client obligation

[radiognome]

Say one signs a 60 day contract with a realty agent where the agent will exclusively represent them as a buyers agent, does that agreement require the buyer to use the agent for any and every real estate purchase, including situations where seller specifically excludes use of a real estate agent? Or are you only obligated to use that real estate agent in a situation where real estate agent are utilized. I've agreed and signed to an agent prior to finding a few reallly good deals on homes but the stipulation....no agents allowed. Can I pursue these homes without the agent or am I obligated to let him represent me?

[zatanaz]

The 60 day contract you signed should have a cancellation clause.

I do FSBO's and some of my buyers have cancelled their contracts before.
I always tell them that they are more than welcomed to bring their agent, but if I have to pay their comission than I can not negotiate the price or contribute for their closing.
100% of time they opt to cancell the contract with their agent.

Note: Just make sure your agent did not show you the property you are interested in. It is my understanding (but I'm not a realtor) that if the agent takes you to tour a property and if you end up buying that same property within 60 or 90 days, then they are entitled to their comission.

But I have a question to all you realtors out there, if the seller specifically says they won't pay agent's comission, who pays you then????
Are you gonna charge the buyer???
Or you just won't get paid???

If that's the case, why is it important to cancel the representation contract??
Also, how can you force a seller to pay comission???
Just a thought.

[FortHoodRealEstate]

LOL Would you work without getting paid? These buyer agreements vary from state to state and company to company. It is a binding agreement, and it may state that if the buyer purchases a property without the agent, within the agreed on market area, the buyer does owe the agent a commission. You might want to take your buyer agreement to an attorney for interpretation before exposing yourself to possible liability for a commission.

[HomeSurfer]

...if the seller specifically says they won't pay agent's comission, who pays you then???? Are you gonna charge the buyer??? Or you just won't get paid??? If that's the case, why is it important to cancel the representation contract?? Also, how can you force a seller to pay comission??? Just a thought.
If the commission is in the offer, the seller is always free to reject the offer or make a counteroffer -- whether they are a FSBO or represented by an agent. Then the seller just doesn't sell the house to that buyer and waits for his/her own personal advertising to bring in someone else.

However, if I was an agent -- I wouldn't show a FSBO without some reasonable expectation of getting paid. So I would get permission from the seller for a one-time show or something similar -- or just not bother stopping by with my client/buyer.

Anyway, that way the agent is protected and the seller is still free to reject a bad offer or one that does not net what is required.

[zatanaz]

LOL Would you work without getting paid?

I definitely would like to get paid for my work, otherwise I wouldn’t do it.
But if you did not show the property to your client, did not submit an offer on his/hers behalf, did not write up a contract and will not represent them throughout the transaction… what is it that you need to be compensated for????