Avoiding a Listing Agent Fee when Buying a Home?

Question

Here's my deal. I have a buyers agent. I signed up with her after I found a house I was really interested in. Made an offer on the house. They countered. We countered. They countered. We were still about 20k apart. We told them we were still interested, but that we'd like to look at some other houses that weren't quite as big a stretch.

Then a week later, they took the house off the market and decided to wait until spring.

My question is: Now that the house is no longer listed, can I contact them directly and see if they'll sell it to me without their realtor. Or, since I found the house through their seller's agent, the agent still gets paid even though the listing agreement has expired?

I ask because I'd like to save some money, and if they don't have to pay the listing agent fee (just my buyers broker fee) then that gets us a lot closer.

Answer 1

If the listing agent is smart, he/she included a protection clause for just this instance. You won't know unless you review the listing agreement.

Answer 2

You got alot of info on whether or not the ex listing agent would be due a commission. But you should know that the seller isn't responsible for your buyers broker fee. You may have a contract whereby you must pay your agent, but the seller doesn't have a contract with your agent. Be careful - you could end up with an extra 2% to 4% closing costs when this is all done!

Answer 3

godged is on the money. In my state (and others as well) if you have viewed a house and written an offer on a property while it is listed, you're going to end up paying the listing agent the commission on the property. You will also pay your buyer's agent, whether or not you use the services of the buyer agent.

A year or so ago, an associate of mine had a client like you. The associate discovered what was about to occur and informed the seller of the commission that was to be paid. The seller balked and refused. The associate immediately engaged legal representation and filed a lis pendens on the title of the property, preventing the title company from gaining clear title.

THAT is what you face if you proceed.

Answer 4

Most contracts have a sale clause to protect the sellers Realtor from shysters like you. From the point the house came off the market, there will be a period that if you buy the house, the sellers Realtor will still be entitled to the commission.

But since you don't know what is in the seller's listing agreement, you won't know if that clause is there or how long it is in effect.

Don't think the seller's agent won't find out, most offices receive a daily report to see what RE transactions have closed and the Realtors scan them to see what is being sold.

Answer 5

Most listing contracts state that if the home is sold to anyone the listing agent brought through within x days, (usually 90-180) They still have to pay. This is done to avoid this exact situation. If they had a dumb listing agent then you may have a shot. Now if your agent can get them to list with her then that clause is null and void. Then your agent could sell it to you and do it at a discounted rate.

Answer 6

I think this set of laws is state by state regulated. There is usually a customary period before a seller can re-market the home on their own or with another agent. Ask your Broker.

Answer 7

I think as long as there is a break in the chain of events which brings about the sale (say by time passing by with no contract between you), then it may be possible.

I would think though that the Listing Agent may be disgruntled should it be found that it was you that ended up purchasing the property after the listing period on the home. That agent may seek compensation.

If you have any further questions, please don't hesitate to contact me.

Good luck in your negotiations.

Answer 8

you may have a chance if the time from of listing has expired .. it is in your contract with agent .. read the small print ..