Realtor Agency Agreement

[cidley69]

A realtor has been helping me look for houses. I signed an agent agreement form (not sure of correct term).

I have recently found a house for sale by owner via Welist.

If I buy this house with no agents involved, do I have any obligations with my original realtor?

[eblend]

You don't really pay the realtor, so you can still use him, but he would have to nagotiate some sort of compensation with a seller I think, who would probably not be interested (hence the sale by owner).

Lots of realtors on here, someone will know for sure

[colsankey]

What does your agent agreement say?

[barmanjay]

What form is it?

There are 2.

Agency relationships acknowledgement: an acknowledgement form you sign to show you understand the few types of relationships/commitments you can have with an agent. - no not required to use the agent you ate working with.

Buyer brokerage agreement: written service agreement for you hiring an agent. Basically mirrors a listing agreement, worded towards working with a buyer instead if a seller. - yes, you will be required to remunerate the agent if you ate within the time frame of the contract.


The agent can help you on a FSBO (for sale by owner)

If you found the house in we-list, there is a good chance it is listed on the mls.

Are you not happy with your agent?



FYI : we list has a brokerage license now. They will likely try to gain your business as a buyers agent.

[cidley69]

It was the first type of form you list.

As for happy with agent...not overly. The extent of their effort is to make us an auto search (which is pretty lame, we often find listings it misses), and show us houses that we request.

I honestly feel this transaction could happen without an agent, with no appreciable loss of "agent value added" which we were not feeling anyways.

Thanks for the info!

[CapnCrunch]

Originally posted by cidley69
It was the first type of form you list.

As for happy with agent...not overly. The extent of their effort is to make us an auto search (which is pretty lame, we often find listings it misses), and show us houses that we request.

I honestly feel this transaction could happen without an agent, with no appreciable loss of "agent value added" which we were not feeling anyways.

Thanks for the info!

The agent costs you nothing, and will do all the paperwork.

[cidley69]

Hey Capn, how does that work, which agent, and why would thye work for free?

[project240]

Realtor fees come out of the seller's pocket in the form of commission.

Why in the world would you sign an agreement for someone to show you properties? I think you kind of f*cked yourself depending on what you signed.

[ExtraSlow]

Realtors don't "cost you nothing." Even if they technically get the money from the seller, that money comes from you in the end.

However, there are good agents that truly earn the money. beyond has a few of them.

[barmanjay]

Fact:

Real estate fee's form part of the proceeds of the sale.


When any house is listed through a brokerage (any brokerage including we-list), Commissions will be written into the listing agreement.

Seller has dedicated a portion already for real estate fees out of the total cost of the house.

sellers think: they are paying the fees

Buyers are the ones funding the entire transaction and have no say on any of the real estate fee's already written into the listing agreement.

interesting situation

Even if you were to go to a we-list property that has an mls listing contract; Real estate commissions will form part of the final selling price whether you use an agent or not.


Good agent vs bad agent:

More like an agent that best fits you.


Every agent has a different skill set. Some have extensive experience in construction and building techniques. Others have extensive experience on investment properties, Some geared towards pure customer service.

Some spend time researching properties in detail.

Some will take care of all logistical aspects of a home purchase, from checking the history and title, investigating all caveats and encumbrances; scheduling inspectors and conveying documents to your mortgage broker and lawyer of choice. Making sure there are no hiccups along the way.


Everyone has their own opinions of agents as well. Most will be at your beckon call till the wee hours of the night and early morning.

Not many other industries do people do this.

In the end it is purely your choice whether to use an agent or not.

FYI: Agents also carry an errors and omissions insurance that does protect the consumer if a problem should occur.
Although it is a grey area when there is no buyer brokerage agreement in place. Especially if you go directly to a seller or sellers agent (we-list included) . They have no commitment to you, only the themselves and the seller.

[ExtraSlow]

Originally posted by barmanjay
Fact: . . .
Buyers are the ones funding the entire transaction and have no say on any of the real estate fee's already written into the listing agreement.
That's what I was trying to say, but you said it better.