RE Agent question. - Posted by yshNJ

Posted by Ed Copp on July 25, 2003 at 16:19:29:

are written in such a way that a commission is due to the brokerage when a buyer comes from any source. There is also a time period after the listing expires, that the seller is obligated for a commission for buyers produced by the agent originally.

There can be all sort of variations written into the contract. Be aware that you are not entitled to see this listing contract. The seller can show it to you if he desires, but he does not have to do so. Also consider that unless you are a lawyer, you are not well equipped to comment on the listing contract. In other words any advice that you offer would look like the practice of law.

Generally speaking, if the house is listed then the commission needs to pe looked at as part of the transaction.

RE Agent question. - Posted by yshNJ

Posted by yshNJ on July 25, 2003 at 12:08:33:

Hey everyone,

I’ve got a question here. I recieved a call from a fellow who wanted to sell his house to me…he’s motivated and what not. Problem is that he is in a listing agreement with an agent. Now…let’s get this out of the way to avoid any misunderstanding. I have NO intention of shortchanging or going around the agent under the assumption that he is entitled to his commission. No problem. But…I’ve heard that the agent is contractually entitled to his commission assuming the buyer became aware of the house for sale as a result of the agent’s work. The seller called me directly, I had no knowledge of the agent…and therefore if I were to purchase the property is the agent legally and/or ethically entitled to a commission? I’m sure the listing agreement will spell out the details but I have not yet laid eyes on it. Thanks to any who answer this for me.

Good luck.

Re: RE Agent question. - Posted by Arthur

Posted by Arthur on July 25, 2003 at 22:09:46:

If it looks like you have to pay him, why not have the seller have a little chat with the agent, something along the lines of, “Hey, i found a buyer for the property, a friend of the family. I know i hired you to sell it and that you have put alot of work into it, and i don’t want do you out of your commission, so how about i pay you 1/2 the commission you would have earned had you found me a buyer and we can wrap this deal up now”.

Worth a try!

Re: RE Agent question. - Posted by Martin-Lo

Posted by Martin-Lo on July 25, 2003 at 21:21:24:

Here is an idea, (not to be taken as legal advice)when a brokerage company gets a listing, that brokerage company is entitled to a commission regardless of how the sale of the home is completed. In the listing agreement there is a clause that says that the brokerage company may claim their commission even if the seller sales the property during X days after listing time expires, provided that the brokerage company can probe that the buyer was found as a result from their prior efforts to have it sold.
If you know the seller, as you said you do, what you can do is ask your friend (who is the seller) to talk to their agent and ask him/her that if he(the seller) brings the buyer to the property can get a commission discount. This may or may not work, depends on the agent, but they may agree to charge half of the commission, depending on the sales price.

Good luck.