I got a lead from my site of a buyer who wanted to buy a victorian home. He seemed real serious. came down from out of town and looked at the only one I could find for him. I found it for him on the MLS and I also was there when he came to see the property.

The next day I get a call from hims aying he hasn't made a firm decision yet. Then commented because we both live so far away he'd "probably just use someone from his family that's in real estate". I think he was implying hed have someone else write the offer when they write it.

QUestion: I'm pretty sure I'm legally entitled to the buyer's commission even if i dont write the offer. But how do I find out if he wrote an offer and who escrow was etc so I can stake my claim?

Furthermore, does this happen a lot with internet leads? I'll be honest this pissed me off quite a bit. How do you guys secure buyers off your sites?

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Dana Point Real Estate - Laguna Niguel Real Estate - San Clemente Real Estate

You'll have to wait for the deal to close, at which time the ownership of the property becomes public record. I would contact the listing agent and explain whats happened, and ask them to let you kow if that buyer makes an offer.

From my experience, buyers show very little loyalty to Realtors in general, so I suggest you start using a buyers agreement before you go out spending your valuable time and gas money on clients that may or may not earn you a commission.

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beachgal
Realtor and wannabe webmistress.

Pensacola Real Estate
Florida Pre-Construction Condos

In my opinion, without a signed buyer's representation agreement, you're supporting case is difficult. When a buyer signs a relationship agreement, they are providing a commitment to work with you and at least the form we use in Minnesota states that the agent may seek compensation for the listing broker and/or the buyer if the contract is violated.

As for seeking more information, I would say that first you should try to work with the buyer to still write the offer for them. That's certainly the best way to get paid. Otherwise, talk to your broker about it, or call the listing broker. If you are still not satisfied, your local Board for Realtors should have an arbitration process for you to seek remedy.

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Aaron

Minneapolis Real Estate | Twin Cities Real Estate | Edina Realty Agent

In your opinion what's the situation that you close the easiest? Is it relocation business?

Also, I'm not an experienced agent. Do you think it would be wise for me to bring on a buyer's agent and give the leads to her? How do you think i would go about finding someone like that?

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Dana Point Real Estate - Laguna Niguel Real Estate - San Clemente Real Estate

Hmmm. I think every buyer pool has some problems. Personally I believe that the move-up buyers with professional careers are easier because they don't have time to dink around and want to know someone will take good care of them. Your mileage may vary.

If you are not an experienced agent, why would you be willing to share your commission with anyone? Unless you have more business than you can handle, I would really focus on the customer retention and service.

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Aaron

Minneapolis Real Estate | Twin Cities Real Estate | Edina Realty Agent

I would really ask brokers or agents in your area whether or not they use EBA's - if it is something that is standard in the market then you might want to implement, however given the little I know about your market, I doubt many buyers would be inclined to sign one, when there is such a high volume of agents looking for buyers to service

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Want to save up to 50% off Real estate webmasters product websites & common upgrades? Check out my latest blog post regarding our end of the year sale.

Hey Tim,

Man-o-Man, questions questions questions?

Actually, I had this happen to me last year and I just deposited my Arbitration Hearing award check in September. The whole process was a real pain, but perserverance and standing on "principles" you know to be right usually win out. Here's how I did it and what I learned from the experience.

First, when you showed the property to this guy, did you have to either set an appointment with the listing agent or contact the listing company to let them know you were showing it (i.e. by using a lock box)? Listing offices' have records usually for showing appointments and the newer lock boxes may even record your entry. Did you have to give him any type of representation disclosures during any of this process? If so, do you have copies of those?

Also, was there anyone else there when you showed him the property? A Seller, a Seller's Agent, his assistant, etc.,?

By "far away", I will also assume you mean you reside/work where the property is, the buyer resides elsewhere. Where does he live and where, may I ask, does his relative (the one who is an agent), work/reside? Are they (the relative) licensed in California?

In any case, call the listing broker's office and let them and the Seller's agent know that you showed the property to Mr. Out of Town Buyer for Victorian Home, and that you want to give them notice of all of the NAMES of the parties involved. You do NOT have to give them any details of your claim at this time, just that you showed the property, ignited an interest in the Buyer to purchase, and that he did not represent that there was a "family" member that would be making the offer and therefore, be paid for the selling side of the commission. I would put this in writing and fax it to the Seller's Agent, keeping a receipt for my records.

Next, if you cannot convince the Buyer that the best representation will be local representation, you may want to, very politely and nicely if there is no hope of him submitting the offer through you, let him know the same information that you are telling the Seller's broker and agent.

