a P&S will be signed. Here are the Reps details:
6. A P&S with a minimum deposit of 3.5% for FHA loans and 5% for all other purchases MUST be signed by the prospective buyer within 3 days of verbal acceptance of an offer.
Buyers Signature:
0 votes
Amy Mullen, Agent, Shrewsbury, MA
Sun Jan 29, 2012
Missyrf,

Got it - was curious as to the details listed in MLS.

Short sales can be difficult. I do agree that if the bank has indicated otherwise that the listing price should be changed. As a short sale listing agent - I would take the best offer to the bank and at least try for the benefit of my sellers.

That being said - there very well may be details that we are unaware of and as mentioned in an earlier post - sometimes we are at the mercy of our seller's decisions. The attachments to the listing indicate that this is listed as a short sale because the seller is very "close" to a short sale but not necessarily in need of doing a short sale.

I would be happy to get more details on this if you would like - it seems as if you are very interested in this house!

Amy
0 votes
Missyrf, Home Buyer, Mattapoisett, MA
Sun Jan 29, 2012
To Amy Mullen:
The MLS # is "MLS # 71311715" I understand the issues surrounding short sales and have done extensive research, but once the realtor advertising the property has taken offers to the bank and found out that the price they listed it at will not be accepted, how is it right to keep it on MLS at the unacceptable price? We were prepared to go to 265K but the listing realtor said even that might not be enough -- and yet the MLS still shows it at 250K? If he is working in best interest of his seller and knows that 250Kor even 265K won't be accepted how is it fair to the seller or the potential buyer to list continue to list it that way?
0 votes
Bo Bragg, Agent, Kilmarnock, VA
Sun Jan 29, 2012
Ask for a signed counter offer. Ask for an explanation. In most cases, your agent would be deserving of a commission for bringing a full price offer in accordance with their listing agreement. You could also ask your agent to bring the matter before their local MLS Board for an inquiry. Good luck.
0 votes
Louis Wolfs…, Agent, Needham, MA
Sun Jan 29, 2012
Your agent should ask the selling agent to provide you a signed counter offer.

But based on that she said it may be accepted, it sounds as though it is a short sale. There is no law that I am aware of that a seller has to sell a property at the asking price or above the asking price.

Typical language in a listing agreement should be that a fee is owed, if I bring a ready, willing and able buyer at the price (but that is rarely ever enforced) Also it would have to be a cash offer, at the asking price, with no contingency's, that may help the agent but would still not help you get the property though.

You may also want to contact the State Board and the MLS as the practice is unethical, unless there is language in the listing sheet indicating that it is a short sale and if it is and your offer was not accepted the listing price should be changed to reflect what would be.


Your offer would of been accepted in Denmark as they are very straight forward in their dealings.
0 votes
Amy Mullen, Agent, Shrewsbury, MA
Sun Jan 29, 2012
Missyrf,

What is the address or MLS number of the property?

Amy
0 votes
Missyrf, Home Buyer, Mattapoisett, MA
Sat Jan 28, 2012
Going to Louis Wolfson...

It is likely that we would have offered the 265K if that was the asking price. That is, however, hardly the point. After the full price offer of 250K, the realtor came back with the suggestion that we offer 265K because the 250K was not enough. The realtor also said that the 265K "may be accepted". The realtor is essentially making the asking price a moving target. Is this ethical or legal in Massachusetts. Again, the "official" listing on MLS is still 250K even though an offer for that amount was rejected. Our representing agent is telling us to run as she smells something fishy in Denmark. We are taking her advice but are still curious as to whether or not this looks like a scam to others.
0 votes
Louis Wolfs…, Agent, Needham, MA
Sat Jan 28, 2012
If the asking price had been 265 would you have offered the asking price? Either it is the right home or the wrong home for you and 15k should not be the deciding factor, unless you have found a better home at a better price or can't afford the 265
0 votes
Dan Tabit, Agent, Issaquah, WA
Sat Jan 28, 2012
Missyrf,
If I were your agent, I'd send them a request for my commission or to complete the deal. It seems unethical to turn down full price unless multiple higher offers come in immediately.
0 votes
Margaret Has…, Agent, Tampa, FL
Sat Jan 28, 2012
If the house is a short sale or a bank-owned property, it is probably a "suggested starting price". Perhaps they had received a higher offer, but something went wrong. Sometimes it helps to re-submit your offer every 3 weeks until you get a satisfactory answer.
Web Reference:  http://tampahouse1.com
0 votes
Judy Boyle, Agent, Marlborough, MA
Sat Jan 28, 2012
Sounds fishy to me. What does your agent recommend?
Web Reference:  http://www.Judy
0 votes
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