Posted by JPiper on January 18, 2000 at 16:10:07:
Good point Dave…I overlooked the “Letter of Intent” bit. Even with two signatures on a letter of intent it probably will not be binding if it is a true letter of intent. Whether an agent is held to the same standards with a letter of intent legally is an interesting question.
JPiper
Agent had friend buy apt building I found using my offer & terms. - Posted by John
Posted by John on January 17, 2000 at 11:44:53:
Hi,Everybody What would you do and has something like this happened to you.
I found an Apt. Building 18 units using Sheets method I sent a letter of intent to the Agent. Asking $720,000.I figured out it has 2 vacant, cash flow 15,000 a year profit, I was offering $669000. using Sheets cash flow analysis. I offered to put $15000 cash down and have the seller carry the balance, the agent said seller was interesed but wanted $50,000 down or he would not deal, which I was not able to do.
I found out the seller was interested in my offer but the agent told me he was not, the agents friend bought the building with the terms I offered.
The owner just wanted a cash flow every month while
he traveled, what would you have done different, I am looking to hold properties.
I would agree with the other posts… - Posted by Antonio
Posted by Antonio on January 19, 2000 at 17:33:58:
Whatever the outcome, this situation should be reported to the RE Commissioner in your state.
What is the status of a “Letter of Intent” - Posted by Dave T
Posted by Dave T on January 18, 2000 at 15:00:24:
I may be wrong, and certainly on unsure ground here, but I don’t see that a letter of intent carries the same weight as a written purchase offer.
I use a letter of intent simply as device to get negotiations started. Once I am in dialogue with the seller, I put everything in a formal written offer.
I suspect that your letter of intent has no standing in a contest with a written purchase offer.
Re: Agent had friend buy apt building I found using my offer & terms. - Posted by Ray (NJ)
Posted by Ray (NJ) on January 18, 2000 at 12:30:17:
Agreed.
Local Boards are nothing more than local realtors. You don’t think they’re going to come down on one of their own, do you? Even if they do, they’ll only get a slap on the wrist. The VERY most that will happen is POSSIBLY losing his license (if he has a record of doing things like this in the past). And that does YOU no good.
Get a lawyer. Realtors pay insurance for a reason. Make them use it.
P.S. For the record, I’m the LAST guy who believes in “suing”. In addition, I’m not particularily fond of lawyers. But, you got screwed and you deserve what you earned.
Re: Agent had friend - Posted by JPiper
Posted by JPiper on January 17, 2000 at 22:05:23:
I would make a written complaint to the State Department of Real Estate?or it may be called the State Real Estate Commission?..only if you know for a fact that this took place. Make sure you make your complaint in writing?.the state will investigate all complaints made in writing.
It will do you little to no good to speak with the Board of Realtors.
JPiper
Re: Agent had friend buy apt building I found using my offer & terms. - Posted by Billm
Posted by Billm on January 17, 2000 at 17:14:32:
If the facts are accurate, forget the board. Go to the State dept of licensing and have THEM do the due diligence. State licensing depts love to scarf down any licensee who is acting against the public’s best interest. A local realtors board is a little less…“gung ho”.
As always, it’s important to keep sorting out the bad apples so they don’t spoil the hard earned goodwill of those who are honest and ethical.
Re: Agent had friend buy apt building I found using my offer & terms. - Posted by Glenn OH
Posted by Glenn OH on January 17, 2000 at 13:52:03:
I agree. I tried the RE Board once, and the director wouldn’t even admit that a realtor placing a sign on the property of a dead man, and showing the property when he knew the title could not be cleared without Sheriff’s sale, was not violating state law.
Go straight to the state, a lawyer - sue for the real estate company (this was a major breach of fiduciary responsibilities), and push for a nice settlement. We don’t need this kind of crap from the RE so-called professionals.
Been there - Posted by PBoone
Posted by PBoone on January 17, 2000 at 13:19:32:
Hi,
I had a similar situation happen except the Agent himself got the deal. I turned him into the RE Board with no avail. The lesson
Make offers in person!
Pat
Re:friendly Agent and friend use my offer & terms. - Posted by domineaux
Posted by domineaux on January 17, 2000 at 11:59:32:
First, did you make a written offer?
Second, do you have any documentation?
Three, if you have a yes on both, contact your state board of real estate. ASAP