Finally, call your board and get their information and procedures for filing for mediation and arbitration. My board was extremely helpful in making sure I knew what I had to do.

Now, you sit and wait. You can't do anything until he buys the property through someone else and specifically not until it closes. Doing anything prior to closing could be seen as contract interference. Follow the property in the MLS. If the listing broker won't help you, then you'll have to check the public records like Beachgal said. Once its closed, then file for relief through the board. I had 180 days after closing to file here in Florida. Check what the rules are for California.

I know there has been a lot written lately about all the requirements for procuring cause by NAR, etc., but finding and showing the client the property still is the most important factor whether you have a agreement or not. Its called igniting interest and is especially important if he writes a contract in the very near future.

Another key to this is the uninterrupted chain of events. I know NAR lists something like 20 things you must do to show "Procuring Cause". But what most people miss is the term "uninterrrupted". How can you do # 10 on the list if after you find and show the client the property, they get another agent to write the offer? For any agent, out of town or not, to knowingly interrupt your chain of events by writing an offer on a property they did not find for the client (especially one they are related to), when they know the property was found by another agent, just won't hold up because it's not rational. Believe me, most arbitration panel members do things rationally.

While a buyer's agreement is great, few people will sign one. That's because most of them state the buyer will pay the commision if the seller's agent refuses and that they are tied to you for some specific period of time. It's a whole lot simpler to get a showing agreement for each property you show to someone. Very, very few buyers will decline to sign this agreement if it only says TWO important things: 1) that so long as the Buyer purchases A Victorian Home through ABC Realty (you), they (the Buyer) will not have to pay a commission, the Seller shall; and 2) it's only good for the property that you are currently showing them. Getting it signed covers you no matter who they buy through. And, if they won't sign something that fair, then don't show them the property.

As for getting leads and then giving them away because you're inexperienced, I say that would be silly. Use your broker's training program and ask for their personal help, or seek out, a fellow agent who could act as your mentor for awhile. Offer them a small referral fee for their help if you must but don't ever just give away business because you're not as knowledgable as you'd like to be. Go out and learn, read etc. There is information available everywhere.

I'm sure I sound a like I'm preaching and am by no means a real estate attorney. My advice is based on my own experience and the things I learned during the process I went through.

Hope it helps!

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Benjamin Dona, Broker/Owner
Gulf Coast Associates, Realtors
Metro Mortgage Company
Bonita Springs Real Estate | Florida Home Loans | Naples Real Estate

Can you explain to me what type of business you close from your website and how you close it? Do you meet with a lot of buyers at property who won't buy? How much business do you generate just from your website?

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Dana Point Real Estate - Laguna Niguel Real Estate - San Clemente Real Estate

Benjamin's advice sounds terrific. Buyer's agreements are not used by any agent I know in my area (I'm sure a few do, but as I stated, none that I know, & I personally know quite a few).

The first thing I would have done when the buyer told me about his relative writing the offer was that isn't how it's done and I would explain that because I showed the property that I am the agent that would have to write the contract if he's interested in purchasing that home. I'd then go on to explain, as nicely as possible, that if he did use another agent that I'd be filing a complaint and his relative should know that this would be the case since I was the "procuring cause."

If he acts like you're just being money hungry or something I'd again explain my job to him as nicely as possible. I'd also remind him that this is my career & this is how I earn my living. It would be the same as his boss wanting him to work without paying him.

I've had to nicely explain something similar to sellers years ago when I sold my own listing in a few days & they wanted me to reduce my commission because of it. I told them it would be like their boss taking money out of their paychecks because they did such a quick & efficient job. They never said another thing.

And I would definitely contact the listing agent & I would explain the situation. Most agents would be understanding and although no one wants trouble when getting their listing sold, they hopefully at least would work with you and let you know if this guy purchases the property. Be sure to document everything, including when you contacted the listing agent (follow up with a letter or fax to the listing agent). You could explain the timeline and everything in that one letter & then keep up with any further documentation after that.

Best of luck!

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Southwest Chicago Suburbs Real Estate is an affordable area with close access to downtown Chicago. Money Magazine says that Orland Park real estate is one of the best places to live in the U.S. Next door you can find Tinley Park homes for sale and get Orland Park amenities at a more affordable price.

You think I well placed real estate site can generate enough buyer leads to keep 2-3 agents busy?

I really want to move away from showing property myself and find people that can help me leverage.

Where would I find a hungry realtor that would work my leads?

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Dana Point Real Estate - Laguna Niguel Real Estate - San Clemente Real Estate