Union County Homes: Who gets to write the offer?

Who gets to write the offer?

Last week we got a call from a potential buyer asking if we could show them one of our listings.  We made the appointment and showed them the property this morning.  They love the home!  After speaking with them for a few minutes, I said: "If you would like to make an offer, let me know and I'll write it up." 

One of the potential buyers responded: "We have a friend who's a realtor, so we'll write the contract with him." 

 

I explained to them that their friend would not be due a commission since they contacted the listing agent directly to show them the house.  They told me that they will contact me if they want to write the offer.  

What if you have a friend or a relative who's a realtor (let's call her Sally) and you want her to earn a commission on a property that you want to buy or rent?  The first thing you need to know is not to contact the listing agent directly. Once you do that, you give the listing agent procuring cause and the listing agent therefore earns the commission, not your friend.  Secondly, you will need to have Sally contact the listing agent to schedule an appointment where Sally will show you the property.  

This way Sally will actually earn the commission that is due.  Furthermore, if you trust Sally enough to write the offer, let her do her due diligence so that she can rightfully earn a commission.    

 

 

 

~ Wayne & Jean 

Union County, NJ - a great place to live and work!

If you're looking to buy or sell a property in Union County, call us at 908-917-4189 or email TeamZuhl@gmail.com.

 

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Comment balloon 9 commentsWayne and Jean Marie Zuhl • January 04 2016 03:53PM

Comments

Has happened to me as well.   Buyers haven't a clue how things work. Even after being informed they still pull stunts like this.

Posted by Rose Mary Justice, Synergy Realty Pros (Synergy Realty Pros) over 2 years ago

Wayne and Jean Marie, thank you for the blog post that informs buyers of the process of procuring cause.

Posted by Sybil Campbell, REALTOR® ABR, SFR, SRES Williamsburg, Virginia (Long and Foster REALTORS® 5234 Monticello Ave Williamsburg, Virginia) over 2 years ago

Hi, another year to get back in the groove of learning and sharing from great posts. Hope this becomes a prosperous 1st quarter.

Posted by Winston Heverly, GRI, ABR, SFR, CDPE, CIAS, PA (Winston Realty, Inc.) over 2 years ago

It would feel good to say that, but I don't. First of all I ask before I go "are you working with an agent or do you have an agent that will write your offer if you like the home?"  if they say yes I tell them have their agent call me for an appointment.  However, when it's my listing I would take and present the offer and pay Sally.  I owe the duty to my seller to get their home sold no matter what's best for me.  That buyer may not come back because of what you said and is that fair to your seller?

Posted by Tammy Lankford,, Broker GA Lake Sinclair/Eatonton/Milledgeville (Lane Realty Eatonton, GA Lake Sinclair, Milledgeville, 706-485-9668) over 2 years ago

Good morning Wayne and Jean Marie Zuhl. I suppose I would ask if they are represented right up front, this way any potential problem could be avoided.

Posted by Joe Petrowsky, Your Mortgage Consultant for Life (Mortgage Consultant, Right Trac Financial Group, Inc. NMLS # 2709) over 2 years ago

Wayne & Jean, this happens more than we like to know, and the "friend or relative" are not due a commission.  They should have called THEM to show the property too. 

Posted by Joan Cox, Denver Real Estate - Selling One Home at a Time (Metro Brokers - House to Home, Inc. - Denver Real Estate - 720-231-6373) over 2 years ago

If I know that is the case then I will say something like that. In fact I will offer to call their agent and set up a time for showing. I make it so easy but I will not do the work, sacrifice my personal time so all the other agetn does is write it up. 

Posted by Debbie Reynolds, Your Dedicated Clarksville TN Real Estate Agent (Platinum Properties) over 2 years ago

Wayne and Jean

From your post, you may be moving in the direction of a procuring clause issue.

Good luck and success.

Lou Ludwig

Posted by Lou Ludwig, Designations Earned CRB, CRS, CIPS, GRI, SRES, TRC (Ludwig & Associates) over 2 years ago

yes he who works is due the commission.. too often we bump into this challenge

Posted by Mark Loewenberg, KW 561-214-0370 (KW of the Palm Beaches) over 2 years ago

Participate