Realty contract question

[Soxy]

So I am selling my house (worst possible timing). I've had it listed for about three months and I have a six month contract. My realtor has not shown the house in over a month (the house next door is also for sale and has been showing about 3 times a week our houses are very similar in price and size). She says the reason that she hasn't shown the house is because other realtor's aren't calling her. She says that the listing is online, but that no one is contacting her. She did have one potential showing last week because there were people viewing the house next door--but that didn't happen because of short notice.

 

Also, of the 7 or so showings I have had she has only done 1 showing. All of the others have been from other realtors.

 

My question is this: Can I get out of the contract? I've aired my frustrations with her about how little my house is showing and she knows that I need to sell it as quickly as possible. I'm concerned that her main thoughts on showing my house is that other people need to call her.

 

So if there are any realtors or lawyers on board I'd love some input.

[Texsox]

It is not unusual for your Realtor to have far fewer showings than all the others combined. It is also rare for your Realtor to actually sell your house. Where your Realtor will earn their pay is helping to establish an asking price, evaluating offers, negotiating on your behalf with the other Realtor, at closing, etc. When you bought the house, was the buyer and seller agent the same? Many buyers are suspicious when the agent only takes them to that agent's listings.

 

The other misconception is an Open House is designed to sell your house. It is more a chance to gather in buyers and perhaps sell them that house, but more often it is to sell other homes in their inventory. Sometimes a house is shown to set up a sale at another house. Your neighbor may be getting more showings, but that may be to set up a different sale.

 

Bottom line, buyers are working with dozens and dozens of agents in your area. They tell the agent what they are looking for and the agents try and find a home that the buyer will buy. They want to do that quickly and efficiently. Find out why those agents prefer trying to sell your neighbor's house.

[Soxy]

It was different agents (seller and buyer agents) when I bought it. But I bought with the person I am currently listing with. The problem is that she isn't showing it--and talking to other realtors there were some problems with the way she has handled this from the start.

 

So she gives me the contract, tells me I need to sign it BEFORE we settle on a price and after I sign it we set up a price AND she tells me that she has another full time job as a paralegal (again after I sign the contract).

 

We haven't had any open houses because I still am living in the house.

 

I understand that this is a slow time, but other houses seem to be shown frequently and I will go weeks (the record was 25 days) without hearing from my realtor. She's awful at returning calls and e-mails.

 

I understand this is a slow process--my dad used to build spec houses. But the fact that she isn't showing my house is a problem.

[hogan873]

Sometimes realtors will let you out of a contract. One of the biggest concerns they have is that you will terminate the contract and then turn around and sell it on your own. Of course then there's the issue of a lawsuit. With the housing market being the way it is right now, I would imagine most realtors are not too keen on letting people out of their contracts.

[Texsox]

It was different agents (seller and buyer agents) when I bought it. But I bought with the person I am currently listing with. The problem is that she isn't showing it--and talking to other realtors there were some problems with the way she has handled this from the start.

 

So she gives me the contract, tells me I need to sign it BEFORE we settle on a price and after I sign it we set up a price AND she tells me that she has another full time job as a paralegal (again after I sign the contract).

 

We haven't had any open houses because I still am living in the house.

 

I understand that this is a slow time, but other houses seem to be shown frequently and I will go weeks (the record was 25 days) without hearing from my realtor. She's awful at returning calls and e-mails.

 

I understand this is a slow process--my dad used to build spec houses. But the fact that she isn't showing my house is a problem.

 

Now we have something. In kind of reverse order. Usually she would not show it if other Realtors call, at least not whenever I have sold homes. The potential buyer and their agent would arrive. Do you have a lock box or are you requiring your agent to open the home? Again, with at least dozens, perhaps hundreds of other agents in the market, you should be seeing about the same as your neighbors. Your agent, with a full time job, probably does not have that many buyers they are working with. And again, the person that will buy your house, will be much like you, they will have a different agent. When you bought, what did the seller's agent do? That would probably foreshadow what the local norms are. If you did not see the seller's agent until the closing, if at all, that is probably what to expect from your agent.

 

Next issue, the agent not disclosing their other full time job. I believe this is how you will get out of this contract. I would check with the local Realtor board and see if this is ethical. It seems like something that should have been disclosed *before* signing.

 

Before taking that step, ask your Realtor what marketing plan she has for your property. Besides just a MLS listing, what else is she doing? She stands to make a nice check when it is sold, make her, or any agent, earn it. Will the house be in any market ad sheets? Newspaper ads? Is she making any calls to fellow Realtors she knows? Again, I would not expect her to also find your buyer for you, but she should have some marketing plan in mind for your home.

[maggliopipe]

We're going through a house purchase right now. From the buyer's agent side of things, I can say that it's not actually a contract you sign but rather an agreement that is not legally binding. We signed a one year exclusivity agreement that he would be our agent and if we chose to release him, it took a written notice. We were getting really frustrated and were about to go through with this until he found us a house at about the last minute. I'm assuming it's a similar deal you signed for your listing agent where you can get out of it with written notice... Different states, though, but perhaps still applicable.

