Skip to main content

Dual agency mess

We are selling our home in a Northeast state that allows dual agency. Our market is still pretty strong for sellers. However, we have a house that's near the top of the market in our suburban town, so we envisioned it being harder to sell than an entry level home.

We listed the home 3 weeks ago with one of the most productive brokers in town. One of the reasons we picked this realtor is that she claimed to have a very strong network of buyers.

On day 6, we received an offer for 13% less than list price, from a buyer our realtor represented (dual agency). On the one hand, we were grateful that the realtor had produced this buyer from her network. Our realtor claimed this buyer was not even in the market for a new home, and that they were someone in her network that she'd proactively reached out to as she thought our home would be a good fit for them. The offer is 13% lower than list price and has mortgage, appraisal, and inspection contingencies (these are often waived in our market). We were happy to have an offer, but still hoping for something closer to list price and perhaps without all 3 of those contingencies. We countered the buyer, and they refused to budge on any part of their offer.

Here's the problem now. While we felt our realtor made a huge push the first week to market our home, once we had this offer from someone she could potentially collect a commission on, it feels like she's stopped putting in as much effort. She now stands to make 4% total commission on this transaction (instead of 2% as just the sellers agent), so why would she try to drive increased traffic and more potential offers to our home when she might lose the 2% buyers agent commission?

It's of course hard to exactly say if her effort has actually decreased or if this is natural as the home has now been on the market for longer.

We're currently at week 3 on the market, and have little activity on our house. Our agent has said we can stay the course and keep marketing the house, and consider that first offer we got as a backup, but we feel like not much is happening (we have no future showings scheduled, and had only 2 this past week - as compared to multiple showings every single day until we got this first offer on day 6).

We're not sure what to do. We would really like an offer closer to list price if at all possible, but we're fearful that our realtor is either actively driving competition away from the home or just doing nothing to market the home to ensure the offer she brought us as a buyers agent is our only choice.

submitted by /u/0beach0
[link] [comments]

source https://www.reddit.com/r/RealEstate/comments/1kvpbwe/dual_agency_mess/

Comments

Popular posts from this blog

Aren't comps/CMAs useless with buyer credits at close happening now?

I'm looking into buying a new construction townhouse in my HCOL US city. I'm seeing builders offering interest rate buydowns worth $20k-$60k on $800k homes (rather than just lowering prices) in order to keep their comps high for their other units, now that buyer demand has been declining. I asked my agent about these, and he said these buydowns aren't even the full story: buyers can write all kinds of other credits into an offer, like their closing costs, prepaid sewer fees, etc. Apparently cash buyers can just write in a "buyer credit at close" for any amount in their offer. So a new townhouse that appeared to sell for $800k in the MLS might have actually been a cash offer with a $100k+ buyer credit at close, meaning the buyer only spent $700k or less in total, but to the rest of the world they can only see the $800k! So that made me realize I can't trust comps/CMAs for other new construction townhouses. The sales prices could be way lower than they appear...

Obtaining a real estate license as a hobby?

Hello, I am 24 years old - 2 years out of college and I have my main job. I was looking to get a real estate license (in California if location matters) as a hobby/for fun since I like real estate ever since I was in high school. In the past 2 years, I would go to open house in the weekends to look at homes for fun. I don’t plan to practice real estate full time as I have my main job but I am curious are there any benefits to this? In the future, I plan to own multiple properties and have rentals, so I was wondering if getting a real estate license can help me with it? Thanks submitted by /u/AlohVera [link] [comments] source https://www.reddit.com/r/RealEstate/comments/1f0qx9i/obtaining_a_real_estate_license_as_a_hobby/

Advice? Moved out of my primary residence and now renting

I moved out of the house I own in August 2021, I lived there for 8 years, I have been renting an apartment the past 3 years and renting out my house. My current tenant is moving out in September. I seem to have just missed the living 2 years out of 5 years rule for being exempt from capital gains tax and my house being a primary home. Any advice on what the best thing to do would be moving forward? Continue to rent out my house? I'm happy with my rental, but wouldn't mind buying another property down the road. I could sell my house down the road and try to do a 1031 exchange? Moving back in my house isn't ideal because it's an hour away from where I currently live. I could take a HELOC perhaps and try to buy another property and continue renting for the long term? I do have a 2.4% mortgage rate on the house so I don't mind keeping it for a while. Thanks for everyone's advice. submitted by /u/Ok-Top-7859 [link] [comments] source https://www.reddit.co...