So, are some of you out there wondering if the Realtor that you recently hired knows what they are doing?
Have you fired your Realtor?
Did you do everything that you needed to do to fire that agent?
I just encountered this situation – someone called me and stated that they want to work with me because their Realtor did not “know Intown Atlanta.” This is the third time that this has happened this year, so I’m starting to feel like a specialist! Here’s what I just wrote in an email to a potential new client:
In order to help you move things along and to help you be as forthright as is needed with the termination of your previous Buyer Brokerage Agreement, I want to copy and paste an important part of the agreement that you sign when you “hire a real estate agent in Georgia.”
Unless you agree to some other form of paying an agent, it is customary that the “Buyer’s agent” is paid from seller funds at closing and that the seller and/or “listing broker” advertise the commission amount – 3.0% of the sales price is quite common.
That being said, the commission agreement has a “protected period” of an agreed upon amount of days. Read this:
Protected Period and Commission.
In the event that during the Protected Period, as that term is defined below, following termination or expiration of this Brokerage Agreement, Buyer purchases, contracts to purchase or exchange, leases or lease purchases any property which during the term of this Agreement was submitted to, identified or shown to Buyer by Broker or for which Broker provided information about to Buyer, then Buyer shall pay Broker at closing or the commencement of any lease, if applicable, the commission or commissions set forth above. The term “Protected Period” shall refer to the ____________ day period following the earlier of either: (a) the expiration of this Agreement; or (b) the date that the Agreement is terminated upon the mutual, written consent of the Broker and Buyer. In addition, if this Agreement is terminated by Buyer without the express, written consent of Broker, the Protected Period shall be the time period referenced above plus the number of days remaining on the term of the Agreement at the time it was terminated early without the express written consent of Broker. In such event, the Protected Period shall commence from the date this Agreement was terminated early without the express, written consent of Broker. For the purposes of this Agreement, the term “Buyer” shall include Buyer, all members of the Buyer’s immediate family, any legal entity in which Buyer or any member of Buyer’s immediate family owns or controls, directly or indirectly, more than 10% of the shares or interests therein, and any third party who is acting under the direction or control of any of the above parties. The commission rights and obligations set forth herein shall survive the termination or expiration of this Agreement.
Alright? Heavy stuff. Very controlling. Regardless, most of the time, there are no disputes…
In my experience, this means that my team and I will not be able to help you buy property that you have already seen with the other agent.
Therefore, the best way to move on is with a written termination notice, dated and signed as of today or whenever. From there, faxing that notice and getting a confirmation is the best way to manage the slight contingency that this may cause with your next “agency relationship.”
I hope that this helps someone else out there in Internet land, and please know that I am happy to speak with you about your particular situation. Call me and we’ll get you back on track!