[jasonxctf]

So I am selling my house (worst possible timing). I've had it listed for about three months and I have a six month contract. My realtor has not shown the house in over a month (the house next door is also for sale and has been showing about 3 times a week our houses are very similar in price and size). She says the reason that she hasn't shown the house is because other realtor's aren't calling her. She says that the listing is online, but that no one is contacting her. She did have one potential showing last week because there were people viewing the house next door--but that didn't happen because of short notice.

 

Also, of the 7 or so showings I have had she has only done 1 showing. All of the others have been from other realtors.

 

My question is this: Can I get out of the contract? I've aired my frustrations with her about how little my house is showing and she knows that I need to sell it as quickly as possible. I'm concerned that her main thoughts on showing my house is that other people need to call her.

 

So if there are any realtors or lawyers on board I'd love some input.

 

 

your situation sounds somewhat similar to mine from a few years ago. We had hired an agent based upon a friend's recommendation. They totally dropped the ball. Poor showing #'s, lack of timely responses, etc. At the end we just sent them a letter (and cc'd the attorney we were planning on using for closing) requesting to be let out of the agreement. We took the house off the market for 2 months (thus the # of days listed on realtor.com, etc goes back to zero) and then hired another agent who sold the property within 2-3 months.

 

I'm always shocked by how little work some realtors tend to due. They think that responding to showing requests and listing on the "system" is all they need to do. They are order takers, not order makers. You need someone who has a network of interested parties (investors, local businesses who relocate employees, etc) to help close the sale. Don't be afraid to get creative either... offer the buyer a new flat screen TV or a trip to Hawaii. Something special to make your showing stand out from the crowd. (especially if its a townhouse)

[Soxy]

your situation sounds somewhat similar to mine from a few years ago. We had hired an agent based upon a friend's recommendation. They totally dropped the ball. Poor showing #'s, lack of timely responses, etc. At the end we just sent them a letter (and cc'd the attorney we were planning on using for closing) requesting to be let out of the agreement. We took the house off the market for 2 months (thus the # of days listed on realtor.com, etc goes back to zero) and then hired another agent who sold the property within 2-3 months.

 

I'm always shocked by how little work some realtors tend to due. They think that responding to showing requests and listing on the "system" is all they need to do. They are order takers, not order makers. You need someone who has a network of interested parties (investors, local businesses who relocate employees, etc) to help close the sale. Don't be afraid to get creative either... offer the buyer a new flat screen TV or a trip to Hawaii. Something special to make your showing stand out from the crowd. (especially if its a townhouse)

That is exactly my problem. After I sent her a long detailed e-mail she said, well it's on several websites, so I don't know what else I can do. Since no one is calling I can't do anything else. Just putting it on the internet isn't enough. And another realtor actually said she was surprised by how nice my house was because the pictures the realtor took and posted were so awful.

 

Part of the problem is that my house is not expensive--it's listed around 59K (which is probably close to the median home price in this area). So her commission won't be huge. Or that's the only thing I can think.

[Texsox]

That is exactly my problem. After I sent her a long detailed e-mail she said, well it's on several websites, so I don't know what else I can do. Since no one is calling I can't do anything else. Just putting it on the internet isn't enough. And another realtor actually said she was surprised by how nice my house was because the pictures the realtor took and posted were so awful.

 

Part of the problem is that my house is not expensive--it's listed around 59K (which is probably close to the median home price in this area). So her commission won't be huge. Or that's the only thing I can think.

 

What are other agents doing to have those homes shown and why is she not doing that? That would be a great question to ask. Walk through your experience as a buyer. What did that seller's agent do to get you to buy that house? Check out the pictures for yourself and see what you think. Retaking some pictures would seem easy enough. I would also look carefully at the description and how other similar homes are described. You may also speak with the owner of the agency and tell her of your concerns.

 

For Realtors there are two commissions, one for listing and one for selling. They would love to get both, but that seldom happens. But most agents will take someone around to all their listings first. So a buyer may ask for a west side three bedroom, but they will show you an east side four bedroom, for some made up reason. They are hoping the buyer may either fall in love with the place or create some word of mouth advertising. Since your agent is a part timer, and probably does not have many buyers, you are missing out on that dog and pony show. And traffic is a Realtor's best friend. They will drag warm bodies through just to think they are working for you. Hell, I know of one that would buy lunch if his friends would pose as potential buyers and walk through his listings.

 

The most common way for your home to sell will be some Realtor you do not know will pull up all the X bedroom homes, in Y neighborhood, for less than $60k, and will lead some buyer to your door. Your listing agent will not have done much at all. It's a terrible racket.

[CanOfCorn]

What are other agents doing to have those homes shown and why is she not doing that? That would be a great question to ask. Walk through your experience as a buyer. What did that seller's agent do to get you to buy that house? Check out the pictures for yourself and see what you think. Retaking some pictures would seem easy enough. I would also look carefully at the description and how other similar homes are described. You may also speak with the owner of the agency and tell her of your concerns.

