Posted by Ray (NJ) on January 19, 2000 at 09:30:09:
It’s been a few years since I’ve been a licensed agent (have since wised up), so I might be incorrect. There certainly are better informed people on this site. But, here’s my .02…
I believe if he is a Realtor Associate (doesn’t own the office), he must receive a commission through his broker. I don’t believe you, as a buyer, are liable in any way, but I might be wrong. I believe it is the agent’s problem. If he is an actual Realtor (Broker), this should not pose a problem. However if he were to SELL one of the properties you own to a third party, there are a LOT of legal issues. In a nutshell, anyone not licensed to sell through a broker who is not the principal of that property can do nothing more than let people through the property. They cannot discuss price, terms, condition, the weather, politics, religion, Aunt Selma’s hip operation, etc, etc.
However, it seems that this guy is an investor, like yourself, who just happens to have a license. He’s taking a shortcut for simultaneous closing. He finds the property, and instead of going through the aggrivation of optioning the property, or even buying and flipping to you, he wants a “finders fee”.
Again, you’d better wait to hear from more informed sources than me, but it doesn’t seem like you have to worry at all. I offer “finders fees” to people all the time (a few hundred bucks) if it results in my aquiring a location.