Having sold my property with a local estate agent I then find that the same agents solicitors are representing the buyer.What is the correct protocol concerning this as there is surely a conflict of interests?Having asked my own solicitors about this he seemed unconcerned.
The sale has subsequently fell through due to excessive demands by the buyers.
2006-11-29 19:32:17 · 19 answers · asked by Roodi 1 in Business & Finance ➔ Renting & Real Estate
My own solicitor is independent and not the estate agent one.
2006-11-29 20:55:14 · update #1
No way, never, not on your life and that is a definite NO
I would look into some legal support
2006-11-29 19:36:50 · answer #1 · answered by Anonymous · 0⤊ 0⤋
The reality is that the real estate agent that brings in the buyer is STILL an agent of the seller. Look at the money trail and you will see that real estate commissions are paid by the seller, so the legal reality is that both agents have fiduciary responsibility to the seller - no the buyer. So, if the same agent is bringing in both the seller and the buyer - negotiate lower fees, a rebate on close, etc. In a slower market, this is all VERY easy to get.
If you are really concerned, then bring in a "buyers agent" that is paid by the buyer. No fees from the sale to be paid by the seller to the buying agent. The way to get these fees is of course to ask for a rebate on the close and pay the selling agent from these. OR negotiate a lower price and pay them from your own pocket the fees.
2006-11-30 04:49:04 · answer #2 · answered by staffingpro9999 3 · 0⤊ 0⤋
No they should not,Estate Agents are just the same as Used Car Salesmen and the only thing they are interested in is making more cash for themselves,and the Purchaser is the one that suffers.
I think that Estate Agents should just be able to introduce the buyer to the vendor and let the Solicitors do all the negotiating this,will remove a lot of the bull that the agents come out with to bump up the price.
2006-11-29 19:48:32 · answer #3 · answered by mentor 5 · 0⤊ 0⤋
Its okay for an estate agent to represent buyer and seller. In fact, it is a lot easier in this situation as the estate agent can keep everything "under one roof" and not have to contact other estate agents.
In terms of solicitors, the buyer and seller cannot have the same solicitor. The Law Society has a rule which prohibits this.
2006-11-30 04:39:55 · answer #4 · answered by nemesis 5 · 0⤊ 0⤋
Many real estate agents are conmen and will resort to tactics. If in the past, you have not been getting successful purchasers, and now by hiring this agent, you have been visited by many buyers but each buyer wants to slash the price down by 30% ?
If the above has happened and you're not happy with the outcome, then back off. Hire another agent. The 'buyers' are not real buyers but a syndicate to soften the seller. By offering a property at 20% below market price, the buyer is compelled to pay huge commissions to the agent. So the agent reaps both ways.
You look like a novice in property. Hire an agency with a reputed name.
2006-11-29 21:27:59 · answer #5 · answered by catcher 3 · 0⤊ 0⤋
As long as it is disclosed that the agent is representing both sides, then I see nothing wrong with the arrangement. However, you must always regard the agent's suggestions as having the interest of the buyer at heart.
If the agent tries to get you to lower the price, you have to ask yourself if this is because the house is over priced or is the agent just trying to make a sale. The same problem can occur with an agent who only represents you. The commission reduction hurts the agent less than the price reduction hurts you.
Having said that, an over priced house which does not sell hurts you both!
2006-11-29 20:57:01 · answer #6 · answered by plezurgui 6 · 0⤊ 0⤋
I've bought a LOT of homes and, yes, this is common. In fact, there are even some advantages of doing it this way. There's an obvious conflict of interest so he has to disclose he's also working for the other side but sounds like he's being upfront about that. Keep in mind his primary goal and that is to make the sale. If buyer and seller don't find common ground and close the deal, he doesn't get paid. In most cases this works out fine.Sure, the higher the price, the more he makes but you're not stupid. He can't make you pay more than you're willing to pay. Sounds like a good professional home inspection is in order. I just had one done on a duplex I'm buying and it was worth every penney of the cost and more.
2016-03-29 16:53:12 · answer #7 · answered by ? 4 · 0⤊ 0⤋
As far as I'm aware, it is against the law for a solicitor to represent both the buyer and the seller - I'm not sure - if you are saying that the estate agent uses the same solicitor as your buyer, then that is completely irrelevant - you should never disclose who your solictor is to anyone, anyway, unless you have to as although they are supposed to be confidential, information seems to seep out from time to time...
2006-11-29 23:19:58 · answer #8 · answered by ticket2ride 2 · 0⤊ 0⤋
If an agent is representing both the buyer and seller, how can they have both of your best interests in mind? Get someone else to represent you.
2006-11-30 05:47:55 · answer #9 · answered by greekgirl 2 · 1⤊ 0⤋
It is legal and should be disclosed early on---prior to first showing. Called Disclosed Dual Agency. Both buyer and seller have to sign off on this. At least in the US. Since you use 'Solicitor" I assume you are in the UK. Check local laws.
2006-11-30 03:11:18 · answer #10 · answered by Anonymous · 0⤊ 0⤋
Personally, I dont see anything wrong with it! Your goal is to get home sold, and your hired a realtor to help you sell it for you! A realtor can list properties for sale as well as show buyers homes! If you ask me, this work out better for you BECAUSE, it give YOU negotiating power to lower the commission!!! I'm sure you had to offer your realtor commission to list your house, probably about 6% of the sales price, right? Then your realtor would have to offer 3% of the 6% to another realtor to bring in a buyer! Your negotiating power is that you can decrease the commission from 6% to 3%. But the worst that would happen is that he keeps the entire 6% because there are no other realtors involved! But to you its all the same!
The reason why it fell through would have absolutely nothing to do with your realtor! Remember, his goal is to sell your house...period! He does not get paid until it is sold! So, if he in fact were representing the buyers, then why did he not make that sale..so he get paid?!!! So, execessive demands might be in fact true!
I see absolutely NOTHING wrong with it! And i'm sorry, but no one has actually clearly explained their reasons why it's not right. I only hear personal opinions but not fully explaining why?
2006-11-29 20:19:11 · answer #11 · answered by ALEGNA 3 · 0⤊ 2⤋