 

For Realtors there are two commissions, one for listing and one for selling. They would love to get both, but that seldom happens. But most agents will take someone around to all their listings first. So a buyer may ask for a west side three bedroom, but they will show you an east side four bedroom, for some made up reason. They are hoping the buyer may either fall in love with the place or create some word of mouth advertising. Since your agent is a part timer, and probably does not have many buyers, you are missing out on that dog and pony show. And traffic is a Realtor's best friend. They will drag warm bodies through just to think they are working for you. Hell, I know of one that would buy lunch if his friends would pose as potential buyers and walk through his listings.

 

The most common way for your home to sell will be some Realtor you do not know will pull up all the X bedroom homes, in Y neighborhood, for less than $60k, and will lead some buyer to your door. Your listing agent will not have done much at all. It's a terrible racket.

 

We sold our home in Austin right after the bubble burst (although Austin was hanging on by a thread, home prices/sales had dropped a lot). Our realtor mapped out all of the things he was doing: listed on multiple websites, listed in the main newspaper in town, listed in the neighborhood papers, he even called his investor friends (at least that's what he told us), he passed our house along to other agents in his agency. For showings, he rarely called us, the buyer's agent called to set up the showing (there was a lockbox).

 

I think the best thing to do is contact the local Realtor board, like Tex said. They should give you some good advice...but I don't think it's a legally binding document. One thing you should do, though, to cover your ass, is to start keeping track of correspondence. Instead of calling, email or write her and keep a copy. If she/he doesn't return the correspondence, that's fine, as long as you have a record. Good luck!

[jasonxctf]

That is exactly my problem. After I sent her a long detailed e-mail she said, well it's on several websites, so I don't know what else I can do. Since no one is calling I can't do anything else. Just putting it on the internet isn't enough. And another realtor actually said she was surprised by how nice my house was because the pictures the realtor took and posted were so awful.

 

Part of the problem is that my house is not expensive--it's listed around 59K (which is probably close to the median home price in this area). So her commission won't be huge. Or that's the only thing I can think.

 

 

maybe try buyowner.com...

 

i'd personally advertise on craigslist too. Maybe re-take some of the pictures and burn them on a CD for potential buyers to take with them.

[Texsox]

My single biggest gripe is she did not disclose she was a part timer before having Soxy sign. I keep thinking about that. While I know several part time real estate professionals, I would not use one to sell my house, only to buy a house. Ask other realtors what they think about part timers, and it usually isn't nice. Listings are the plumb commission, I wonder if this listing is being ignored.

[mreye]

Just ask for a Mutual Release. If it's a potentially small commission and she's doing very little like you say, it shouldn't be a problem. I'll guarantee she doesn't genuinely believe she's doing all she can to market your house.

 

And like Tex said, open houses do very little to sell your house. Agents get more buyers than anything. We try not to do them, because they're mainly a waste of time. We'll do them upon seller request, though. In my short time in the business I've had 2 open houses and haven't had a single person come through. But, a Broker Open House would do some good to show other agents the property.

[Soxy]

Thanks for the help. I was able to get out of the contract. This past realtor I found out after talking to another local realtor also didn't tell me about a huge major ethics violation that the broker for the realty firm I had been using got busted for last year (he ultimately had to step down). So, I wonder if that was part of the reason that other realtors weren't calling.

 

The house next door was getting inspected yesterday, so I am hoping it will be off the market asap.

[Texsox]

Thanks for the help. I was able to get out of the contract. This past realtor I found out after talking to another local realtor also didn't tell me about a huge major ethics violation that the broker for the realty firm I had been using got busted for last year (he ultimately had to step down). So, I wonder if that was part of the reason that other realtors weren't calling.

 

The house next door was getting inspected yesterday, so I am hoping it will be off the market asap.

 

And now you will be very specific with the next agent about exactly what she/he will be doing to market your house. Good luck, I hope it sells quickly.

[Soxy]

And now you will be very specific with the next agent about exactly what she/he will be doing to market your house. Good luck, I hope it sells quickly.

Well, the other realtors I've talked to have been very specific also about what I need to do. One lady even went so far as to say, look that color mulch doesn't look good with your house. Try something else how about blah, blah, blah. Or how about if you organize your furniture your furniture this way for the photos. Let's take the pictures off the wall. All of these actual tangible ideas instead of nothing. Sure those ideas may come to nothing as well--but at least it's something.

[Texsox]

Well, the other realtors I've talked to have been very specific also about what I need to do. One lady even went so far as to say, look that color mulch doesn't look good with your house. Try something else how about blah, blah, blah. Or how about if you organize your furniture your furniture this way for the photos. Let's take the pictures off the wall. All of these actual tangible ideas instead of nothing. Sure those ideas may come to nothing as well--but at least it's something.

 

Actually, that those are why you pay the agent and far more important than how many times they themselves show the house. I remember when I last bought a home and how some just looked ready to be sold and others seemed like the owners really were not interested in selling. Some of the gimmicks (vanilla extract on the light bulbs, bread baking in the oven) annoyed me, but removing clutter, storing most of our clothes elsewhere, taking out extra furniture, all are excellent ideas.