my sister lives in south dakota and recently was to sell a house she owns. Her and her hubby signed papers for the house to sell at 80,000, and the first day it was sold, to an employee of the agency selling the house no less.
Well i believe as well as others the the house value far exceeds 80,000 and she got scammed by the realtor, this happened monday and tuesday they signed the papers to agree to the 80,000 offer, which my sister claims they had to accept being that 80 was the limit.
Is there any way outta this? for instance a 30 day period or something ? i don't want my sister to get rippd, but i'm fearing she made a mistake
2007-09-20 08:33:54 · 8 answers · asked by godzilla99s 2 in Business & Finance ➔ Renting & Real Estate
for the guy asking about the 80,000 limit.
the realtor said that if someone offered 80,000 they had to accept the deal, 80,000 was the asking price, for instane if someone offered 75 they had the right to refuse. I think it was bogus, but my sis obviously made a big blunder. i also know that the person buying the house has still yet to secure financing if that makes any difference.
2007-09-20 08:52:37 · update #1
well a sale isnt a sale yet until you pay the closing costs and actually turn the deed over. I had people who wanted to buy my property and snake out of it, so why cant you do the opposite?
2007-09-20 08:38:28 · answer #1 · answered by Decrot 3 · 0⤊ 0⤋
I doubt that anywhere in the listing contract did it state that "if the offer is 80K then you are legally bound to sign the offer". In the state of California anyway, you are not ever legally bound to accept ANY offer, even over the asking price. Your sister should contact the broker and then if there is no satisfaction, call the department of real estate. I am not sure of the laws governing real estate transactions in South Dakota, but I am sure your sister has some recourse. Additionally, there are laws in California anyway, to protect sellers from this very scam. It may be a conflict of interest to represent yourself as a buyer in this transaction if you are the listing broker. Again contact the DRE in your state. Also, may need a good real estate attorney to contact the brokerage and press them to break the contract.
One last thing, make CERTAIN the 80k price is truly under market value before you break the contract with these people. You don't want to make the mistake of killing a deal for more money only to find out later that the 80K was more than you would get. Don't rely on Zillow or anything like that. Get real and true comps from another brokerage or appraiser. They are the only ones that have true access to prices.
Just read diesel
Good advice!
2007-09-20 16:17:45 · answer #2 · answered by livigninchrist! 2 · 0⤊ 0⤋
Not sure sure which papers they signed on Tuesday, but I'll assume they signed the realtor contract on Monday, then accepted the offer on Tuesday and signed the Agreement of Sale. If this has happened, unfortunately she is bound to the agreement legally. HOWEVER, it is possible to get out of them. If you tell the buyers that you changed your mind, and they are okay with that, you can have papers drawn up that both parties sign, then you are free and clear. Unfortunately, the more likely case is that the buyers will be mad, and they can legitimately take you to court because you are breaching the signed Agreement of Sale, which is a legally binding document. When they take you to court, you have to present all the evidence as to why your sister, as the seller, is backing out of the deal. If the court feels that the reasoning was legitimate, the contract is officially breached and she is not bound to it. If the court favors the buyers, your sister will still be legally bound to sell and will have to pay the court fees. I don't know much about law, but having the realtors appraise the house at 80K, then having an employee of that company buy the house only to later find out that it was worth more does seem VERY shady.
Goodluck!
2007-09-20 15:48:05 · answer #3 · answered by Lunar Sarah 4 · 0⤊ 0⤋
Contact your state licensing board, they will direct you to the parameters involving R/E agents and statutes. I n most states a R/E agent can not knowingly be involved in a transaction where the client was not informed of proper value. Most states allow a variance of 10%, above or below the sales price. If your R/E listed your property, it does NOT matter who set the price! They are responsible for marketing your home, and providing you with the best price they can sell it for in your area. If, for some reason, your state doe's not have this reg. contact the nat. assoc. of realtors, and file a complaint. This is based on that you have found your house is valued at a considerable amount more then you listed it . Good Luck! P.S Just read some of the answers, it scares the hell out of people in my bussiness, when novice people with little ,or no experience, give expert advice. That being said, please find the true value, BEFORE you do anything!
2007-09-20 15:57:12 · answer #4 · answered by diesel6999999 3 · 1⤊ 0⤋
It sounds from your description that your sister has sold her house for $80,000. Now if she believes there is something going on, I suggest she contact the Broker of the listing agent. The Broker is there to supervise the agents in his/her brokerage. If something fishy is going on they'll need to know, because if your sister brings a suit against them, she'll be suing the Broker and the agent.
You could also have another Broker do a CMA for her. But you must reveal you are under contract. They may or may not be willing to help you. Your sister could also have an appraisal done for herself.
Overall I understand your concern. But with the laws that Realtors are bound to do business by, I find it difficult to imagine anyone risking their license for $80,000.
2007-09-20 16:02:13 · answer #5 · answered by Alterfemego 7 · 1⤊ 0⤋
Your sister should have gotten an independent appraisal of the home. If she didn't, shame on her.
If your sister believes that the real estate agent scammed her, she can report the agent to the realtor's board and the Better Business Bureau. Your sister can also file a complaint with the state Attorney General. And, if she wants to, your sister can retain a lawyer and sue.
2007-09-20 15:39:47 · answer #6 · answered by kja63 7 · 0⤊ 0⤋
80 was the limit? What does that mean? Whose limit?
They might have gotten somewhat scammed, if the value is far more than that. But if they signed a contract to sell for that, they can be sued if they don't go through with the sale.
2007-09-20 15:41:38 · answer #7 · answered by Judy 7 · 0⤊ 0⤋
unless you can show that the agent and the buyer where working together to defraud your sister you will have an up hill battle
but if at any time before the sale the buyers comes and ask for reduction is the sales price just say no and hopefully they will go away
note if your sister tries to back out they could sue for specific performance and the court can force her to go threw with the sale
2007-09-20 15:38:29 · answer #8 · answered by goz1111 7 · 0⤊ 0⤋